The challenges of cash management include predicting cash flow accurately amidst fluctuating revenues and expenses, optimizing working capital to balance liquidity needs, and mitigating risks associated with fraud or cybersecurity threats.
Additionally, managing multiple accounts across different banks and currencies can complicate cash management efforts, requiring robust systems and processes to ensure efficient fund allocation and monitoring. Balancing short-term liquidity requirements with long-term investment goals poses another challenge, necessitating careful planning and strategic decision-making to optimize cash utilization.
