Cash flow can be one of the most stressful components when building a business. Many business owners feel “foggy” or unclear about where they stand in their finances on a day-to-day basis. While this is a normal feeling, it’s not a feeling you want to hang onto for long. The longer you put off getting a handle on your finances, the more overwhelming it will feel to wrangle in all the components of your monthly cash flow.
Making time to understand and organize your finances will help set the foundation for revenue growth in the future. If you’re not sure where to start, we’ve highlighted some key areas that can help you gain a feeling of control over your business.
Build a Streamlined Process for Accounts Receivable
Chasing down past-due invoices is one of the most complained about time-vacuums for small business owners. Add to that, the time that it takes to create and send out invoices and you might be losing a lot of your working hours to getting paid and collection.
Automate Your Billing – There are a lot of options out there to help you automate your building processes that will help you set up recurring billing, send automatic payment reminders and give your customers the ability to pay easily through online invoices. Shop around and find the right partner for you and start saving yourself a ton of time. Learn more about PaySimple’s all-in-one service commerce tool for marketing your services, accepting payments, and retaining customers.
Package Your Services Like Products
Many service-based businesses fall into the trap of making every job custom when that might not be the right model for their business. When every service you provide is custom then you either need to be priced that way so that you are only working with customers that understand and appreciate a fully custom service—or you need to rethink your model and start thinking about how to package your services in a way that is repeatable and sustainable as you take on more customers and a more competitive price.
Productize Your Services – Take a look at the services you provide, what could be packaged into a monthly offering or packaged in a finite way with a certain set of deliverables? Take the services that fit this model best and start with those. Once you’ve determined what is included with each package start selling those packages just like you would a retail product.
Sell Online With eCommerce Tools and Features
If you’re not selling your services online, then you are limiting your business’ growth. Selling and marketing your services online allows you to reach new customers by easily sharing your offerings on your website and in social media. Additionally, you’ll be able to sell online while you sleep, when you’re with your family, or while you work on other parts of your business.
Automate Your Selling: There are a variety of online store providers specializing in different areas of business. Think about your business and what features (recurring billing, registration forms, customer management), are most important to the way you run your business. Once you create an online store, you’ll be able to sell anywhere, anytime which will also separate your from your competition. Learn more about our first-of-its-kind online store built for service-based businesses.
Getting a handle on your cash flow is really about feeling a sense of control of your businesses and feeling like you’re at the helm, steering towards a destination you chose. Give your business the foundation you’ll need to build the business you dreamed of.
Want more tips on growing your business? Get advice from other business owners in our Growing up a Business guide.