In this episode of the Advanced Manufacturing and Mobility Business Minute, David Gale, our Global Advanced Manufacturing Transactions leader, shares his insights on a critical concern for manufacturers during the COVID-19 pandemic – liquidity and cash management.

During the podcast, David covers the following liquidity topics:

• Why is maintaining liquidity so critical for manufacturing companies during the COVID-19 crisis?
• What actions should companies be taking to protect their liquid assets?
• What effects can manufacturers expect as a result of the pandemic?
• What other considerations should be taken to address liquidity issues?
• What are some best practices in managing liquid assets you've seen during the crisis?

Key takeaways:

• It is critical for companies to understand and control their liquidity position.
• Companies should assess their financial resilience, evaluate the need for a cash office, limit their discretionary costs, pause non-essential spending, maintain uncommitted credit and build a cash buffer wherever possible.
• The longer it takes to "flatten the curve" of the COVID-19 pandemic, the more companies will be forced to shut down as they run out of capital.
• Communicating frequently with stakeholders and demonstrating transparency will establish trust during this uncertain time.