It all depends on who you talk to and what you read.
Cash Flow is a combination of many actions and events, all of which contribute to your income; money coming into the business which is a MUST for your business to stay open.
*Cash Flow-Always having a steady stream of orders coming in. Without orders, you’re out of business. This takes constant marketing, developing new relationships, nurturing current customers, making sure you have the edge over your competitors. Just to name a few things you need to monitor constantly. This all takes time, creativity, and effort.
* Cash Flow-Developing new marketing strategies. Staying current on where your customer and prospects are, and what they read. Just like we’re seeing the evolution today from regular mail (I’m sure some of you remember receiving envelopes with letters in them) to Social Media.
* Cash Flow-Developing new products. Something new is always needed to go back to current customers, and to attract new ones. This is part of staying ahead of your competition. Remember, someone is always building a better mousetrap.
* Cash Flow-Nurturing current relationships. Your customer must feel they are valuable to you, and they are an excellent source of referrals, if they are happy. This can be very time-consuming, but well worth the effort.
* Cash Flow-Developing new relationships. This cannot be hit and miss. It needs a regular schedule, and must be worked consistently to continue your business.
Cash Flow is all of the above and more. They all contribute to you company’s success, and are integral parts of the cash flow of any business. Every sector requires time, effort, thought, imagination, follow through, and regular updating. Each aspect needs a consistent plan of action on its own to integrate into the entire scope of your business.
As you work through all these pieces, there is the constant underlying need for a steady flow of money coming in, which in turn fuels the other parts of your enterprise. New products, new customers, new marketing strategies are the exciting parts of your business. They’re the fun, rewarding elements. Landing the new customer and the new order can take you enthusiasm and adrenaline to new heights.
When the checks and deposits arrive, they are rewarding too.You usually feel a relief. We got paid!
Are these payments coming in on a timely basis? Even if your customer is paying within their terms (net 30 days, for example), it that quick enough for you, when you need supplies, to make payroll, and pay other expenses? And, what about those customers, who pay, but they’re always late? It seems like an eternity for the payments to arrive.
Is your back office the part of the business you put off? You steel yourself, sit down, and start calling on late invoices. You really don’t want to do this. You feel like you’re hassling your customers. In the back of your mind you’re thinking, what if this makes them stop buying from me. You then delay calling; thinking maybe the check will come in today or tomorrow.
Those calls you make, take so much out of you. Many times the call just goes to voice mail. Should you leave a message- well no, I’ll call back. If you do speak to someone, and you do find out that the check should be mailed next week or in two weeks. Well, that’s good, but it doesn’t help today. You really need money in the bank now.
Cash, Money, is the major element of cash flow and recurring success. By factoring your outstanding invoices you can get cash today, and eliminate the stress and pain of waiting to get paid.
Stop your Cash Flow Pain today. For more information give me a call or email: