How to Take Control of Your Cash Flow

By QuickBooks

3 min read

You have more control over your cash flow than you think.

When it seems like your income and expenses are out of sync—bills racing in, invoice payments lagging—you actually do have options.

Seasonal swings in income, unexpected expenses and sluggish payments from customers can leave businesses strapped for cash. This video shows how one business turned a slow season into a growth season.

“I got an email from QuickBooks Financing. It was a simple click. I got the paperwork (which was minimal) and within 24 hours we were funded.”
Dave Kerr, VP, Perfect Delivery

7 Ways to Control Cash Flow

It’s amazing how a few simple changes to the way you run your business, can keep your cash flow healthy and problem-free. Take a look and try them out.

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Get Paid Sooner

Bill on time. (Seems obvious, but not always easy…) Better yet, bill every two weeks, instead of monthly. And consider using what’s called 2% 10/30 terms. This gives your customer a discount for paying within 10 days.

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Hire Contractors

In this age of the ‘gig economy’, finding temporary workers is easier than ever. There are online recruitment services that specialize in different industries. A few to consider include TaskRabbit, UpWork, Thumbtack, UpCouncel (for legal) and Wonolo.

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Delay Major Expenditures

Hold off hiring until peak season. Put off investing in costly equipment as long as possible. The more cash you keep available, the better prepared you’ll be for those inevitable surprise expenses.

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Make Payment Easy

The easier it is to pay you, the sooner you’ll get paid. If accepting checks, make sure customers have everything they need—who to write the check to, amount of check. Self addressed and stamped envelopes and a clear “Thank You” are always appreciated.

Online payment options—one or two clicks and they’re done—is a great way to get customers to pay faster. Some banks have their own systems. And there are plenty of services like PayPal and bill.com to choose from. Plus, QuickBooks Bill Pay lets you include one-click payment links right in your invoice.

Keep Costs Transparent

Nothing slows down the payment process faster than a bill that’s higher than expected. Make sure your customer knows up front exactly what the costs are—and what may have changed over the scope of the project.

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Explore Invoice Financing

You can be highly profitable and still have serious cash flow issues—especially when you have multiple outstanding invoices for big projects. Some lenders will finance you for what you’re owed, to get you through cash strapped situations.

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Consider a Line of Credit

Sometimes your money’s just not there. But payroll still is. So are your bills. When this happens, many small businesses bridge the gap with a line of credit. Check this site to see if your business qualifies.

Managing cash flow is a big part of every small business. We hope these tips will help make yours as healthy and stress-free as possible. Because at QuickBooks, we believe that when your business thrives, our business thrives—we’re in this together.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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