Data-driven decision-making: cashflow and financial health

Anna Stubbs • November 19, 2024

In this series, we continue to look at how data-driven decisions sit at the heart of running a successful business in 2024.

Today, we’re looking at how proactive use of data can improve your small business cashflow, and the overall financial health of your company.

Do you know the positive impact that data analysis could have on your cashflow?

We all know that ‘cash is king’, but keeping tabs on the unpredictable path of your business finances can be hard work. Cashflow can ebb, flow and suddenly dip, leaving you without the working capital you need to trade, grow and expand the business.

How can data-driven decision-making help you get in control of your cash?

Here are five ways that data puts you back in the driving seat:


Enhanced financial forecasting

Forecasting apps, like Float and Fathom, take the historical data from your account, analyse the current trends and project your cashflow and revenue forward in time to give accurate forecasts of your future cash position.


Optimised inventory management

Instead of guessing when to replenish and buy new stock, data analytics can help you identify the best inventory levels. This reduces the risk of running out of stock or having excess inventory that can tie up valuable cash.


Targeted marketing

With some analysis of your sales data, you can quickly identify your most valuable customers. This gives you the customer data needed to tailor your marketing efforts, reach the most engaged audience and drive higher revenues.


Improved pricing strategies

Data-driven pricing allows you to set prices that are competitive but still profitable for the business. Thorough analysis of the price points in your market help you fix a price that sells, while also maximising your revenue potential.


Cost reduction

Deep dives into your operational data and spending can be revealing. You can quickly spot the areas where costs can be reduced, budgets can be trimmed and better profit margins are possible – all of which helps to improve your cash position.


Talk to us about using data to improve your financial health



Putting data-based reporting, key performance indicators (KPIs) and forecasting at the heart of your financial management is a no-brainer. But where do you start?

Our team can talk you through the best way to record, filter and analyse your financial data, so you can make informed decisions that keep your cashflow in a positive position.

Start Up Loan Scheme: getting your business off the ground

By Anna Stubbs • January 29, 2026
Having adequate access to adequate funding is fundamental for any startup. In the early stages of getting your enterprise off the ground, you need working capital to reach the all-important minimum viable product (MVP) stage, rent premises and hire staff. But where does this initial funding come from? Let’s look at the UK Government's Start Up Loan scheme and the funding options it offers.

Cost-saving measures and how they drive profits

By Anna Stubbs • January 29, 2026
Question: “Can cost-saving measures in the business truly be a key driver of profits?” Running a profitable business is one of your key goals as an owner. Without profits, there’s no capital to reinvest in the business, no funds to grow the company and no money for your own dividend payment at the end of the financial year. So, is cost-saving the answer in these challenging economic times? Answer: “Careful management of costs is a fundamental way to improve your profit margins and profitability as an enterprise” Cost-saving measures will have a direct and measurable impact on your profits. This is usually achieved via two main mechanisms. Firstly, reducing your variable costs (like raw materials or direct labour) increases your gross profit margin. This retains more revenue from each sale you make as a business. Secondly, lowering fixed overheads (such as rent or software licenses) directly reduces the total expenses on your profit and loss statement, leading to a higher net profit. This immediate bottom-line improvement makes you a more financially healthy prospect to investors and lenders – which, in turn, can often make it easier to access funding and grow the business. Want to know more about cost-saving measures?  Talk to the team about your profit goals and we’ll advise you on the key ways you can reduce your overheads and expenses to drive improved profits.

Protecting you and your business: taking out insurance

By Anna Stubbs • January 29, 2026
We all hope that our pathway along the business journey will be smooth and uncomplicated. But the reality is that accidents can happen, along with unplanned injuries, damaging weather events and legal suits from disgruntled clients. So, what can you do to protect your business from these potential negative consequences? The answer is to take out the relevant business insurance for your company.