Cash Flow Management for Nigerian SMEs: 10 Proven Strategies

## Cash Flow is King For Nigerian SMEs, cash flow is the difference between thriving and closing shop. Here are 10 proven strategies. ## 10 Strategies ### 1. Invoice Promptly Send invoices immediately after delivery. Use FedaCash's free invoicing tools. ### 2. Offer Early Payment Discounts Offer clients 2-5% discount for paying within 10 days. ### 3. Use Invoice Discounting Convert unpaid invoices to cash in 24-48 hours instead of waiting 60-90 days. ### 4. Negotiate Better Terms Ask suppliers for 30-60 day payment terms. ### 5. Build a Cash Reserve Use cooperative savings to build a buffer for slow periods. ### 6. Reduce Expenses Audit subscriptions, services, and operational costs regularly. ### 7. Use Inventory Financing Don't tie up cash in stock - finance inventory instead. ### 8. Diversify Revenue Don't rely on one or two customers for most revenue. ### 9. Monitor KPIs Track Days Sales Outstanding, Days Payable Outstanding, and cash conversion cycle. ### 10. Plan for Seasonality Anticipate slow periods and save ahead during peak seasons. --- Improve your cash flow. Download the FedaCash App from Google Play.