Cash Improvement Opportunities

These are some pointers for looking after your business finances during the current economic climate – which we previously issued to clients during Covid

• Ask for a partial or full payment up front
• Invoice on completion – not at end of the month
• Reduce terms to 7 days – not the usual 14 or 30
• Offer 1-5% early payment discount
• Hit Milestones during a contract – so further invoice can be issued
• Request Progress Payments on longer projects/tasks
• Get sign-off on completion or milestone – to avoid payment disputes
• Systemise Billing process – Quickbooks can automate regular invoices
• If payment overdue – add interest – and collect this
• Factor the Invoice process – removes the risk at a small cost
• Negotiate longer payment terms from Suppliers
• Bulk buy at a discount
• Reduce stock levels
• Raise finance against assets – equipment or property
• Review costs – look at cancelling subscriptions where possible
• Reduce personal costs – so that lower drawings/salary/dividend can be taken

Get in touch
If you would like further information on these areas please contact one of the team.