In my previous sharing you’ve heard me saying “Cash is KING”!. Coz without money; you cant pay your supplier & if you cant pay your supplier, you will have no product to sell. We were always focused on our profit and loss statement. But cash flow was not a regularly discussed topic. It was as […]
The following are the widely used KUNGFU style to “fight” against the mount everst of documents; Filing by document date or payment date – All documents are filed according to the document date; with the latest date on the top. Personally this is not my favourite style & I’m sure all of you would agree […]
Our next topic would probably be a dull on as no one like to do it but we have to do it. How to do filing the documents you have. Which method is the correct ones? Why do my friend filed the documents this way (which is different than mine), is that the correct procedure? […]
In the market there are a lot of apps that helps you to do digital archiving; some with artificial intelligence functions, which means all you have to do is to take pictures of the invoice/receipt/bills & the AI will help to sort our all the info on the documents to relevant accounting related info such […]
Typical type of Account/Finance Documents used in businesses & their purposes are as follows. All of these are internal documents where your Company is the one who has to issue them (except for Purchase Invoice): Sales Sales order – to take orders from Customers & to ensure the orders are correct Sales invoices – A […]
In Finance/Accounting you will hear the need for certain documents such as purchase orders, payment vouchers, cash bills, proforma invoice, tax invoice etc . But why the hassle to provide such documents; what is the need for all these paper-work? Well…. these paperwork serve 1 purpose only. Yeah … just 1 but 1 very important […]
4 COMMON TERMS IN CASH FLOW Cash at Beginning / End of Period -> Cash that is available in your hand/bank at the beginning/end of period Cash from / (Spend on) Operating Activities -> Transactions that are generated from the business daily operations & has direct relation to the company’s products/services. -> Example of inflow […]
CASH FLOW BUDGETING PROCESS 3 simple steps of budgeting: Find a suitable tool Set goal & time frame Forecasts: Sales Cash Inflow Cash Outflow IMPORTANT NOTE: MUST always monitor (if a business is preparing a budget). Actual vs Budget, variance analysis, action plan If you don’t monitor or take any plans to do variance analysis, […]
#AIMC_Sharing# CASH FLOW BUDGETING -> Also known as cash flow forecasts/estimates that anticipates all inflow/outflow. It is used to plan for a business operations or project to ensure sufficient funds. Notes: Budgeting always has a goal & set the direction of a business. Ensures that money is allocated to those things that support the strategic […]
Managing Shortfall: Find Fresh funds Own + relatives Loans from Associations / Co-op ; “Kutu” funds from friends/relative Debtors / Creditors: Communicate with these “partners” so they know your financial situation, you’ll need their trust and understanding. Banks/Finance institution: Credit card, Bank Loans Others (P2P Lending, Seed Funding, Angel Investors) Reducing Outflows Plug leakages – […]
