Cash Flow Management Strategies: A Systematic Review

Small and Medium Enterprises (SMEs) must manage their cash flow effectively to survive and grow. However, many SMEs continue to experience cash flow challenges that can lead to operational disruptions or business failure, particularly in developing economies where resources and financial management capacity are often limited. This study sought to examine existing cash flow management strategies in addressing poor practices by SMEs. The study employed a qualitative approach to examine types of cash flow management strategies used by SME owners and how well they work to solve typical cash flow problems across different global contexts, including South Africa. Methodically, a systematic literature review (SLR) was conducted. The review searched scholarly databases for peer-reviewed papers that were published only in English between 1996 and 2025, on existing characteristics of SMEs’ cash flow management strategies. A purposive sampling method was applied through the population, intervention, comparison, outcome, and context (PICOC) framework, which guided the eligibility and selection of studies. The final sample size for this study consisted of 24 peer-reviewed articles that met all inclusion criteria. A Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) flow diagram was used to summarize the process of selecting studies. Overall, the study concludes that although effective strategies are available, their success depends on proper implementation supported by adequate training, accessible financial systems, and stronger operational discipline. These findings highlight key areas where targeted interventions could enhance SME liquidity and improve overall financial sustainability.