business cash flow, small business cash flow, small business cash flow management, small business cash flow problems

How can you Automate your Business Cash flow?

Ram is a retailer of electronic goods based in Bangalore. He used to buy his inventory on credit and pay it back to the supplier after selling the goods to customers.

Everything was going well for Sam, but after reaching scale in his business, he found it difficult to manage liquidity.

The reason was that Sam was not keeping a forecast of business cash flow and other related reasons. He was not forecasting his sales and cash flow requirements and bought goods on credit.

He was not efficient in from his customers, which affected his business cash flow, which resulted in paying high interest on his debts, which harmed the growth of his business.

The Reasons Behind Poor Business Cash Flow are:

Poor collections

If you’re inefficient in collecting your invoice on time, it will hurt your cash flow negatively.

Poor business decisions

Any business that buys excessive inventory or adds a new product to its product portfolio without assessing the demand for that product in a particular area leads to the blockage of cash funds. Due to poor decision-making, the invested capital gets stuck in inventory.

High debts

Raising debts at higher interest will hurt business finances if the business is not generating enough cash flow from business operations.

Wrong forecasting and planning

Cash flow forecasting is necessary for a business’s smooth running and growth. Forecasting correct cash flow safeguards a business from excess cash or under cash situations. Also, it helps with liquidity and positive working capital.

How to Automate Small Business Cash Flow?

Business cash flow, small business cash flow management software, online small business cash flow management, small business cash flow problems

Automating your business cash flow involves automating various business processes like e-invoicing, receivables, collections, and many more. Let us understand this in detail:

Quick Invoicing

Invoicing on time is the key to faster collections in business. Getting paid on time also helps in the smooth management of cash flows. So, an enterprise automates its invoicing process to receive its invoice collection on time.

Monitor your transactions in real-time

It’s necessary to stay updated with your transactions in real-time to get an idea of your cash flows. Tracking all your incoming and outgoing transactions helps you understand your business well.

Automate your receivables and payouts

Automating your collections and payouts lets you enjoy real-time control of your business cash flows. It minimizes the risk of any error and allows improved control of your business by supporting your decision-making.

Plan your expenses and investments

To meet your expenses and investment decisions, it is always better to plan them, as planning gives you an idea of your cash outflows and inflows required for the purpose.

It will also help you manage your business debts in a planned manner with reduced costs and will support your working capital requirements.

Automated reconciliation

If you’ve automated your collections and payouts and are still doing reconciliation manually, then you’re missing out on many things. To stay ahead of the competition, automated reconciliation to keep track of your actual business cashflows.

Otherwise, if refunds and partial payments are not updated on a real-time basis, you’ll have a blurry idea of your cash flows.

Advanced business banking

To boost your business growth, you should have an advanced banking platform that can keep you updated with your business finance. You should integrate your banking and ERP to get a unified view of your finances.

Cash flow automation can reap many benefits for your business. Some of the main benefits of Business Cash flow automation are:

Informed business decisions

Automation helps improve accuracy and makes the audit trail smooth. It also helps in making informed decisions by reducing operational costs.

Better planning and forecasting

By getting a clear view of your business finances, you can plan your expenses accordingly. It will also help the firm’s inefficient use of its resources.

Improved business efficiency

Automation will help smoothen small business cash flow management, prevent fraud, and give you better, real-time control of your business cashflows. It streamlines the process and drives efficiencies in the business.

Better business health

Cash flow automation gives you a clear idea of where your money is flowing in the business and gives you insights into expenses, which helps you analyze your cost-cutting expenses. It gives you real-time visibility of your cash flows and boosts liquidity and business health.


Cash flow is like the lifeblood of any business, and its automation helps an organization streamline its receivables, payouts, and other core business processes.

It helps drive efficiency and liquidity in the business, which improves business health.

Hylobiz is an advanced fintech platform bridging financial services for businesses. Our powerful solution gives you access to your real-time business cash flows by automating your collections and payables.

Hylobiz allows you to easily integrate your existing ERP with Hylobiz without any process change and at the lowest set-up time.

Create invoices on our platform, share them with your customers, get paid faster, and boost your collection efficiency.

Also, stay updated with your transactions with our shareable digital ledger and save hours of manual chasing with automated payment reminders.

The platform supports automatic reconciliation and its dashboard gives you access to real-time business health, cash flow controls, and insights into expenses, which also supports decision-making.

Hylobiz is a safe and secure platform and ensures multiple-level encryption to make your data safe.

Unleash the power of receivables automation with Hylobiz.

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