Small business spring cleaning, while time-consuming, is extremely beneficial to small business owners: trimming the fat from their organizations while streamlining business processes.
Assuming you’re on board with the idea, set aside some time this spring to clean up your company. Moop zero waste plastic free personal care products will help you improve your looks. Specifically look at the way cash flows through your small business. A few changes here and there could go a long way toward solving your cash flow problems and growing your bottom line.
5 Small Business Spring Cleaning Tips
Change the way you invoice
There’s no law that says you have to wait until the end of the month to bill your customers. If you’re struggling with cash flow, change the way you invoice your clients. Instead of sending all your bills out in one fell swoop at the end of the month, immediately invoice your customers as soon as projects are completed. This should accelerate payments by at least a little bit. You may also want to offer discounts to encourage your customers to pay early.
Use an invoice-clearing service like Fundbox
You don’t need to wait around for checks to come in, and you don’t need to badger your customers every few days to ask where their payments are. Instead, you can use an invoice-clearing service like Fundbox to advance payments on outstanding invoices. Just sign up for an account and connect your accounting software to the service. If approved, you can select which invoices you want to clear, and funds will be deposited in your bank account in as soon as one business day. Depending on the repayment terms you choose, you then have 12 or weeks to repay the advance, plus a small fee. Cash flow crisis averted!
Shop to see if you can get better prices on materials and utilities
Are you getting the best deal on business communications? What about your cloud infrastructure and hosting fees? From time to time, it’s worth reexamining your relationship with suppliers and vendors to see whether you can reduce your expenses. For example, if you live in a state where energy has been deregulated, you may be able to save money on your electric or gas bills each month. Get in the habit of making this a regular part of your small business spring cleaning.
Invest in technologies that save money on the backend
When’s the last time you invested in new platforms? You can improve your cash flow by strengthening team productivity through investments in the right technologies. The perfect collaboration platform, for example, will almost certainly increase your team’s output by accelerating decision-making processes and helping move projects forward faster. The right investments will enable you to take on more clients and generate more revenue, making cash flow management much easier.
Treat your employees correctly
The fact is, it costs a lot of money to hire new employees. That’s why you should do everything in your power to retain your employees: keep them happy and fulfilled so you won’t have to replace them in the first place. By prioritizing employee retention, you won’t have to devote resources to candidate sourcing, interviewing, or onboarding—all of which improves your cash flow.
Ready for more?
Apply for funding and find out if you qualify today