Small Business Cash Flow_small.jpg  90% of small business failures are caused by poor cash flow. Put simply, not enough cash coming in the door and too much going out. Getting paid on time and managing your outgoings is critical to business success. Here you will find all you need to know about ensuring you get paid on time and developing effective cash flow policies.
Using income statement ratio analysis to stay on track 17 June, 2011
Savvy entrepreneurs track how their businesses are progressing by doing ratio analysis each month. Examining several key ratios on your income statement will reveal whether your business is in good shape or headed for a cash crunch.
Creating a break-even analysis 09 June, 2011
During boom times, businesses grow by adding staff, moving into larger premises, expanding into new markets, and so on. When a recession hits and sales drop, many businesses take an axe to their expenses. Typically they use break-even analysis to determine how much to cut.
Outsourcing small business accounts 02 June, 2011
Many new small business owners take on the role of accountant during their startup efforts. As there are already numerous demands on the owner's time, this may or may not be a smart move.
Pricing strategies to improve your cash flow 03 May, 2011
As a small business, developing a pricing strategy is crucial to improving your profit margins and sales figures. Set the price too low, and your business might suffer from cash flow problems. But if you set the price too high, you stand to lose customers, particularly in the face of strong competition. The answer is to price your product or service at the right level that will not only allow you to meet your profit goals, but also to keep or increase your market share.
Maintaining incoming cash flows 31 March, 2011
The key to ongoing success in business, particularly for SMEs, lies with the prompt collection of outstanding accounts. Yet too often many small business owners let this key area of business fall by the wayside. This can be due to a reluctance to chase client payments or collecting on accounts only once they are overdue. The debt collection process can be a long and arduous one and while almost all companies will at one time or another need to undertake it, prevention is always better than cure.
Improving your cash flow 24 March, 2011
Cash shortages can prevent you from meeting your financial obligations, and they can make it difficult to plan for the future and expand your company. That's why you should try to improve your cash flow by making some minor adjustments in your business practices. These seven ideas can provide relief and ultimately change your cash flow.
Accounting for bad debts 16 March, 2011
There are a couple of methods to estimate bad debt expenses on your books. You should investigate both the Percentage of Credit Sales method and Aging Accounts receivable method to see which is best for your company.
Overdue bills - don't let myths cost you money 17 February, 2011
For many small businesses collecting overdue bills can seem like a major hassle that they'd rather avoid. Between potentially losing the customer if you lean on them too hard and the costs associated with outside help many smaller firms prefer to chose the easy option and just let it go.
Cash flow forecasting 10 February, 2011
To secure a strong cash flow for the life of your business, it is important you have good control over your incomings and outgoings. To prepare for the ups and downs and ensure you have cash to pay your invoices on time, you need a plan  - a cash flow forecast.
The SME credit manager 24 January, 2011
For businesses that don't have a specific person with responsibility for credit and cash flow management, the reality is that everyone ends up being involved in the process at some stage. Whether it is signing up a new customer and negotiating payment terms or answering a call from a late payer everyone is likely to have a role in communicating and managing your policy.

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