After looking at the financial health and performance of your company, we are now going to look at Cash Flow Ratios, which you can use to focus on the cash being generated and the safety net that it provides for your company.
Sometimes customers purchase items on credit, and while you may look profitable, you have not received that cash as yet. It is important to know what is outstanding to you as it can hurt the financial health of your company, leading to you not having the cash to pay your suppliers.
The ratios in this webcast will identify cash flow compared to other company metrics. The Ratios we will be covering are as follows:
• Operating Cash Flow/ Sales Ratio
• Free Cash Flow/ Operating Cash Flow Ratio
• Cash Flow Coverage Ratios
The recorded webcast can be found here.
