The auditors also made clear that Kids Company's cashflow was the main risk to the group and said, "without improving the cash position of the charity it is not possible to build reserves and invest in new activities and locations".
"Using cloud technology to issue invoices and to monitor outstanding debtors is a major contribution to improving SME cashflow," according to the survey's authors.
TradeRiver is providing the initial funds necessary prior to the export to ensure that the vendor's import is successful, subsequently supporting the onward sale to the end user and improving cashflow.
We believe improving cashflow and a tough short term outlook have also raised the probability of a leveraged buyout or management buyout.
Dobell, who has held Invensys shares for ten years, said that the Schneider deal indicated a renewed appetite for mergers and acquisitions after a long period in which companies have focussed on paying off debts, restructuring their balance sheets and improving cashflow.
But the start of a new year can also a good time for entrepreneurs to reflect on their business and how they want it to develop, whether it is by improving cashflow strategies, selling products in new markets or investing in staff training.
But the shares rose 7 per cent, or 13.3p to 207.4p, to the top of the FTSE 100 as the company insisted it was expecting to improve its cashflow this year.
The idea is similar to factoring, whereby firms sell off all their invoices at a discount to improve their cashflow.
According to HOLT Value Associates, a consultancy, Target has improved its "cashflow return on investment" (a measure of returns that strips out depreciation) more than any other American retailer since 1995.But in terms of overall returns, as well as sheer size, Target still lags Wal-Mart, retailing's gold standard.
Garrett says: "I tried refactoring the debt with a bank offering £80,000 of the debt up front, as I thought this would improve cashflow, but it was the worst thing I ever did.
