Kill Your Cash Flow

What do you need cash flow for? It would make things easier not to worry about the cash. Of course, this means not caring if your business crashes and burns. Let's see what we can do to make sure that happens:

• Bill clients long after you provide the service or product: Take your time. Don't rush when you have many things to do. Six months or a year makes no difference. By the time you're out of business, it's extra cash to do as you will since the business is gone and you can't put it back in.
• Take checks by mail only: Credit cards are a pain and the credit card companies charge for it anyway. Cash is too easy to lose. Checks should arrive by mail to ensure they end up in the right place. Again, why do you want payment in a hurry? It just keeps you in business.
• Accept full payment only: Don't ask for 50 percent up front or anything like that. Just expect the whole shebang within a year or so. Don't throw the yellow flag and penalize late payment.
• Refuse to work with other businesses: These other businesses will get in the way. Their loyal customers probably will give you business if the business refers them to you.
• Avoid tracking invoices: Don't waste your time tracking outstanding invoices. You have too much to do. They'll come when they come. Besides, this freed up time gives you more time to spend on social network sites and surfing the web.
• Skip asking for loans: Loans means paying more for the money you get. You ask for $100 with 10 percent interest and that means you have to give the loaner an extra $10 for your loan. Rely on your own money and make it work for you even if it means not having the cash to expand, pay vendor bills or make payroll. Why grow the business? When you do that, it means more things to manage.
• Target every business and industry: This way the whole world is your potential market. Hey, maybe that bank could use the oil and gas you sell or the farmer needs your janitorial services. After all, bankers must have cars and farmers have lots of dirt on their fields, right?
• Pick the first loan you find: If you must get a loan, go with the first one available no matter the interest rate, collateral requirements, and other requirements. At least, you won't spend so much time shopping for the best fit.

These steps will help you get the business off your hands fast.

Seriously, managing cash flow doesn't have to be a time consuming task when you do your research to find the right financial partner. We've heard stories from folks who said getting a loan cut their cash flow management activities from four hours a day to a couple of hours a week.