As you’ll no doubt realise, cash flow is critical to any firm. We understand that getting your hands on your cash (and then keeping hold of it!) can be difficult. That’s why we’ve put together these tips.
We’ve used these successfully with our customers in the past, so we know they can help.
How they’ll help you will depend on you and your business. At the end of the day you’ve got nothing to lose, so why not give them a go.
Here are our 5 top tips for better cash flow:
Tip One – Get busy NOW.
Most businesses come back to work needing to chase debtors. Take action right now. If you don't you'll be the firm that ends up ringing clients that have already paid their other suppliers but now have no free funds to pay you.
Tip Two – Use the PHONE
Did 2017 feel like the year that you were constantly chasing debtors? Are you more likely to pay a creditor that calls you directly and asks to be paid personally – or the one that sends a passive request via email or envelope? It’s a no-brainer who gets paid first. If you hate chasing debtors (it’s not everybody’s favourite job) look at outsourcing to smartAR – see www.smartAR.com
Tip Three – Offer FEEFUNDING
If you have any debtors that owe multiple creditors money (more money than they have to hand) that’s the perfect client to offer fee funding. Your firm gets paid in full and your client can enjoy equal monthly payments for up to a year with very little extra cost. It’s a win-win, leaving you paid in full and them with more funds to pay other creditors too. Contact us if you need a refresher on the benefits of our fee funding service or click here for a refresh!
Tip Four – Anticipate OBJECTIONS
Some clients will resist paying – that is guaranteed. A few will have genuine reasons (e.g. work not done), others will make excuses because they don’t have the money. Make sure your person calling is prepared with responses to common objections. If you don’t currently use a script to guide your responses feel free to use one we have recommended for years. It covers most scenarios and better still – it works. Contact us to obtain a free copy.
Extra Tip – Anticipate THE YEAR AHEAD
Again, did 2017 feel like the year that you were constantly chasing debtors? If so, why not set up your terms of trade and debtor systems to avoid it happening again this year. Contact us for some ideas how to avoid this scenario.
Why will you need an effective cash flow strategy?
Having an understanding of our top 5 tips is great, but… putting them into practice and having an effective time frame is fundamental... In the below link, we'll help you formulate an effective cash flow strategy to improve the speed of your own firm's cash flow.
Lock in a convenient time to talk with one our professional service - cash flow specialists.
We’ll “dive down deep” and review your firm's cash flow, giving you the best chance to increase cash flow for the busy year ahead.