Conversations during the Covid-19 pandemic have primarily been about the preservation of cash with a particular focus on reducing cash outflows in the short term, and increasing cash by utilising government assistance such as CBILS or the bounce back loan scheme.
When analysing cash, understandably most people have been focused on the very short term. The consequences of some of these actions are unlikely to be seen this year and with what appears to be some very early signs of borders preparing to open, if you haven’t already you should start to look further ahead.
Cash flow has in the past been inherently positive for most travel businesses and so forecasting hasn’t always been at the forefront for finance teams, but moving forward it should be a regular feature and even with the uncertainty that still exists, it’s important to start to now.
To start your thinking around this, here we’ve highlighted a few areas to consider.