This is needed in case other institutions have refused your request for a loan. With the help of a qualified lender, you can easily find other means to secure a good loan that can help you purchase a house and property. Maintaining good cash flow is vital for all small businesses. To really understand its role, think of cash on hand as a small business' vital fluids- the more cash on hand it has, the more 'liquid' a small business becomes. A favorable liquidity level means the business is able to settle the current portion of its obligations when they become due, thus allowing for smoother operations. Good cash management for small business simply means the business is able to maintain adequate cash on hand.