Grow with the (Cash) Flow

Steady cash flow is the fuel that powers your business, but when you’re busy doing a million things at once it can easily slip to the bottom of the priority pile. Here are some tips to keep the cash flowing while you’re growing:

  • Invoice quickly – good debtor management is crucial, so send invoices quickly, ensure your payment terms are clearly outlined and offer discounts for prompt payment.
  • Make it easy – whether you offer mobile, online, credit card or modern POS payment options, make it simple for customers to pay you.
  • Take advantage of technology – ditch the paper and take advantage of cloud accounting.
  • Be one step ahead – use cash flow forecasting to outline your expected income and costs.

If cash flow is king, forecasting is queen – and making informed estimates doesn’t have to be confusing.

Give us a call (06) 878 8824 to chat through your objectives and we’ll help you develop a valuable, detailed and easy to digest profit and cash flow plan so you can confidently stay on track as you grow.

Sorted Money Week Tips

Sorted Money Week is aimed at empowering New Zealanders to manage their personal finances. In support of this initiative we share 3 Money Week Tips to help you improve your financial literacy and sort your finances.

TIP #1: Understand WHAT you are Spending

To get a good idea of what you are spending, you need to look at how you spend and where the money is going. Using an app can be useful to help track this, and can be enlightening as to some of those annual amounts you often forget to budget for.

See here for some great tips and apps. Once you have a handle on WHAT you are spending, it makes it easier to look for ways to curb unnecessary expenditure.

TIP #2: Plan for a Rainy Day

Do you have an emergency fund? How well can your bank balance recover from urgent car repairs, medical bills, unexpected trips away? Read here for 10 reasons why you need to sort this now.

By saving just $5 a week (the cost of a coffee), within a year you’ll have $260 tucked away!

TIP #3: Sort your KiwiSaver

JP Morgan states by the time you are 40, a couple should have amassed 2.6 times their annual income in retirement savings! You don’t have to make huge changes to have a real impact on how well you are positioned for your older years.

For those in KiwiSaver, most people don’t understand how their fund works, or have looked to see if it suits them. The KiwiSaver Fund Finder is a nifty tool to help you look for a scheme that is right for your risk profile and age. The fund your mate uses, or the default scheme, possibly isn’t YOUR best option. Choosing the wrong scheme may cost you tens of thousands.

Speak to a financial advisor who can help you make the best decision for you or guide you on other investment options.

If you’d like to chat further about tracking your spending, saving for a rainy day or finding a financial advisor, give us a call on (06) 878 8824.