Summer is over and it’s back to business. With everyone on holidays, signing off new deals with clients can be difficult to achieve and credit control can be near impossible with accounts staff away. So our Autumn Cash Boost could be just what your business is needs to improve its cash position and accelerate growth as we head towards Christmas.
Cash Boost #1
Review Your Aged Debtors List
Often those who shout the loudest get paid first and when accounts is busy catching up, putting in a call to get your invoices pushed to the top of the list will mean you get paid ahead of others. So check who owes you money and get on the phone.
Cash Boost #2
Check Your Summer Billings
With you and your team off on holidays at different times, it is entirely possible that an invoice or two may have been forgotten. Start by printing off your sales ledger to check that billings are as you expect or check timesheets are completed by all members of staff so you know you have billed all you can.
Cash Boost #3
It sounds simple – the less you spend, the more you save which gives you more working capital. But so easily overheads can start to mount up like that monthly subscription you forgot to cancel. Run your profit and loss account for the year and review spending across each category to find out where savings can be made.
Cash Boost #4
Pay Suppliers Slower
Slowing down the speed you pay your suppliers can make a huge difference to your cash flow. Try negotiating longer payment terms with large suppliers or those that you have a long standing relationship with. You could even begin to pay supplier where possible by credit card which may mean you can take advantage of the supplier payment terms PLUS the time between receiving your credit card statement and having to pay the balance.
Cash Boost #5
Put Your Prices Up
When you are employed, it can be simple enough to wait for your annual pay rise or walk into your bosses office to request an increase to reflect what you are achieving or the long hours you are putting in. When you run your own business or are a freelancer, increasing your prices means you need to go to your customers to have a discussion which ultimately could risk loosing them. The first step is of course to consider market rates and that you won’t simply price yourself out of the work, but if you feel you can put your prices up approach your clients as you may find you’ll be earning more money for doing the same work.