In times of economic uncertainty, cash is undoubtedly king. To help you focus on your cashflow and profitability we have prepared this checklist. Simply answer 'yes' or 'no' to say whether each statement is true for your business. If you have more 'no' answers than you are comfortable with, you may be facing cashflow problems. Call us to discuss an action plan.
Yes |
No |
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| When we receive a job, we know we can complete it and be paid on our terms | ||
| We send a bill as soon as we complete a job | ||
| Invoicing documents are accurate, complete and clear | ||
| Our credit procedures alert us to problem customers so that we can follow up on outstanding accounts | ||
| We monitor and enforce our credit terms and obtain deposits from 'doubtful' payers | ||
| We finance capital expenditure in the most cost-effective manner | ||
| Our pricing reflects time spent on jobs and covers associated risks | ||
| Employees understand the importance of the business’s cashflow | ||
| We complete work efficiently | ||
| We catch mistakes before they reach customers | ||
| Mistakes cause us to improve processes | ||
| We keep a close eye on budgets throughout the year | ||
| We determine the viability of outsourcing work | ||
| Adequate controls are in place to control employee overtime | ||
| We are effective in negotiating materials and supplies contracts | ||
| We forecast cashflow monthly and base our financial arrangements on our projections | ||
| Our bank is our partner and understands our business and its financial needs | ||
| We always see that work is done by the least expensive, capable employee | ||
| We link staff pay to productivity and company profits | ||
| Our standard operating procedures are written down and everyone follows them |
Business Matters - Contents |
Keeping an Eye on Your Cash Flow |
Preparing your partnership |
Cashflow – should you be worried?
A Greener Car for the Spring? |
Budget Watch 2003 |
Web Watch |
Reminders for your diary |
Disclaimer