Topic > Importance of Cash Management - 720

For example, if the company is unable to repay the obligations or liabilities, the company is declared bankrupt. Therefore, if the company's cash management has been updated, this situation can be avoided. Cash is the lifeblood of any type of business, large or small. For big companies like Ford or GE it is easy to do business but of course they can take care of staff payroll or other liabilities can be paid as they have better cash management policies. On the other hand, for small businesses it has always been a challenge. Money stewardship is especially critical for new and developing organizations. Income can be an issue, however, when a small business has several customers, offers a better product than its rivals, and enjoys an excellent reputation in its industry. Revenue-challenged organizations have no comfort margin should unexpected costs arise. Likewise, they may experience difficulty finding resources for advancement or expansion. It is, somewhat unexpectedly, less challenging to get cash when you have cash. Ultimately, low income makes it difficult to thrive and stay strong