Nachverfugung

Nachverfugung is a German financial term that can be translated to "after-provisioning" or "subsequent allocation" in English. It refers to the practice of setting aside additional funds after an initial budget or financial plan has been made. This can be done in various contexts, including business, project management, and budgeting for personal expenses.

In accounting, Nachverfugung is often used in the context of cash flow management. It involves setting aside a portion of revenue not yet booked, to ensure that there are sufficient funds available when needed. This can help companies avoid liquidity shortages and maintain a stable financial position.

The concept of Nachverfugung is closely related to the concept of reserving, which involves setting aside a portion of income or revenue in anticipation of future expenses. In contrast to reserving, Nachverfugung refers to the additional allocation of funds after an initial budget has been established.

Nachverfugung can be applied in various industries, including construction, IT, and finance. In the construction industry, for example, a company may set aside additional funds for unexpected expenses or changes in project scope. In IT, a company may use Nachverfugung to allocate additional resources for a project that has exceeded its initial budget.

Overall, Nachverfugung is a useful strategy for managing financial risks and maintaining a stable financial position. It involves being proactive and flexible in budgeting and financial planning, and is essential for companies that operate in complex and dynamic environments.