Small businesses use their line of credit for cash flow to run daily operations and pay vendors, suppliers, and business partners. Unfortunately, a business line of credit is hard to come by. Even if a company already has one.
Ideas, Tips and Insight on “all-things-business” from the financial experts at Capital Solutions Bancorp.
Most companies have suppliers. Yes, you’re their customer. And they should go out of their way to treat you well.
How much time do you put into making your clients happy?
How about for finding new clients?
Which takes more of your time?
A small business can make a profit and yet keep running out of money. Profit does not mean a business has positive cash flow. It’s natural to think a profitable business has cash on hand when profit means financial gain. However, financial reports can show profit without money in the bank.
Without cash, a small business can become insolvent, unable to pay its employees and bills. In “What I’m Still Learning About Managing Cash Flow” from the NY Times, Jay Goltz explains how a company can show profit without having cash on hand.
We’re no longer at the start of the year and tax time will soon pass. After that will be a great time to put on your stethoscope to give your business an all-important physical. This exam requires taking time away from your routine to effectively gauge the progress of your company’s health and identify needed changes.
I received a letter from a company that provides small business loans and financing. This company had been on my radar because of their less than stellar reputation.
Cash flow is tight and small business financing is increasingly hard to come by without paying a high price. To ensure positive cash management, small business owners renegotiate more favorable terms on their contracts with suppliers, bankers, and landlords.
And most of them are willing to do it in exchange for ongoing businesses.
This is the single most important thing you can do to increase your sales TODAY:
Ask yourself: Why are my prospects and clients saying NO?
Have you heard about payday loans? Chances are good you’ve heard nothing good about them. They trap customers in an endless debt cycle. You wouldn’t dare, right?
The simple act of getting paid can take up a big chunk of small business owner’s time while pushing stress levels to new highs. Aside from exploring funding options to help with cash flow problems, businesses can put safeguards in place to stop wasting time on chasing down payments. With the time they regain, they’ll be able to do more business development.