Readers of my article “7 Proven Steps to Manage Your Cash with Ease” asked for more details.
In case you missed that article, or need a reminder, here are the steps.
1. Do Your Bookkeeping for Cash Management
2. Find Cash in Your Business
3. Make Quick Fixes
4. Work on the Big Cash Management Ideas
5. Forecast Your Quickly and Easily Cash
6. Manage Your Cash
7. See Your Results on a Dashboard
This article is an overview on how do set up your bookkeeping for cash management success.
Instead of a checklist or a “how to” article, I will tell you how a client (Rebecca) and I cleaned up the her company books. The company is “The Spa,” a high-end day spa.
(The method is from a real client, but the name and type of company are different to maintain anonymity.)
The End in Mind
Rebecca was stuck at about $3 million in sales. Her biggest concern was running out of cash, even with a big credit line and healthy profits. 2-3 times a month she was almost out...
Business owners with good cash management habits are more likely to have a growing, successful business. They have more control over their business’s cash and more time to grow their business by focusing on their business’s unique value-added products and services.
Here are ten (10) habits you can adopt to help put your business on cash management auto-pilot.
The 10 Cash Management Habits
Habit 1: Maintaining Up to Date Bookkeeping
Up-to-date bookkeeping is critical for knowing where your cash is, where more cash is coming from, and where it needs to go. In other words: bank...