How to Use Ratios to Manage Cash Flow
With today’s accounting software packages, it is easier than ever to monitor all aspects of your business’s finances. Many packages, such as QuickBooks, even provide dashboards–graphical representations of company operations data that display an instant snapshot of your company’s financial data.
But what exactly should you be monitoring? Tracking key ratios can help you understand and better manage cash flow. Here is a closer look at six key financial ratios.