3 Tips To Improve Cash Flow In Your Business

Cash is king as they say…

Reconcile Cash Daily Or Weekly

I know you probably hate doing the monthly reconciliation, so doing it daily or weekly probably sounds terrible. But cash is your most valuable asset, so knowing how much you have is too important to ignore. So get it on it daily or weekly.

Tighten Up On Unpaid Invoices

Manage your receivables like a bank does its loan book. This means having a follow up schedule for unpaid invoices is the key to keeping your business healthy. Pick one day a week to go through your aging report and call or email those that are past due asking when they will put their check in the mail. Follow this practice and you’ll have trained customers that know you mean business when it comes to paying on time.

Forecast The Future

Look for seasonal cash flow trends and plan for them. Your accounting system is one big history book. A simplified weekly cash flow forecasting spreadsheet can be a great management tool for any small business in providing insights about your future cash balance.