Profit vs cash – Understanding the differences
Did you know that essentially the key reason for business failure is running out of cash; if a business no longer has cash, it doesn't matter what else is going on, the business can't and won't survive. Having adequate cash flow is essential to keep a business running. When cash runs out, the company runs the risk of not being able to meet current obligations such as payroll, suppliers and loan repayments. Yet despite this the majority of failed businesses mislead themselves that profitability is the key indicator of success and take their eye off cash flow. This e-learning course will introduce you to the significance, meaning and differences between profit and cash flow and provide you with an insight into how to understand both when looking at a set of accounts.
What you will learn
- Understand the meaning of profit and cash flow
- Appreciate the key differences between profit and cash flow
- Recognise the significance of reviewing both when considering the health of any business and learn how businesses can take control over their cash flow
- Understand how to look at a set of accounts to obtain information to help assess both profit and cash flow.
Who should attend
This course will be of benefit to non-finance professionals, at all levels, who need to develop an understanding of business finance. All staff within a business, company, partnership or charitable organisation should have an understanding of finance in order to contribute to their organisation's success
The attendee list for this event is exclusively available to CAs.
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View full event details
- Meaning of profit and cash flow
- Differences between profit and cash flow
- Managing cash flow
- Understanding profit and cash in the accounts
Tel: 0330 060 3303