Glossary
Cash position
Definition
The cash position is the money the company has now in its bank and cash accounts, together with the money due in and out in the near future. It shows whether the company can pay its bills on time, which a profit figure does not show.
Example. A bank balance of €5,000, with €2,000 of receivables due next week and €3,500 of payables due in the same month, gives a cash position to watch.
Why it matters for your company
A profitable company can still run out of cash. Checking the position each week tells you whether a large bill or a late customer payment is a problem.
Where you see it in Sapita
On the home screen, as the cash figure with the payments due in the next weeks.