Cash Management

Dictionary Says

Definition of 'Cash Management'

The corporate process of collecting, managing and (short-term) investing cash. A key component of ensuring a company's financial stability and solvency. Frequently corporate treasurers or a business manager is responsible for overall cash management.

Successful cash management involves not only avoiding insolvency (and therefore bankruptcy), but also reducing days in account receivables (AR), increasing collection rates, selecting appropriate short-term investment vehicles, and increasing days cash on hand all in order to improve a company's overall financial profitability. 

 

Investopedia Says

Investopedia explains 'Cash Management'

Successfully managing cash is an essential skill for small business developers because they typically have less access to affordable credit and have a significant amount of upfront costs they need to manage while waiting for receivables. Wisely managing cash enables a company to meet unexpected expenses in addition to handling regularly-occurring events like payroll. 

Search results for

'Cash Management'

  • Whose Cash Management Is Better Than Best Buy's?

    http://stocks.investopedia.com/stock-analysis/2010/Whose-Cash-Management-Is-Better-Than-Best-Buys-BBY-RSH-HGG-CONN-AMZN-WMT0122.aspx
    ... Article; Comments (0). Whose Cash Management Is Better Than Best Buy's?
    Posted: Jan 22, 2010 15:04 PM by Will Ashworth. ...
  • Waste Management Hauls In Cash

    http://stocks.investopedia.com/stock-analysis/2010/Waste-Management-Hauls-In-Cash-WM-RSG-CWST-BRK.A-BRK.B0219.aspx
    ... Waste Management Hauls In Cash. ... But as Waste Management has shown, it is possible
    to haul in cash while adhering to pricing parameters. ...
  • 13 Pre-Issue Corporate Bond Questions For Businesses

    http://www.investopedia.com/articles/bonds/09/corporate-bonds.asp
    ... point. Places to look include subsidiaries with surplus cash, or perhaps
    a review of cash management across the group is necessary. A ...
  • Understanding The Cash Conversion Cycle

    http://www.investopedia.com/articles/06/cashconversioncycle.asp
    ... If the company sells what people want to buy, cash cycles through the business quickly.
    If management cannot figure out what sells, the CCC slows down. ...
  • LabCorp Battling Flat Free Cash Flows

    http://stocks.investopedia.com/stock-analysis/2011/LabCorp-Battling-Flat-Free-Cash-Flows-LH-DGX-BRLI-ICLR-CVD0727.aspx
    ... The Bottom Line Management expects solid sales and earnings growth for 2011, but
    its free cash flow guidance of $750 million, or $7.30 per diluted share ...
  • Looking Deeper Into Capital Allocation

    http://www.investopedia.com/articles/basics/07/capitalallocation.asp
    ... and Spotting Cash Cows.) Capital Requirements and Cash Management Let's say that
    Company X has averaged an 18% return on equity for first 10 years of its ...
  • Mortgage Asset-Liability Management Made Easy

    http://www.investopedia.com/articles/pf/07/asset_liabilities.asp
    ... additional investments must have a sound understanding of asset-liability management
    and the ... Stock returns are too volatile, and don't match the cash flows of ...
  • CFA Level 1 Study Guide - Portfolio Management - The Portfolio ...

    http://www.investopedia.com/exam-guide/cfa-level-1/portfolio-management/portfolio-management-process.asp
    ... Computations - Direct Method; 6.23 Free Cash Flow; 6.24 Management Discussion
    and Analysis & Financial Statement Footnotes; 6.25 The ...
  • CFA Level 1 Study Guide - Financial Statements - The Cash Flow ...

    http://www.investopedia.com/exam-guide/cfa-level-1/financial-statements/cash-flow-statement.asp
    ... Computations - Direct Method; 6.23 Free Cash Flow; 6.24 Management Discussion
    and Analysis & Financial Statement Footnotes; 6.25 The ...
  • CFA Level 1 Study Guide - Portfolio Management - The Capital ...

    http://www.investopedia.com/exam-guide/cfa-level-1/portfolio-management/capital-market-line.asp
    ... Computations - Direct Method; 6.23 Free Cash Flow; 6.24 Management Discussion
    and Analysis & Financial Statement Footnotes; 6.25 The ...

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