EFFECT OF CASH MANAGEMENT PRACTICES ON FINANCIAL PERFORMANCE OF MANUFACTURING FIRMS IN MOMBASA COUNTY

The purpose of the study was to investigate effect cash management practices on financial performance manufacturing firms in Mombasa County. used cross sectional research design. population consisted 25 County which were members Kenya Association Manufacturers. Stratified random sampling technique select a sample size 129 respondents with help Yamane formula. quantitative nature and primary data collected by use structured questionnaire. Data analysis done Statistical Package for Social Science (SPSS) version tool. Descriptive statistics inferential formed techniques used. findings revealed that inventory turnover period, accounts receivable cycle conversion have an inverse relationship performance. Accounts payable found positive Further, results indicated there is periodic planning exercise firms. Also place effective policies continuously monitor levels take corrective actions when necessary. had implemented systems. It concluded periodically reviewed their bad debts before making decisions. also set debt collection period realistic realizable. firm are offers discounts debtors who pays early. suppliers credit extended reasonable time adopted sound . creditors’ payment at last date due entered into agreement creditors recoup dues back operations interest. recommended should carry out exercise. This would solve challenges costs. review make plan receivables effectively. Key Words: Inventory Conversion Period, Receivable, Cash Payable CITATION: Biasha, A., & Mwanzia, S. (2022). Effect Strategic Journal Business Change Management, 9 (4), 68 - 83.