According to a recent survey, 57 per cent of small businesses expect rising costs in the next few months.
Managing cash flow has never been more important.
Get your team thinking about money
Talking about money is a healthy conversation to have with employees.
Make sure your team understands how spending and saving decisions affect the business.
This can help avoid waste and build better habits.
Plan for different outcomes
Try out a few financial scenarios, such as a drop in customer payments or a sharp rise in supplier costs.
Knowing how these would affect your business helps you prepare.
Look at your numbers regularly
Make time each month to check your income and expenses.
Spotting trends early means you can fix problems quickly.
Cloud software can help by giving you real-time updates and automating tasks like invoicing.
Tighten up on payments owed
Unpaid invoices are one of the biggest reasons cash flow suffers. Review your process for chasing late payments.
If someone repeatedly pays late and owes a lot, it might be time to reconsider working with them.
Keep calm and stay focused
Rising costs can be overwhelming, but panic usually leads to poor decisions.
Take a moment, step back, and work through the numbers with someone who understands them.
For support with cash flow planning, speak to our advisers today.
