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Course: Getting strategic with cash flow

Part 1

 

6 minute read

Cash buffer days

Cash buffer days are the number of days your business can go without any income at all. Many businesses model their cash buffer days by looking at their expenses and strategizing how to stretch their cash further.

Knowing how many days your business can go without income is key to understanding how far your cash buffer can keep you afloat.

 

A bar chart with monthly inflows and outflows shows how a cash buffer provides a positive running balance in months with negative cash flow.