Your cash flow questions
Nearly all businesses will encounter a cash flow problem at one stage in their life cycle. Fortunately for those businesses, most cash flow problems can be prevented with preparation, and the right strategy.
How to manage cash flow effectively?
Maintaining healthy cash flow does not come by chance. You need to actively manage your cash flow to more effectively control the inflow and outflow of cash both in the short term, and long term.
How can I improve short term cash flow problems?
1. Chase your debts
It’s not rocket science. Pick up the phone, speak to customers and ask them why they haven’t paid and when they’re going to pay.
2. Don’t rely on your bank
When your bank won’t extend overdraft facilities, talk to us about alternative ways of raising cash through funding and asset finance.
3. Consider factoring or invoice discounting
These can give you 90% of the invoice value immediately – ask us about how to make best use of factoring.
How do I improve long term cash flow problems?
1. Debtor management
Learn how to manage debtors nearly due, due or overdue – our team can help.
2. Issue invoices promptly
It gets your invoices in a customer’s system more quickly.
3. Cash flow forecasting
Predict the peaks and troughs in your cash flow. Helps you to plan borrowing or know when surplus cash is available.
4. Consider asset re-finance or sale & leaseback
We’ll help you use your equipment assets to release cash. Find out more about our funding and asset finance services.
Cash flow & forecasting
If you are having problems managing cash flow we can help prepare cash flow forecasts which can help you to plan for growth and stabilise your business to help make your future plans a reality.