Things are going along well right now, you’ve got more work than you know what to do with up until Christmas. You are looking forward to a summer break and getting away with the family!
Given most of January is spent holidaying and February is generally slow to kick off, have you given a thought to how much money you will need to cover ALL your expenses during January, February and even March (time lag between when jobs start up again and cash hits your bank)?
Must Do Tips:
- Do a cash flow forecast (money coming in and out of your bank) during January, February and March – work out what you can afford to spend.
- Submit your invoicing as soon as the job is completed to ensure you get paid ASAP – you will have trouble getting paid if you wait until Christmas hits.
- Include a full description of the job including materials used – this will avoid the customer delayng payment by making enquiries. It will also remind your customer of the value you have delivered.
- Make sure you include your payment conditions and the date payment is due.
- Invoice from the job – There are many software programs available today which will assist to track your invoices and receipts as well as invoicing from the job.
- Thanking your clients with a Christmas card and/or gift is another way to maintain your relationships and ensure that they want to retain you as a supplier in the future, as well as pay you on time!
For more information or assistance on preparing your cash flow, budgets and forecasts contact us at firstname.lastname@example.org.