Cash Management Practices in Small Companies Harvard Case Solution & Analysis

Cash Management Practices in Small Companies Case Solution

Most small business managers assert that cash management is their leading concern. Frequently walking a tightrope between illiquidity and growth, cash management challenges that are different are faced by small business managers than their counterparts in bigger companies.

Compared to larger companies, small businesses often have under-staffed and under- explosive cash flows dependent on one product line, trained accounting staffs, limited access to new capital, and a substantial share of their net worth. These limitations in many cases are compounded by the focus of management on increase, which can put added burden on the management of cash by elevating working capital requirements.

PUBLICATION DATE: December 04, 1998

This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP

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