UAE · COMPLIANCE & ADVISORY · SINCE 2017
SERVING ALL 7 EMIRATES OF THE UAE
Insights/Advisory
Advisory · 20 May 2020 · 5 min read

Protecting cash flow when revenue stalls.

Author · Jinu Kurikesu
Reviewed · Jinu Govindan

When revenue slows suddenly — as it has for many UAE businesses this year — the question stops being “are we profitable?” and becomes “do we have cash next week?”. Profit is an opinion; cash is a fact.

Build a 13-week cash forecast

The single most useful tool in a downturn is a rolling 13-week cash flow: every expected receipt and payment, week by week, updated every week. It turns vague anxiety into a clear view of the tightest week ahead — and buys you time to act before it arrives.

Then protect the runway

With the forecast in hand: chase receivables actively, talk to suppliers early about terms, separate essential from deferrable spend, and keep your bank informed rather than surprised. Decisions made six weeks early are choices; the same decisions made in the tight week are emergencies.

Written during the 2020 slowdown; the cash discipline holds in any downturn.

This note is general guidance and does not constitute tax or legal advice. For an opinion on your facts, contact the firm directly.
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