How to Manage Cash-Flow with Sage 200

Micross Logic News

For any business, managing cash-flow is an essential task to keep operations going and to ensure profitability. As 99.3% of GDP is generated from businesses with fewer than 50 employees (Sage, 2021), it’s important for small-to-medium sized businesses to optimise their cash-flow management.

Managing cash-flow is more important than ever for businesses that have been negatively impacted by multiple lockdowns. With Sage 200, managing cash-flow no longer has to be a lengthy and overcomplicated process, reducing the time it takes for businesses to get paid, and meeting customer needs with end-to-end control.

What is cash-flow?

Cash-flow represents the money entering and exiting your business. Businesses need more money going in than going out in order to have a healthy cash-flow, which is why it’s essential to get paid on-time. Unfortunately, not everything can run as smoothly as intended, and so anticipating any funding shortfalls is highly important too for financial contingency plans to be made.

Managing cash-flow with Sage 200

As a business management solution (BMS), Sage 200 helps small-to-medium sized businesses manage cash-flow and various other activities (inventory, compliance etc.), to offer businesses a full view of their operations.

Managing cash-flow with Sage 200 is a simple process. With payments integration allowing clients to pay invoices to your business more efficiently through the use of a ‘pay now’ button, quicker payments being made to the business can offer more flexibility when it comes to budgeting for outgoings.

Sage 200 can also accommodate add-ons, including the Sicon Cash-Flow addition which was specifically designed as an enhancement for Sage 200. At no extra cost to businesses using Sage 200, they can gain greater flexibility and control over cash-flow.

The Sicon Cash Flow addition allows users to design cash-flow management structures tailored to their businesses, with the ability to add bank accounts, sales ledger and purchase ledger invoices, sales and purchase orders, and even more into the structure.

This addition also allows businesses to plan for un-budgeted items, filter the cash-flow to show banks and transactions in specific currencies, export forecasts into excel, amend budgets and forecasts, and much more.

Staying on-top of cash-flow

There are several ways in which a business can work to stay on top of cash-flow, including:

  • Implementing a good credit control system
  • Sales forecasting
  • Understanding cash-flow warning signs

Both Sage 200 and its Sicon additions can work together to create a seamless cash-flow management process that offers tailored functionality to suit specific business needs.

For more information about how Sage 200 can help your business manage cash-flow or to request a product tour, chat to us today.