Day 26 of 31 Days to Freedom in Your Business

While we are on the subject of Accounts Receivable…

Consider changing your A/R terms to improve your cash flow.

If cash flow seems to be an issue for you, one of the quickest and easiest ways to improve that outlook is going from Net 30 to Net 20 or Net 15.  Then combine that with requiring an ACH-autopay for recurring services.

Those 2 things alone could fix a cash flow issue.

I mean, that and cutting unnecessary expenses.

Day 25 of 31 Days to Freedom in Your Business

Stay on top of your Accounts Receivable (A/R).  Just do this.  It is far easier to stay on top of this than to catch up on it.

Have a system to flag any account that becomes delinquent almost immediately.

Delinquent A/R will destroy your cash flow.  If you already have itty bitty margins, you will really struggle with your ability to keep things moving.  If I don’t get paid back for the time and capital it took to provide products and services this month, I won’t have the capital to provide those products and services to customers next month.

And it will cost you money to chase that down.

If you have someone in the office who is dedicated to billing, and he or she is spending 20% of their time chasing delinquent A/R, and they are making just $15/hour, you are spending at least $6240 a year chasing delinquent A/R.

The solution is so very super simple.  Chase it immediately.  If you (by a lack of action) make it seem like your terms are flexible, your customers will think that they are.

Day 24 of 31 Days to Freedom in Your Business

Here is a productivity tip that will change your life if you schedule calls with people regularly (and if you already do this, can I get an Amen!).

Create an online calendar where people can schedule a time to talk with you based on your availability.

Boom.

There are a ton of free options out there.  Here is how it works…

I send you my calendar link.

You visit my scheduling site, and select a time that works for you.  The calendar is synced with my Google calendar, so it knows when I am busy.

Then you enter a little info that I am requesting.

And that’s it.

No more…could you do 2:15?  Or would 1:30 be better for you?  

You’re free, I’m free.  Done.

Many of you already do this, but if you don’t already do this you are really in for a treat!

Day 22 of 31 Days to Freedom in Your Business

Yesterday we talked about outsourcing.  In my opinion, ground zero for outsourcing is hiring a payroll company.  And make it a good one.

This is simply something that just isn’t worth doing in-house.  100% of my clients use a payroll company.  And 100% of my clients only input hours for their employees each pay period.

That’s all.

No filing tax reports.  No paying the payroll taxes.  No calculations.  

And, the best part is that they don’t have to keep up with anything that changes.  

PPP forgiveness information?  Done.

CARES Act FMLA changes?  No problem. 

26 pay periods, but health insurance is paid monthly.  Easy peasy.

Sudden payroll tax credit for people with red hair?  No biggie.

It doesn’t cost that much, and there are too many good options to do it yourself.

Let me know if you need some direction.