Bay View Funding Blog

Employees expect to be paid on time, no matter what cash flow hardships their company may be facing. Each employee has his or her own financial obligations, and waiting patiently while you figure out where the money is coming from may well be the catalyst for disgruntled employees to either not be motivated to complete tasks, or to search for a new position elsewhere. 

Has your business upgraded to the EMV chip-activated point-of-sale terminals? Let’s consider the technology, and how it can help your business. 

It is hard to turn down a client, or even decline future business because of a few late payments. However, many customers have no idea of the potential disruption they cause to your cash flow when they pay their bills late. What can you do to encourage on-time payment on your outstanding accounts receivable and turn your unpaid invoices into cash? 

We have written many blogs on the importance of cash flow, but there are a couple of cash flow errors that are not often mentioned. These are not centered on an inability to pay bills; rather it involves fiscal decisions that complicate one’s ability to manage cash flow correctly. Consider these three questions when if comes to company cash flow. 

Do you ever pay bills before they are due to be paid?  This may seem like a sensible decision, but unless there is an incentive to do so, for example a supplier discount, all you are doing is compromising your cash flow, and boosting the cash flow of your supplier, or other provider. Cash is king when it comes to your balance sheet, so why create the potential for a cash flow crisis just to try and get ahead of the game? It is important to keep your credit score as high as possible, but it is also important to keep your disposable cash flow as high as possible.  Paying bills on time is a different matter. Prompt, timely payment will benefit the credit score of your company and keep operations running smoothly. Sensible cash flow forecasting will help make the difference. 

Fast invoice payment is critical to the success of your business. So how can you get help turning your outstanding invoices into cash? If your cash flow problems are related to slow payment of outstanding accounts receivable, there is an answer that may work for you. Let’s take a look at a few issues your company may be facing when it comes to cash flow: 

How do you go about getting your amazing product on the market and available for customers? For many small businesses, raising the funds to make the prototype is one thing, but producing and getting the product to market can be a challenge.

Attention to detail, and plenty of research and planning will make a significant difference when your business is ready to start the application process for a loan. Businesses that understand the process and are prepared with all the correct documentation are more likely to receive the funding they are looking for.