How to grow your money by investing

If your business’s money is sitting on deposit, it’s unlikely to be working for you. Here’s how to make the most of it.
Most business owners would agree that it takes a combination of time, tremendous effort and significant success to accumulate large cash balances.
Having worked so hard to get the cash, the all-important question is whether it’s working for you?
If your company’s money is sitting on deposit, it’s just not working as hard as it should be.
“Irish companies held €50.6 billion on deposit at the end of April 2018.”
Huge cash piles
According to the Central Bank of Ireland, Irish companies held €50.6 billion on deposit at the end of April 2018 (excluding financial corporations).
Today, interest rates are at record low levels; in fact, some more substantial deposits are on negative interest rates. This situation is unlikely to change for some time.
The end of 2019 is widely believed to be the earliest for interest rates to rise again. While the official rate of inflation is pretty benign, many firms are experiencing elevated cost levels. Smart business owners realise the importance of continuing to grow the real value of their assets, in other words, the level of growth after inflation. This growth involves the company doing some financial planning and to do this; they need to take a holistic view of their business. So how do you about it?
Start with a holistic view
The first step is to take a snapshot of your business’s assets and liabilities; to capture any loan facilities and what levels are drawn and undrawn. You should take a look at typical cash flow patterns and identify what role seasonality plays. What does your debtor book look like – have you substantial receipts coming shortly?
“How much of an emergency fund do you need?”
The next stage is about looking forward. This

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