How to improve cashflow

Mr Swendell

Recap - Starter

Questions

1)What is a cashflow forecast?2)What does the word ‘forecast’ mean?3)How can CFF affect profit?4)What does a negative cashflow mean for the

business?5)What is recorded on a CFF?

Learning Questions

In what ways can a business increase cash inflows and reduce cash outflows?

What are the key aspects of financial management?

What does it look like?

A simple Cashflow Forecast – FILL THE BLANKS

Financial Management

What is FM??

Discuss this awkward term in your pairs, can you give me a good definition?

3mins!! GO

Financial Management is: deliberately changing monetary variables like cash flows to achieve financial objectives.

Cashflow is like a bath . . . .

When is a CFF useful?

Activity 1 – Which is BETTER?

Which of the following CCF’s is better for the business?

How can a business increase CF?

Increasing Cashflow

Increase Sales

Revenue

De-stocking

Improving CF from

Customers

Reducing Cash

Outflows

Ordering less

materials and Stock

Delaying Paying

invoices

Lease rather

than buy

Activity 2

On the board is a “Missing Words” exercise, please fill in the gaps on paper (just the missing words in a list)

We will review as a class 3 mins!!!! GO

Activity 3

Over to you sheet To be completed for homework

Summary