Cash Flow Solutions

Fix the REAL cause of your cash flow stress…

Painful, sleep-destroying SME cash flow shortages are very often a symptom of the systemic Cash Gaps that operate in many industries today. While “management” and “discipline” can reduce short-term symptoms, they do NOT fix the underlying root cause.

The underlying cause of painful, recurring cash flow stress in many smaller businesses is the 30/60/90 day gap between when you pay for inputs and when you get paid.

The long-term solution to a structural industry Cash Gap isn’t “working harder”. The solution is a solid Working Capital Strategy that combines expert analysis, effective business processes and high-productivity Cash Flow Tools to optimise your financial liquidity.

How big is YOUR business Cash Gap?

Cash gap diagram

Does your business experience ongoing stressful Cash Gaps?

Do you spend endless hours on the phone trying to get paid?

Do you constantly shuffle bills and scrimp on resources?

Do you struggle to find cash to invest in core business efficiency?

Is your personal property at risk if your business gets into trouble?

If these are regular pain points in your business, then it’s time to review your Working Capital Strategy…

What does a practical Working Capital Strategy look like?

A sound Working Capital Strategy is a combination of:

  • expert cash flow analysis;
  • good business process and discipline; PLUS
  • the implementation of carefully selected, tech-enabled Cash Flow Financing Tools.

Your Working Capital Strategy should be an ongoing process – not a one-time document – because your business will grow and change. Like any strategic planning process, it needs regular monitoring.

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Key practical financing tools can reduce Cash Flow Stress

A key element of any efficient 21st century Working Capital is the careful selection of relevant, quality, tech-enabled Cash Flow Financing Tools – tools that enable your business to minimise its cash gap and maximise its financial productivity.

4 KEY CASH FLOW FINANCING TOOL SETS THAT INCREASE SME LIQUIDITY

Today’s top cash flow financing tools – when carefully implemented as part of an ongoing Working Capital Strategy – enable smart small business operators to maximise the funds available in their business. They fall into four key tool sets.

Debtor finance selector

Debtor Finance

Are you endlessly juggling bills and supplier payments while you wait for your customers to pay you? Today’s affordable, automated debtor and invoice finance tools offer you low-risk immediate access to funds you’ve already invoiced.

Escape the Cash Trap
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Trade Finance

Don’t limit your business growth because too much of your money is in your suppliers’ bank accounts. The right trade finance means you can use the majority of the money committed to your vendors while you wait to be paid.

Escape the Cash Trap
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Working Capital

Don’t stay small because of the gap between your short term assets and your short term liabilities. The right working capital finance will enable you to grow your business and pay your bills – without constant stress and crises.

Escape the Cash Trap
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Receivables Management

Turn your unpaid invoices into immediate cash AND set yourself free from debt collection tasks – for good! Receivables Management Finance is a practical, efficient approach to cash flow management so you can grow your business faster.

Escape the Cash Trap

Are you tired of constantly chasing customer invoices?

Are you sick of endlessly cutting back on vital expenditure to patch over stressful cash flow gaps?

Then it could be time to book your FREE Working Capital Strategy Review – and find out what today’s top tools could do to maximise your business productivity.

TALK TO A WORKING
CAPITAL STRATEGIST

Book a Call
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THE COSTS OF THE CASH TRAP ARE HEAVY AND CUMULATIVE

If you don’t have sufficient working capital in your business, then you can end up:

  • Not being able to pay suppliers on time – and possibly being put on credit hold.
  • Constantly juggling expenses and trying to make it through the week.
  • Not being able to take advantage of bulk purchase and early payment discounts.
  • Not being able to invest in up-to-date equipment and infrastructure.
  • Missing out on new business opportunities that need money to access them.
  • Not being able to action business innovation.
  • Not paying YOURSELF for all the work you do.
  • Going under as a consequence of global disruptions you can’t control.

NO AMOUNT OF “BETTER CASH MANAGEMENT” CAN FIX AN INDUSTRY’S STRUCTURAL CASH GAP

All the administrative best practice in the world can’t change the impact of “baked-in” credit terms with long payment periods – 30/60/90 days – even if all your customers paid perfectly on time.

Long credit terms will still have you waiting weeks – and even months – for a big customer to pay a big invoice. During that time, payroll still has to be made, the ATO wants their due, and your suppliers have to be paid to buy materials for your next job.

Even good businesses that show excellent profits at the end of the financial year can operate in an environment of recurrent, stressful, productivity-killing periods of cash flow drought.

Is Your Business Stuck in a Cash Trap?

Talk to Martin about how you can get back in the drivers seat

Book a Call
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WHICH MODERN FINANCE PRODUCTS SHOULD YOU CHOOSE?

None!

If someone tells you straight up that “XYZ product” is THE ANSWER – run!! (Especially if they go on to talk about toxic Fast Cash Flow Loans!)

No one can tell you the “right” product for your needs until AFTER they’ve done a Working Capital Analysis of how cash flows through your business AND delivered a Working Capital Strategy that’s designed for your business (not your cousin’s brother’s wife’s micro-business).

It doesn’t have to be a long document or a time-consuming process – but it does have to be based on your business, your goals, your customers and your supply chain.

Martin Cropped

Martin Cattach is an expert Working Capital Strategist

Over more than 15 years in the business finance field, Martin has analysed the finances of thousands of businesses.

His decades of experience in the finance industry, Information Technology – AND in small business – uniquely equip him to assist SME businesses to select and implement the best finance solutions for their needs.

Martin will quickly built a Working Capital Cash Flow plan that will take the financial stress out of your business operations and free up the funds you need to grow your business impact.

Frequently Asked Questions

The costs vary depending on the product and your strategy. Typically, you’ll pay a single, up-front loan establishment fee, plus a monthly service fee. On top of that will be interest on the invoices you raise – which applies only until your customer pays you.

There is no such thing as a free lunch.

Yes, there IS a small administration overhead – because you need to reconcile customer payments, loan fees and loan amounts. However, the interfacing and the payment process are automatic.

This happens – and while there is a process to go through, it can be well worth doing.
The responsive finance product range is developing rapidly so I recommend:

  • reviewing your Working Capital and Finance strategy when daylight savings changes over (every 6 months).
  • writing an exit plan as part of your initial Receivables Management Finance implementation strategy.

Perhaps – some products allow you to use “partial ledger finance” – and borrow against just some of your customers (perhaps the big customers who demand long credit terms). Other products will take over all your Debtors.

Yes. That’s why you need to:

  • Be strategic about how you use the extra funds you gain access to – use them to grow your business.
  • Consider a price increase to cover the extra costs – after all, your customers are essentially borrowing money from your business.