Glosario

Cash pooling is a centralised cash management technique where a company or group of companies consolidates their cash balances into a centralised account. This practice optimises liquidity management by effectively combining surplus funds from some accounts with deficit balances in others.

By maintaining a single master balance with each banking partner, organisations can minimise interest expenses, reduce transaction costs, maximise interest earnings, and improve overall financial visibility. Cash pooling enables more efficient capital allocation, enhanced forecasting capabilities, and stronger negotiating power with financial institutions.

‍