It is important that any business has a strong cash-flow and that this is carefully managed and monitored. When cash-flow becomes tight in a business it can mean that it becomes difficult for suppliers, staff and contractors to be paid. There are a number of ways that you can help improve your business cash-flow.
Bookkeeper – using a Bookkeepers Hereford way such as those from office-support.co.uk/bookkeeping can dramatically help improve your cash-flow. This is because they can ensure that your financial records are up to date and that you are regularly reviewing your business’s financial position.
Invoicing – making sure that you send your invoices out promptly. There are a number of accounting software options that can help you to speed up your invoicing. In many cases this will allow you to invoice as soon as your products or services have been delivered.
Expenses – it is important that you keep a track of your business expenses as this can have an impact on your cash-flow. This is another area that accounting software can help with. If your employees can claim expenses you can ask them to submit repayment requests and receipts via these kinds of platforms.
Payment terms – if you use suppliers for your own business you might want to look and see what payment terms you can agree with them. If you can match these to when your invoices are paid from your customers and clients you can improve your cash-flow.