Watching Every Penny: The State of Indian Start-ups
Padmaja Ruparel, Co-founder & President of Indian Angel Network (IAN), says daily monitoring of the status of cash is essential for early-stage companies, and it needs to be done by the founder or CEO. “It is important to collect payments against the revenues. ‘High receivables’ is a drain on cash flows and a daily focus on collecting is essential. Optimum quantum and time for ordering components/supplies, any extraneous expenses, credit periods provided to suppliers, etc., all need to be relooked at,” she says.