Cash is a medium of exchange for goods and services. Cash provides flexibility. Cash flow equals cash receipts minus cash payments over a given period of time.

When you sell a product, you can make profit today and go bankrupt other day unless you manage cash flow efficiently. As an example, you sell a product with a good profit today. However, you accept to receive money after 60 days. If you have to make payments to your suppliers in 30 days, you will have negative cash flow after 30 days.

Brief suggestions which help to improve cash flow for manufacturing companies or constructors :