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Funding a business
Why Cash Flow Is Important?
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[QUOTE="Alexandoy, post: 214663, member: 25510"] The cash flow is the amount of funds that you need for the operation to pay the obligations. In other words, the cash flow is the money that handles the expenses which includes the purchase of the supplies or the hiring of people for the services. If your cash is tight and you cannot give the salary of your staff then that would be a big problem. You have to borrow instant cash otherwise your business may fail because the staff may leave you without notice. Anyway, when the cash flow is tight the tendency is you have not more money to pay for the expense. If you fail to pay the electricity or the utility then you may have no power in the office or in the store. Simply put cash flow is the amount of budget that you need for a particular period that is usually a month. [/QUOTE]
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Why Cash Flow Is Important?
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