What is cash flow?

Cash flow

What is cash flow? 

Cash flow refers to the cash movements associated with a company's operational activities, encompassing both incoming and outgoing cash flows. The net result of these cash flows within a specific period determines whether there is a positive cash flow or a negative cash flow.

It is essential to ensure that your cash flow statement provides a comprehensive understanding of various cash flows and, most importantly, how you can influence them. This latter aspect is crucial to ensure that there are always enough financial resources to meet your obligations.

Don't underestimate the importance of a 12-month rolling forecast. This prediction offers insights into how your organization's activities will evolve over the next 12 months and serves as a guide for related figures, including operating profit (or EBIT) and Cash Flow.

Determine the Goal, Make a Plan, and Get Started

Determine the goal, make a plan, and get started. Does that appeal to you? Then start your journey towards growth and success now, completely free of charge. We give you 14 days to experience our structured Route ICR approach, from step-by-step plans and e-learning to collaboration and improvement plans. And there's no obligation!

Also read Successful entrepreneurship can be learned.

Reactie plaatsen

Logisch als je meer wilt weten

Neem contact op via onderstaande button!