How to manage business cashflow during difficult times

1. Review Your Business Model to Improve Profit Margins

Whilst this may not be on top of your list, it is usually the root cause of most cashflow problems. So do review how you make money and whether your margins make commercial sense.

2. Get Cash in Early

Ask new customers for a deposit or collect cash via monthly payments. Offer early settlement discount and make it convenient for clients to pay.

3. Re-Negotiate with Your Suppliers

Instead of delaying payments to your suppliers, pick up the phone, be honest and re-negotiate better payment terms.

4. Cut Costs Without Crippling Your Business

Eliminate all unnecessary expenses and only spend on the costs that keep you operational and generate revenue.