Cash & Liquidity Planning
Cash inside an Indian subsidiary obeys different physics. It cannot join the group's global cash pool; surplus deployment is bounded by regulation and board authority; intercompany settlement runs through FEMA's corridors; and the entity's own calendar — advance tax quarters, GST months, payroll cycles, statutory deposits — creates a liquidity rhythm that group treasury models built elsewhere do not anticipate. The result, in unmanaged subsidiaries, is the familiar pair: idle cash earning nothing, and periodic scrambles when three statutory outflows land in the same week.
We give Indian cash a structure. Liquidity is forecast against the entity's real obligation calendar so the scrambles disappear; surplus is deployed within regulatory and policy boundaries — deposits, liquid funds, and tenor-laddered instruments matched to forecast needs; working-capital facilities are arranged and negotiated where the cycle demands them; and intercompany settlement discipline keeps balances clean, documented, and FEMA-compliant, so the subsidiary's cash position is always explicable to the parent, the auditor, and the bank simultaneously.
What this covers
- Liquidity forecasting built on the entity's statutory and operational payment calendar.
- Surplus deployment frameworks: instruments, tenors, and counterparty limits within board policy.
- Working-capital facility structuring and bank negotiation.
- Intercompany settlement discipline: clean, documented, compliant balances.
- Treasury dashboards giving parent and local management one view of cash, exposure, and upcoming obligations.
Who needs this
Foreign subsidiaries holding meaningful rupee balances; group treasurers who need India visible inside global liquidity planning despite the pooling restrictions; and CFOs alternating between idle cash and month-end surprises.
How we deliver
- Liquidity forecast built on the entity's statutory and operational calendar.
- Deployment framework designed within board policy and regulatory limits.
- Monthly treasury dashboard: cash, exposure, and upcoming obligations in one view.
Why A2 Consultants
We plan Indian liquidity around the calendar that actually drives it — advance tax quarters, GST months, payroll cycles — so surplus works, obligations never scramble, and the parent always knows where the cash is.
Engagement & what to expect
Setup runs four to six weeks: the entity's payment calendar mapped, liquidity forecast built, deployment framework designed within board policy, and the treasury dashboard established. The operating rhythm is monthly — forecast refreshed, surplus deployed per framework, upcoming obligations flagged — with quarterly reviews adjusting structure as the business moves. Working-capital facility support runs as needed: sizing, bank negotiation, and documentation. The transformation clients notice first is the absence of surprise: month-ends without scrambles, surplus earning rather than sitting, and a parent that always knows the position.
Indian cash cannot join your global pool, but it can be governed like it did — structure replaces the scramble.