Growth usually increases rather than decreases the challenges involved with cash flow management.

Question

Quizplus · Accepted Answer

As a business grows, it typically requires more cash to finance increased inventory, equipment, and personnel. This can lead to increased challenges in managing cash flow, such as ensuring that there is enough cash on hand to pay suppliers and meet payroll, navigating variances in payment cycles from customers, and planning for long-term financing needs.

Growth Usually Increases Rather Than Decreases the Challenges Involved with Cash