2019. A new year of opportunities, challenges, and growth. And the perfect time for small business owners to take the time to reflect on the year just past, assess how it went, and prepare the business for the up-leveling that the new year will bring.
Perhaps to get to that next level, you need more staff. Or perhaps to get to that level, you may need to invest in a technology system to streamline internal processes. Whatever it is, one thing is for sure. You have to get clear on your in-comings and outgoings, setting goals, and ensure you have a steady cash flow finance that allows for these investments.
That all sounds pretty good, but where to start?
You’re in luck. To enable your small business to win, rather than being constantly restricted by a lack of capital, we’ve put together a few of our key tips to help you improve your cash flow, and make sure your small business is in prime position to optimise growth in 2019.
Let’s dive into it.
Show me the money
First step? Stay on top of your financials. Being on top of your numbers will not only mean you will feel more financially confident, but will mean you’ll be able to make better, more informed business decisions as well.
From getting clear on your essential expenses (e.g. rent, staff trainings, salaries etc), understanding your potential expenses (e.g. larger office space, more staff), and budgeting for any in-comings (such as ongoing client work), you’ll be able to create a financial road-map for the year and see what decisions are possible, and others that might not be. Through understanding the financial trends in your small business, budgeting for the future will ensure your cash flow finance goes from unpredictable and unmanageable, to constructive and carefree!
To help you kick start this, you can download our free cash flow finance forecast template here!
Step away from tradition
The world of business is evolving, and every small business should be taking advantage in every way they can. Traditionally, in order to grow, you needed the capital to hire full time staff.
With that comes insurances, regular paychecks, and the office space to house them.
So why not consider a flexible workforce? With remote and freelance work becoming more and more prominent, you can up-size and downsize as and when your business needs to, while ensuring you have full flexibility when it comes to cost control.
Cash flow can feel like a constantly ebbing and flowing resource, but if you take the time to analyse the financial trends in your small business, you will quickly see that there’s a way to counteract the recurring ebbs – by preparing a plan b!
When are your typical slow months, or months you’re simply unable to keep up with demand? What causes them? What can you do to fight this trend? When you’ve identified the consistent issues affecting your cash flow, you can proactively put plans in place to combat the shortcomings – through promotions, additional staff, or better inventory management – and counteract their effect on your business long before they cause issues.
By giving yourself the chance to honestly assess your current position, and proactively planning towards your goals, you can hit the ground running in 2019 knowing exactly what resources you need to get you there.
Haven’t got the cash on hand to bring your plans to life?
Get in touch today and show you just how quick and easy it can be to get the capital your small business needs!