Why Cash Flow?

by Pieter le Roux | August 20, 2024

When the founders of wauko came together in September of 2015 we had a dream.  We wanted to create a business that would add true and measurable value in our clients’ businesses and lives.  For value to be real we needed to define it!  We defined value as determinable, distinguishable and sustainable.  

But we wanted more, we wanted much more!  

We wanted to create an experience – an experience of excitement, an experience of astonishment and an experience of exuberance.  And we called this wau!  Next came the question as to how we would deliver real value and thus the wau! Experience.

To build a business that would deliver on all these promises, we needed to approach it radically differently.  That meant getting rid of the box in its entirety… we spent weeks and months analysing what really drives businesses, their success or failure, their ability to grow quicker or slower.  We found one golden thread woven through the fabric of each scenario (whether the result was good or bad) … cash flow.  Cash flow is the critical thread able to put you under pressure and also the key to growing and becoming even stronger.  

Next came the task of understanding how one would go about analysing and understanding the cash flow cycle of any business.  Which areas contribute to the efficacy of the cash flow cycle in each and every business?  As we spent time understanding this, we took the approach of starting with cash in the bank and working backwards….how does a business generate cash, where does it start, what are the risks, what is the process, who are the people involved in achieving the result?

In analysing businesses, we worked with their actual data and how they fared in maximising their cash flow, we were astounded by what we could do in creating value for them.  We realised that each business has its own intricacies and levers for success.  The need for a tailored solution for each business was critical.  Our process, to be robust, needed to be tailored every time.  Creating a tailored solution, we needed to take a robust and comprehensive approach to creating a cash management policy which required thorough consideration.  This process, we called, “Refine, Rinse, Repeat.”  The results differed for each business, but there was consistency in the areas that needed to function properly to ensure that the cash flow cycle would be optimised.  

Once understanding the numbers we then moved to where cash flow begins.  In our minds, cash flow starts with strategy.  Strategy is driven and embedded through the strength of its people.  This meant that for a business to drive and enable strategy, their leaders and their teams need to be given the support to thrive, enhancing the performance of their people.  This high-performance focus is delivered to our clients through wauperform.  

With teams and leadership in a strong position, we found that every business needs sound financial management and compliance management principles that extends further than the finance department, thus into operations, the supply chain, and the value chain.

In addition, it is critical for the business to manage the treasury and risk management functions within the business.  This connects the business’s financial and operational information to perform liquidity/cash flow management, manage bank accounts, investments, debt, commodities, foreign exchange, and interest rate exposure and many more treasury related activities.

At wauko we pride ourselves in having built our business to ensure that we are able to empower every person and organisation everywhere with the cash flow management tools to enhance your return on investment.  

We have created an exclusive process whereby we get to understand your business and map your cash flow cycle.  We partner with our clients, working with them and their team to grow their people through our wauperform offering, create, manage, and maintain a thorough financial management and compliance function through waufm and waucomply and enhance the visibility and results within their treasury environment through wautreasury.  

We are there every step of the way, assisting them in the growth of their business, allowing them to focus on their core business, allowing them to do more and grow more than ever!

At wauko we are passionate about business! We love meeting new people and learning more about their businesses – reach out to us to set up a meeting. We would love to get to know you and share our wau! experience. Contact Dale Petersen on 021 819 7802 or at dpetersen@wauko.com to connect with us.

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