5 Simple Rules For Business Success
The single, most important aspect of running a business is having CASH!!
It is impossible to trade without cash – it is very difficult to trade if you are not profitable but without cash your business will die, and die quickly.
Keeping your head above water is not that hard if you follow the basic steps below:
- Keep a very close eye on cash flow – you must know how much you owe, what is owed to you, how much you have got and how much you are going to need. It is YOUR business so no excuses here – know the numbers.
- Do the cash flow projections – how close to the wind are you sailing, what fluctuations in the business are you seeing and what are the trends? It is inexcusable not to do this on a weekly/monthly/quarter basis!
- Be clear on your credit terms and check every invoice to see that this is correct.
- Check and double-check the credit records of your clients – always do this until you are totally sure of their reliability.
- Be ruthless about writing, sending out and then chasing Invoices. It is essential to be clear and firm here and whilst being reasonable always talk to those who owe you money and never hope that they will pay up.IT IS YOUR MONEY THAT THEY OWE YOU.
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