
The last 2 posts covered the first four of the killer
mistakes you can make that will not only make you lose your fish, but possibly
your entire company. Today we’re going to talk about the fifth killer mistake:
Up Cash Creek Without a Paddle.
Even when business is good, there’s still a chance of running
out of cash flow. You have to always be prepared for a slow in sales or a surge
in expenses. One of the keys to balancing your cash flow is to get your clients
to pay on time. This can seem like a nightmare but is absolutely essential to a
successful business.
Here are some tips to speed up the payment process:
·
Always send
invoices on time and adjust your records for potential audits.
·
Learn how the
client processes payments on their side and find out precisely where to send
invoices.
·
Find out who’s in
charge of processing orders and payment, so you know who to contact if needed.
·
Have a follow-up
procedure in place, just in case.
·
As a last resort,
call your contact to ask questions.
· Always make sure your invoices are correct before sending them out.
You also need to make sure your cash flow is protected. You can do this by:
·
Always know which
accounts need paid and when.
·
Negotiate with
your suppliers for the lowest cost possible.
·
Have a bank
contingency plan in place.
· Build your own investor network.
These are all great ways to protect the cash flow of your
business and prepare for fish transitions and slow sales. These last few
lessons are all about finding and catching your big fish clients. These clients
are essential to your success and you need to take the time to work through
each of these steps carefully and correctly for the best success.
If you need help with any step of the process of catching
your fish or subsequent big fish clients, try our FREE test drive for access to
a wealth of great tools and resources as well as our business coaching staff.