4 quick tips to improve your cash flow finance

January 31st, 2014

Make sure your cash flow finance is in order before the BAS deadline.

The next BAS deadline is barely a month away, which means small businesses across Australia are scrambling to get their finances and forms in order.

It's especially important to stay on top of your cash flow finance as the deadline looms, particularly as your balance sheet might not always looks so positive at the start of the year. However, there are a few quick ways you can boost your small business finance.

 

1. Help your customers help you

If you find straggling debtors are a problem, you might be able to encourage them to pay with just a bit of effort!

Do whatever you can to motivate your customers to pay on time. For example, invoicing as soon as possible is always a good idea - the faster you bill your clients, the sooner they're likely to pay.

Offering early payment discounts can also act as an effective incentive.

 

2. Stay on top of your inventory

In order to boost your cash flow, you should also take the time to manage your inventory flow.

Review your inventory regularly to identify any redundant stock that might be tying up valuable cash.

 

3. Consider bartering

Limiting the amount of cash leaving your business is just as important as making sure there's a steady supply coming in.

If you're a bit tight on cash but need to acquire essential items, why not offer bartering some of your own goods or services in lieu of a monetary payment?

 

4. Use debtor finance solutions

Most businesses tend to steer clear of bank loans even in dire circumstances, and it's easy to see why.

If you have a stack of unsettled invoices, you can use them instead to revive your cash flow. Getting on board with a debtor finance company can help you quickly turn those pieces of paper into useable cash for your business.

If you'd like to learn how Earlypay's Invoice Finance & Equipment Finance can help you boost your working capital to fund growth or keep on top of day-to-day operations of your business, contact Earlypay's helpful team today on 1300 760 205, visit our sign-up form or contact [email protected].