3 simple techniques to get your cash flow back on track
Cash flow can be a tricky thing for many business owners to manage. Once you’ve set up the books, you need to ensure your customers and suppliers work within your terms to keep your cash afloat. From time to time, business owners can find themselves in awkward situations that might challenge their relationship with their customers or suppliers. So what can you do in these situations to get your cash flow back on track?
Ask your customers to pay upfront
If your business can turn things around quickly, you should consider asking your customers to pay upfront or at least put down a deposit for your services. Depending on the type of business, you’ll find that customers generally won’t have a problem with this, as we all pay for the things we need in our day-to-day upfront anyway. By asking for upfront payment, you are also showing your commitment to get the job done.
Review your billing statements
If you find you are short on cash, review your billing statements to see where your money is going. Take note of any subscription services you are no longer using and cancel these if they don’t serve any purpose. By streamlining your spend, you will also find you will have better oversight on your outgoings and will reduce the amount of times you ask yourself, “What was this for?”
Look for discounts
Are you using the same supplier or service for more than one thing? Or have you been a loyal partner for a number of years? Either way, you’re entitled to ask for a discount — it never hurts to ask. Many suppliers are willing to negotiate on pricing if it means you will keep coming back to them.
If you need a hand to get your cash flow back on track, get in touch with the SWAG Bookkeeping team.