Cash is King
Focus on Generating and Retaining Cash
Growing your sales is important, but converting those sales to cash is even more important. Likewise if your company holds inventory, the quicker you sell the inventory and collect the receivables the sooner you get your cash. And you reduce the risk of the inventory becoming obsolete, being damaged or having it walk away.
KeyTrac™ enables you to monitor how well you manage these key cash components and set targets to improve them.
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KeyTrac™ automatically calculates average annual turns for inventory, receivables and payables. Users can set realistic targets and see the potential amount of cash that can be generated by improving those areas.
In this example if the inventory turned over at a slight faster rate and receivables are collected a bit sooner, that generates more cash. With this sample company they are past due with many suppliers, so some of the cash generated is consumed to get more current on payables.
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