First to obtain cash rather than profit.docVIP

 PAGE \* MERGEFORMAT 8 First to obtain cash rather than profit Hillsborough: Hello! The meeting last Thursday, so I was happy. Can not think of three years gone, your career has been a modicum of success. Currently, your company is small, but the performance is growing rapidly. You meet some of the operational aspects of the initial development of the enterprise is normal. I have, when you go to meet with clients, went to see what your company’s warehouse. I think you first need to consider and address the pressing issue is access to finance, rather than profit. 1. Strengthening the cash management During our discussion, you repeatedly stressed the need to pay close attention to sales to increase profits, and again on the items. Sales growth and profit growth is definitely there a causal relationship, but first and foremost on the premise that to be able to ensure that the company or the normal operation of this project. The company’s operating activities are dominated by cash, and does not have sufficient cash, the company is not run forever. So, our first goal is to have sufficient cash. For that you think can improve the profitability of new projects, I see the original item with you about the haste to build, will result in your immediate cash flow problems? I suggest you look for Liu accounting estimates put forward a concrete financial plan for your reference. After the first step in the realization of cash management of the second objective is to reduce the cash cost. The appropriate cash management, should enable the cash to meet the needs of the company at any time while minimizing interest payments. I do not use your friend lent you the high interest payments. Coatings business since they make little money, but also a larger working capital Yaku, you carefully considered what, how much gross profit margin in the end, the resultant costs associated with how many (lets Liu accounting assistance, she should be in)? Do not hard earns are used to payi