{"id":2160,"date":"2022-05-19T10:42:00","date_gmt":"2022-05-19T10:42:00","guid":{"rendered":"https:\/\/cga.philadair.co.uk\/?p=2160"},"modified":"2022-05-23T21:19:29","modified_gmt":"2022-05-23T21:19:29","slug":"with-a-possible-recession-looming-you-may-want-to-review-your-cash-flow-process","status":"publish","type":"post","link":"https:\/\/cga.philadair.co.uk\/index.php\/2022\/05\/19\/with-a-possible-recession-looming-you-may-want-to-review-your-cash-flow-process\/","title":{"rendered":"With a Possible Recession Looming, You May Want to Review Your Cash Flow Process"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"2160\" class=\"elementor elementor-2160\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-d9ecb2a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"d9ecb2a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-34bf509\" data-id=\"34bf509\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-9c695ae elementor-widget elementor-widget-text-editor\" data-id=\"9c695ae\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.13.3 - 28-05-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p>If you\u2019re a business owner who has been through a recession before, you know that smart cash flow management is absolutely crucial. If you\u2019re a new entrepreneur who hasn\u2019t been through an economic downturn, you may be less familiar with how quickly your finances can be affected.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>To protect yourself and keep your business operating, here are the things you need to know about adjusting your cash flow process to match the economic environment.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0cdb465 elementor-widget elementor-widget-image\" data-id=\"0cdb465\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.13.3 - 28-05-2023 *\/\n.elementor-widget-image{text-align:center}.elementor-widget-image a{display:inline-block}.elementor-widget-image a img[src$=\".svg\"]{width:48px}.elementor-widget-image img{vertical-align:middle;display:inline-block}<\/style>\t\t\t\t\t\t\t\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"448\" height=\"200\" src=\"https:\/\/cga.philadair.co.uk\/wp-content\/uploads\/2022\/05\/blog-051822.jpeg\" class=\"attachment-medium_large size-medium_large wp-image-2162\" alt=\"With a Possible Recession Looming, You May Want to Review Your Cash Flow Process\" srcset=\"https:\/\/cga.philadair.co.uk\/wp-content\/uploads\/2022\/05\/blog-051822.jpeg 448w, https:\/\/cga.philadair.co.uk\/wp-content\/uploads\/2022\/05\/blog-051822-300x134.jpeg 300w\" sizes=\"auto, (max-width: 448px) 100vw, 448px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-408138e elementor-widget elementor-widget-text-editor\" data-id=\"408138e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong data-uw-styling-context=\"true\">Evaluate Your Expenses<\/strong><br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>When cash is short, it\u2019s time to take a magnifying glass to your expenses, both to ensure that you\u2019re being charged appropriately and to determine which of the invoices coming in should not be repeated. It\u2019s easy to spend money when cash is coming in, but once things get tight you may need to adjust your budgetary line items and start chatting with employees about whether specific expenditures are actually needed.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>You may also want to think about how spending decisions are approved, limiting authority for purchasing above certain amounts or requiring sign-off from management to ensure that you\u2019re staying within your means and available resources. Though staff may object to losing their travel or entertainment budgets, an economic downturn should reclassify them as luxuries that can be cut back or eliminated rather than necessities. The same goes for meeting expenditures.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>Other expenses can be adjusted in a way that limits the impact on your staff but still helps your bottom line. Fixed costs for transportation can be shifted from purchasing new vehicles to contracting for a fleet leasing program. Doing so keeps your capital in your bank account, where it can be put to better use when money is tight.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>Vendor relationships can become strained when you find yourself having to either cancel or downgrade a contract and even more so if you\u2019re unable to pay your bills. The best way to approach this is upfront and with honesty. The more open you are about your cash situation, the more likely you will be able to work something out in the short term and maintain or resume the relationship for the long term.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/><strong data-uw-styling-context=\"true\">Make It Easier for Your Clients to Pay Their Bills<\/strong><br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>When you insist on issuing paper invoices and getting paid by check, you automatically slow down the process of getting paid. Make it easier for your clients to pay you by setting up an online payment option and billing them electronically. If you have clients you\u2019ve been allowing to slide in terms of on-time payments, it\u2019s time to have someone within our organization \u2013 preferably somebody in management \u2013 contact them directly. As for new clients, if you haven\u2019t been conducting credit checks before providing them with goods or services, it\u2019s time to start. It\u2019s better to turn away business that might not get paid for than to get stuck holding an uncollectable bill.<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/><strong data-uw-styling-context=\"true\">Involve Your Employees<\/strong><br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/>Though your financial challenges are ultimately yours to shoulder and solve, that doesn\u2019t mean that your employees should not be kept in the loop about the realities of your day-to-day situation, and this is particularly true for the core group upon whom you rely most. Not only is it a good idea to talk with them and explain why you\u2019re putting more restrictive policies in place, but in doing so you may find that they have ideas for how to boost revenue, ease cash flow, and save money. It\u2019s the people who are on the ground who see where money is being wasted and where cost-cutting changes to staffing and expenditures can be made. Use this valuable resource!<br data-uw-styling-context=\"true\" \/><br data-uw-styling-context=\"true\" \/><strong>If you are encountering cash flow challenges and would like additional guidance, contact our office today to set up a time for a consultation.<\/strong><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p><img decoding=\"async\" src=\"\/wp-content\/uploads\/2022\/05\/blog-051822.jpeg\" alt=\"With a Possible Recession Looming, You May Want to Review Your Cash Flow Process\" \/><br \/>\nIf you\u2019re a business owner who has been through a recession before, you know that smart cash flow management is absolutely crucial&#8230;.<\/p>\n","protected":false},"author":1,"featured_media":2161,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[22],"tags":[57,43],"class_list":["post-2160","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for_business","tag-cash-flow","tag-growing-your-business"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/2160","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/comments?post=2160"}],"version-history":[{"count":4,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/2160\/revisions"}],"predecessor-version":[{"id":2166,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/2160\/revisions\/2166"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/media\/2161"}],"wp:attachment":[{"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/media?parent=2160"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/categories?post=2160"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cga.philadair.co.uk\/index.php\/wp-json\/wp\/v2\/tags?post=2160"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}