Keep The Cash Flowing In While Stopping It From Pouring Out
Business is all about the bottom line. It’s easy to get swept up into some of the familiar rhetoric about business, all of which invites you to focus elsewhere. It’s about living your dream! Being your own boss! Doing something you love!
And those are all well and good – but they’re nothing without a good bottom line. If you’re not making money, then the business isn’t working – and it’s on you to change it. You need to engage with customers, get them through the (metaphorical) door and make sure you maximize every cent you make.
That means that no matter your personal spending habits, you need to become parsimonious. Every penny that you spend, down the most extreme of details, needs to be parted with unwillingly. You become Scrooge, eye on the costs at all times – though hopefully a bit nicer to the neighborhood kids.
With so many things to juggle, it’s unfortunately too easy to take your eye off the ball. There are a few common areas where you can end up overspending without even noticing it. So if you’re going to make this work, you need to apply the same business mind to the below areas as you do with every negotiation.
- Your Accounts
Business and merchant account deals typically have fees attached. You can sometimes find an introductory offer which is free for a set period, but eventually, it will expire. One trap you can fall into is not ruthlessly looking for the best deal available. Loyalty is worth next to nothing in the current climate; switch at will, and make it clear you’re willing to do so. Your current provider might be tempted to offer a better deal if you make it clear you’ll leave.
- Currency Conversion
If you work with overseas clients, you can find yourself a slave to international markets. You have to get your eye on the ball and transact when conditions are favorable. If you can hold off converting money or issuing an invoice until the exchange rate is in your favor, do so. Currencies are volatile in the wake of Britain’s EU vote and continuing issues in Syria, so track them every day.
Buying business insurance is easy, but getting the right deal is not. While you can grab a pre-packaged deal with a few clicks of a mouse, that doesn’t mean it’s going to be good for you. Sometimes, it’s worth going through a broker and looking for a tailor-made policy. You don’t want to be paying premiums for something you don’t need. And as with your banking, this is something you have to be willing to change at the drop of a hat.
- Printing Supplies
There is an argument for going with professional printing supplies for things such as billboards, and it’s not to be discounted. However, if you’re watching your cash flow, it can be a financial suck. In a paperless office, you won’t even need them. If you do, with a little practice, you can learn to use a graphic design program such as PhotoShop and create them for yourself. Keep the design simple, using online style guides to keep things on brand and then use a separate company to print your existing design.