by Dr Lisa | availability of money, Cash constraint, cash velocity, Dr Lisa Lang, maximizing cash flow, maximizing profitability, payment discount
Continuing our cash velocity discussion started on March 16, 2007 Last time (on Friday) we talked about offering a discount to our customers if they paid on delivery. What kind of discount could you offer to get cash back into your system faster so that you could make...
by Dr Lisa | cash to cash cycle time, cash velocity, Dr Lisa Lang, mafia offer, maximizing cash flow, maximizing profitability, payment discount, payment terms, throughput
Continuing our cash velocity discussion started on March 16, 2007 Now let’s look at the impact on what we discussed yesterday had on our throughput. Let’s say we immediately visit a customer whose complete order was shipped and had just been received by that customer....
by Dr Lisa | cash reserve, cash to cash cycle time, cash velocity, funding growth, payment discount, payment terms
Continuing our cash velocity discussion started on March 16, 2007The Role of Payment Terms in Cash VelocityTo reduce the time it takes to collect payment from our customers we offer a 1%/10 option, but none of our customers use this option and many of them pay late...
