31 Day Cash Flow Challenge Day #31 – Ways to find hidden money in your business

Posted on by
Reply
Ezypay’s 31 Day Cash Flow Challenge

Ways to find hidden money in your business

Extract from the Australian Business Centre.

Most businesses have a hidden source of extra cash right in front of them.  Here are a few ways for you to find that hidden money.   

  1. Rent or sell off unused space

If you have some empty space that you are not using wouldn’t it make sense to lease this out? If you really don’t need it you could consider selling a concession for it. It is far better that the space is used by somebody else rather than just left doing nothing.

  1. Rent wall space to advertisers

If you have some empty wall space outside your business you could consider renting this out to advertisers; you will need to check with local laws first before making this move though.

  1. Temps and Freelancers

If you don’t have enough work to keep all of your staff productive you might be better off letting them go.  You might consider hiring some freelance workers that you can use when you need to. Having less full time workers will also mean that you won’t have to pay so much on employee benefits and office equipment that they would need if they were with you all the time.

  1. Lease rather than own

Consider leasing rather than owning assets. It is important that you do a cost benefit analysis to see if it would make more financial sense for you to lease rather than own assets. Keep in mind that if you lease them you won’t be able to claim them as a business asset.

  1. Rent out unused equipment

If you have any equipment that you don’t use all the time you should also consider renting this out during the quiet times. Weekends and evenings is a time when this equipment is idle; it could be making money for the business instead.

31 Day Cash Flow Challenge Day #30 – Growing a business using 3 to 5 yr projections

Posted on by
Reply
Ezypay’s 31 Day Cash Flow Challenge

Growing a business using 3 to 5 yr projections

 Guest blogger Rohen Burton, Chief Financial Officer, Fit n Fast

If you are planning to grow your business, create cash flow projections out for 3 to 5 years. Once you have a base projection, save a few copies so you can do what if scenarios. What if I borrow more money now? What if I raise more capital? What if I speed up/slow down growth?

Follow the 31 day Cash Flow Challenge here and on Facebook.

 

31 Day Cash Flow Challenge Day #29 – Collect Bad Debts ASAP

Posted on by
Reply
Ezypay’s 31 Day Cash Flow Challenge

Collect Bad Debts ASAP

Guest blogger –  Rohen Burton, Chief Financial Officer, Fit n Fast

This might be obvious but try to collect bad debts / failed payments as soon as possible. And always target the low hanging fruit first. The highest collection rate for failed payments is immediate and then the rate of collection falls for every day that goes by.

Follow the 31 day Cash Flow Challenge here and on Facebook.

31 Day Cash Flow Challenge Day #28 – Set up a US dollar bank account

Posted on by
Reply
Ezypay’s 31 Day Cash Flow Challenge

Set up a US Dollar bank account

Guest blogger –  Rohen Burton, Chief Financial Officer, Fit n Fast

If you purchase from overseas suppliers (for example the US) consider setting up a Foreign Currency bank account.  And plan to buy some currency when the rates are favourable.  Don’t exchange more than you need and make sure your AUD cash flow can handle having this amount off sitting in another account. During 2011 there was an opportunity of saving over 5% just on exchange rates alone if they were booked at the right opportunities.

Follow the 31 day Cash Flow Challenge here and on Facebook.

Are you earning interest on your cash right now?

Posted on by
Reply
Ezypay’s 31 Day Cash Flow Challenge

Invest spare cash in a high interest account

During the month of January 2012 Ezypay is sharing our cash flow expertise and running a 31 Day Cash Flow Challenge.  Each day we are sharing a cash flow tip for your business. The daily tip will be posted on our blog and our Facebook fan page first.  Then each week we will email our clients a summary of the last 7 days tips.

As an outsourced direct debit service provider we know all about cash flow at Ezypay.  We offer a variety of payment collection services that assists businesses in the regulation of their cash flow and revenue without the hassle of managing customers’ bills.

Do you have any spare cash in your business? Yes?  Then you should invest it in a high interest account.

If you do have any cash that you aren’t using immediately I hope that it isn’t sitting in your business bank account.  If it is you are currently earning almost nothing if not nothing on this money.  There are a few providers like ING Direct, and Bank West to name a few that has high interest and fast access savings accounts.  You can find the right one for you on Google and then many of them you can sign up online.  However if you do have to go to a bank to open an account consider it a good investment of your time.

If you don’t have ‘spare cash’ then do you have large amounts of money that you collect from members or customers at different points in the month?  If you are an Ezypay client you might be in this situation.  You could get Ezypay to deposit this money into a high interest savings account because if you leave it in there for a few days or weeks a month you will earn some interest that you aren’t currently earning.

31 Day Cash Flow Challenge  – Update…

Day #1 – Make sure you know your current financial position

Day # 2 – Make sure the price is right and you are covering your costs

Day #3 – Reconcile your membership income on a weekly basis

Day #4 – Reduce non-core-expenditure

Day #5 – Carefully budget payments for essential expenses

Day # 6 – Keep stock levels to a minimum

Day #7 – Set your credit terms carefully

Day # 8 – Planning for the lumps

Day # 9 – Pay your creditors strategically – guest blogger Heather Stone – You’ve Been Promoted

Day # 10 – Are you addicted to lump sum revenue? Guest blogger Justin Tamsett – Active Management

Day # 11 – Don’t incur tax and other statutory penalties

Day #12 – Send invoices on a daily or weekly basis

Day #13 – Invest spare cash in a high interest account

Day #14 – Be really stingy and eradicate unnecessary expenses

Day #15 – Get finance products working to your benefit

Day #16 – Don’t forget about Pro-rata payments

Day #17 – Spread out payments over a reasonable time frame

Day #18 – Do a cash flow projection

Day #19 – Bring in the professionals

Day #20 – Make more sales

Day #21 – Do you know the difference between a balance sheet and profit and loss

Day #22 – get another quote or two

Day #23 – Discount …. but only for profit

Day #24 – Regularly complete an expense audit

To get these tips first like our page on Facebook or subscribe to our blog feed.

About Ezypay

Ezypay is an outsourced direct debit service provider dedicated to offering a payment collection system that assists businesses in the regulation of their cash flow and revenue without the hassle of managing members’ bills.

With close links to the fitness industry Ezypay offer small to medium growth business of all types an easy online payment collection options at www.ezypay.com.au