#Liquidity101 Here’s a concise yet informative **#Liquidity101** post for your audience:

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### 💧 **What is Liquidity?**

Liquidity measures how quickly assets (like cash, inventory, or investments) can be converted into cash without losing value. Think of it as "financial flexibility":

- **Cash** is highly liquid (ready to use instantly).

- **Property or rare collectibles** are illiquid (take months/years to sell at fair value) .

### 🔍 **Why It Matters for Businesses**

Liquidity determines if a company can:

1️⃣ **Pay short-term debts** (e.g., salaries, suppliers).

2️⃣ **Seize growth opportunities** (e.g., buy equipment, hire talent).

3️⃣ **Avoid bankruptcy** during cash crunches