Every business needs a bookkeeper to maintain cash flow. Updated and organised records help business owners to manage their business smoothly. This is actually essential for business success. In fact, cash flow management can really help entrepreneurs to make better decisions and shape their businesses in such a way that allows them to continue growing consistently. So, as you think about business improvement Coorparoo, here’s how a bookkeeper can improve cash flow.
1. Always maintain a forecast for sales
Depending on the sales, the accountant should be able to maintain the forecast. After the professionals predict the expenses and the cash flow through sales, it becomes easier to check for extra capital. In the case that it’s too tough to manage cash flow, then the professional may choose to implement a bookkeeping software.
2. Be proactive with invoicing
When meeting business priorities, your accountant should never postpone the task of sending invoices. Even when an accountant in Coorparoo is working with you, a delay impacts Days Sales Outstanding (DSO). This problem can be exacerbated when hard copies of invoices are sent. But, to deal with such challenges, you can always use an invoicing app to send invoices.
3. Be clear with the payment terms
If a customer or client fails to make payment until the due date, then the business should think about a follow-up process. This is where it’s important to implement very clear payment terms. An app could also be used to notify the customer once the payment is overdue.
4. Be regular with bank reconciliations
In order to keep a track of discrepancies, ensure you or your accountant carries out bank reconciliation regularly. This tip also helps entrepreneurs to correct the records before they submit reports to the Taxation Office. Bank reconciliation further aids to identify loopholes and reduce the chances of sending bounced cheques.
5. Manage debts effectively
Since every business has to pay for loans, accountants can check the debts and include them in the cash flow forecast. This actually helps to mitigate negative cash flow and helps to check whether the business can sustain in the future. To learn more about new sources of funds, the accountant needs to contact and check with your banker. If you want someone to help you with file tax returns, then you must contact a tax agent in Coorparoo.
6. Try managing inventory
An accountant should always review the inventory to get an idea of the costs and the benefits of keeping certain items. If there are too many products, then it can add on to the storage costs.
7. Maintain a good relationship with suppliers
This goes without saying and is probably the oldest trick in the book, but maintaining respectful relationships with stakeholders is key in business success. But, don’t forget that you can always negotiate prices if you feel like you deserve a lower price.
It’s better to accept payments through a payment terminal as this helps customers to pay the amount using a debit card, a credit card, or through devices with near-field communication (NFC). Besides, payment mode helps to save considerable time without relying on cash payments. If you run a business in Australia, then you should seek help from Syndeo Group, the best bookkeeper in Coorparoo.