Top 25 Cashflow Tips
#Cashflow Tip 1 – Prepare customer invoices immediately upon delivery of your goods or services to the customer
#Cashflow Tip 2 – Monitor your customers use of credit and adjusting their credit limits accordingly
#Cashflow Tip 3 – Offering customers a discount for paying their invoices early
#Cashflow Tip 4 – Establishing a deposit policy where customers pay a certain % of the total invoice up front before the job begins
#Cashflow Tip 5 – Track your past-due accounts and actively pursue collections
#Cashflow Tip 6 – Make it a regular practice to review your receivables and identify accounts that are late paying or overdue.
#Cashflow Tip 7 – Pay bills only when they’re due rather than paying right away
#Cashflow Tip 8 – Know your business’ balance sheet thoroughly
#Cashflow Tip 9 – Set up a cashflow budget. Focus on forward planning to generate a “best guess” about likely future sales and expenses.
#Cashflow Tip 10 – Plan for the lumps – Be aware of when lean cashflow patches are coming up and plan accordingly
#Cashflow Tip 11 – Get finance products (Overdrafts, premium funding, lease facilities, Business Credit Cards) working to your benefit.
#Cashflow Tip 12 – Check your terms of business adequately cover all eventualities and clearly display the payment deadline on invoices
#Cashflow Tip 13 – Link sales commission to invoices paid – only pay out when you have had the money in
#Cashflow Tip 14 – Understanding how product sales cycles work can mean the difference between staying afloat and getting dragged under.
#Cashflow Tip 15 -Adopt a follow-up system 4 credit control. Call customers if payments are late & issue statements & reminder invoices.
#Cashflow Tip 16 – Holding more inventory than you need costs your business money, so plan ahead and be aware of customer buying patterns.
#Cashflow Tip 17 – Win more clients -Get more customers on your books.
#Cashflow Tip 18 – Build a relationship with the accounts payable department so you know their finance process & payment terms inside-out.
#Cashflow Tip 19 – Consider Leasing instead of buying equipment
#Cashflow 20 – Relationships are everything – Build strong relationships with all parties involved in your cash flow process.
#Cashflow Tip 21 – Have an expert (financial advisor, accountant) run financial reports monthly 2 know exactly where you stand in business
#Cashflow Tip 22 – Triage payments -List all payments due for the next quarter. Prioritise payroll & negotiate others to pay later.
#Cashflow Tip 23 – Hire Interns as a “Win-Win”
#Cashflow Tip 24 – Minimise what you take out of your business for personal use to ensure cash flow available for the company to grow.
#Cashflow Tip 25 – Having a saving plan – Keep aside a minimum of 5% to 10% your drawings.