Our training courses will be valuable to many businesses. We thought it would be useful however, to give some cash flow tips for particular types of businesses. These are our tips for cash flow, for those businesses involved in manufacturing and retail. So the making and selling of products.
Top Three Cash Flow Tips For Manufacture & Retail
Our free guide contains lost of tips but these are the ones we think those involved in manufacture and retail should concentrate on.
1. Plan Ahead With Cash Flow Forecasts
Planning when money will come in and when you need to make payments is crucial. Find yourself short of cash and you will be at the mercy of those you owe the money to.
2. Terms And Conditions Of Supply
Your terms and conditions can be tailored to suit your needs. Consider retention of title clauses - ownership stays with you until stock is paid for in full.
If in retail, can you get stock on sale or return - do you have the option to return stock you don't sell?
3. Credit Limits And Monitoring
If you have customers you provide an ongoing service to, you need to ensure that you keep track of how much the customer owes you.
It is best to have credit limits in place so that you can take steps if the limit is reached or if an invoice becomes overdue.