3 easy to implement tips on Healthy Cash Flow
Happy Sunday! welcome back to SUNDAYS & BUSINESS, this week featuring Pinchas Engel from Pinit Bookkeeping with 3 easy to implement tips on Healthy Cash Flow
Track your money.
You need to have a system that records how much money your business is making and spending. Review this information at least once every month. This will help you understand your financial situation better. You can use any accounting software or budgeting app to automate the tracking. Or even manually with an excel sheet.
Improve your profit margins.
Once you know your numbers, see how you can lower your costs. Equally important, get to know your market well so you know how to price best. This will automatically add a lot more profit to your company.
Close the cash flow gap.
You can have a cash flow problem, even if your margins are good. You want to make sure that the time between when you pay for your goods and when you actually turn that into cash is as short as possible. This means having good processes when it comes to purchasing and being smarter about what you buy and invest in, and then making sure you get paid quickly.