Analyse your business cash flow by asking the four key cash flow questions 

  • What is my cash position?
  • How much do I need for tax and super commitments and loan repayments?
  • How much do I have available to spend?
  • Has my business improved?

There are 7 Considerations for maximising cash flow.

To maximise cash in consider:                                                               

  • Pricing 
  • Volume
  • Debtors

To maximise cash out consider:

  • Assets
  • Expenses
  • Inventory
  • Staffing
To improve your cash flow you must examine your business details to figure out what is working well and what can be improved.

ACTION PLAN

  • Highlight those areas of your business cash flow that are concerning you.
  • Use the 7 cash flow considerations to identify ways you may be able to improve your business cash flow.
  • Use your financial reports and data to explore your business cash flow and identify areas that can be improved.
  • Implement your cash flow ideas and track their progress regularly by comparing current business figures against your previous business figures to see if your business cash flow is improving and also check it against your target results.
  • Keep refining your business improvements.
Use the Business performance check in the ATO App to identify how your business is performing against other similar businesses in your industry.