Cash Flow Challenges for Small Businesses | Insight CA Limited
Close

Cash flow challenges for Small businesses.

Cash flow challenges for Small businesses.

There is no greater pain for a small business than not getting paid.

 

Today, data trends extracted using the Xero platform indicates that it is taking longer and longer for small businesses to have their invoices paid.

Late invoice payments are already a huge problem for small business owners. 87% of invoices issued by small businesses in New Zealand are overdue. And this seems to be a mounting issue. In the past year, the number of invoices which were more than a month overdue grew from 24% to 40%.

So what are some things you can do about it?

  • ask customers to make deposit payments at the time of order
  • focus on repeat business
  • change the terms of trade for slow paying customers
  • help customers pay on time by offering discounts for quick payment
  • invoice your customers as soon as the job is done

If your current practices in terms of credit control and debt collection are not working for you then why not call Insight CA Limited to discuss how you might better manager the task of debt collection.

Contact us today – we will help you achieve your business goals! Also, If you need an accountant in Auckland – feel free to reach out.
Connect

Related Posts

Time to Review 2022 and Create a Business Plan for 2023

Time to Review 2022 and Create a Business Plan for 2023

What were your business goals for 2022? In 2022, there were inescapable impacts on businesses, with some...

Business Vision, Purpose, and Values

Business Vision, Purpose, and Values

“Culture eats strategy for breakfast”. No matter how great your strategy is, if you don’t have the...

Fixing Cash Flow Problems

Fixing Cash Flow Problems

Poor cash flow can be a death knell for businesses of all sizes, so it’s important to...