But let’s be clear here - we’re talking cash flow management, not cash flow. Any business that sets out to achieve rapid growth has to expect pressure on cash - it goes with the territory. The secret to many successful fast-growth companies is how they cope with cash flow management.

Good cash flow management is all about scenario planning. You have to be closely involved with the strategic aims and direction of the business and take time to consider the ‘what if’s’. If your cash flow management is good, there are never worrying situations with impossible deadlines. You always have options.

An example of good cash flow management:
Sometimes good cash flow management is about knowing what you can and can’t do. One of our clients is a big clothing importer. They were unaware of the HM Revenue and Customs rules on delaying duty on imported goods. By setting up a duty deferment account, we were able to put payments back by six weeks creating a one-off cash flow saving of £166,666 for four weeks. Just one example of the many solutions provided by BDO Stoy Hayward relating to cash flow management.

If you’d like to talk about your cash flow management , contact your local BDO Stoy Hayward adviser.