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Good cash flow management is at the heart of most successful businesses. By the same token, cash flow prob

According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product

lems caused by a time lag between when you pay your suppliers and when you receive money from your customers, is

; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

Examples of combination products may in

at the root of many companies’ failures.

This article discusses some key cash flow management techniques to help

lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

you stay in the black.

Cash Flow Projections:

Preparing accurate cash flow projections can alert you to

here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe

problems before they actually materialize.

Cash flow projections are educated estimates that incorporate your cu

d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

Combination pro

tomers’ payment histories and how long your suppliers are prepared to wait to get paid.

Begin your cash flow pro

ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc

jections by adding cash on hand at the start of the period with cash you expect to receive in. Then note the amou

easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi

ts and dates when you will have to outlay cash. Cash flow projections should at least cover the following year a

nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically

nd possibly also the following quarter.

Preparing cash flow projections is an essential aspect of cash flow mana

and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ

ement.

Improving Receivables

Another way that you can manage your cash flow is by improving your receiva

ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi

bles. In other words, increase the speed with which you turn supplies into product; inventory into receivables an

ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

Following aspects would a

d receivables into cash. You can do this in a number of ways such as by; carrying out credit checks on new custom

dd to the challenges in developing combination products:

Which markets to tap where the combination products can do fairly well?
Which combination prod

rs and by following up late payments.

Managing Expenses

Controlling your expenses is another way to mana

cts are meaningful and rational?
Which therapeutic categories to select?
Which Combinations can address unmet needs of the patients?
Do combin

ge your company’s cash flow. One way you can do this is by only making payments on the day they are actually due,

tions increase the patient compliance?
What would be the developing cost?
How to tackle the risks encountered during combination product developmen

not before.

Managing Shortfalls

Most businesses experience cash shortfalls at one time or another. The t

t?

As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel

rick is to be aware of the shortfall as early on as possible. Banks are very nervous about lending money to peopl

ping new procedures for reviewing their safety, efficacy and quality.

Professional from academic institutions, pharmaceutical industries, health care indust

and companies who say they need money straight away. They much prefer to be given notice that you will want to b

y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products

orrow.

One way to manage cash shortfalls is to realize that your company is going to experience them at some tim

.

As there is an increasing trend of the combination products companies manufacturing such products should be able to tackle the problems involved in the de

and to therefore arrange a line of credit at your bank. This will enable you to borrow money when you need it.

elopment. They need to be wiser in analyzing the market trends and the regulatory requirements.

Companies that provide selfless information through particip

Alternatively, you could ask suppliers for extended payment terms or ask your best customers to speed up payments

tion in industry events and feedback to regulatory authorities would be able to face the challenges and will be successful in developing combination products

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I think of the many opportunities I have to offer assistance to the companies who have not made the connection between untrained employees in the area of proper telephone etiquette and reduced profits. Every connection an employee has with a customer, patient, client (or potential one) is vital to the profits of any company. I therefore offer to you, Telephone Etiquette for Businesses.

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