Cash Management
What is the meaning / definition of Cash Management in the hospitality industry?
The term Cash Management describes the field of management that concerns itself with the collecting, managing and investing of cash. Cash Management is highly important in hospitality due to its ability to improve cash flow and shortening the cash cycle. Thereby allowing operations departments to act and purchase more flexibly.
The objective of Cash Management is to maximise liquidity, optimizing cash resources, control cash flows and maximise the value of funds while minimising the cost of funds.
Cash Management solutions can be anything that increases the efficiency and cost effectiveness of financial processes.
See Also:
- Cash Conversion Cycle
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About the Author: Patrick Landman
As CEO and Founder of XOTELS, Patrick Landman has made it his mission to turn hotels and resorts into local market leaders. XOTELS´ diverse expertise and deep-knowledge across revenue management consulting, hotel management, and hotel consulting, enables us to drive results for independent boutique hotels, luxury resorts, and innovative lodging concepts. Below you will find opinion articles written by Patrick Landman.
