How To Manage Cash Flow

smart ideas Barb picHere Is Everything You Need To Know About Cash Flow Management.

 Great Article, A Must Read!

 


There's an old adage about business that "Cash is King!” and, if that's so, then, Cash Flow is the blood that keeps the heart of the kingdom pumping.Cash flow is one of the most critical components of success for a small or mid-sized business. Without cash, profits are meaningless. Many profitable businesses on paper have ended up in bankruptcy because the amount of cash coming-in doesn't compare with the amount of cash going out.Water WasteCompanies that don't exercise good cash management may not be able to make the investments needed to compete, or they may have to start borrowing money to function. ... The following link is an article to help you understand: What Cash Flow is; How it impacts profits; and, Tips on how to improve your Cash Flow.Link to article:How To Manage Cash Flow / www.inc.com BestBarbara

Day #60 - Pay Yourself First!

"How much of a salary should I be taking from the business?" or"When should I start taking a salary from the business?"These are very important questions.Paying yourself for the work you do is at the core of your work values. Many of you do not pay yourself enough or are maybe thinking,” I’ve never taken a salary”; sometimes I get my expenses covered.  I feel it’s not right. Your work as a retailer should not be looked at as a hobby or just something to do or my spouse makes enough. If I’ve hit a nerve - please understand that I get it. You have to pay yourself. When you honor this idea your attitude and how you make this happens shifts."Pay Yourself First"About the question, when should I start paying myself? You should plan to start paying yourself in the first year.  This strategy should be reflected in your business plan if you are setting out to be a new retailer. I hear you laughing out load about what I’ve just written if you run a retail business right now. I’m serious; if you didn’t do that, what were you thinking?  Pay every expense, every person that works for you and NOT YOU!Here is my guideline for your salary. Plan to pay your self up to 20% of total sales in any given year. So for example, if your sales are $250,000 – you pay yourself $50,000. If you are  not doing this - it needs to start happening now. Increase sales to cover what you should be making. That’s your goal for this year.  Increase your sales by $160 a day. That’s all you’d need to do to make these numbers. It’s possible; you can do it.Need help please contact me. I have the answers and solutions to rightsizing your business with a focus on increasing sales, keeping you on budget and finally paying yourself better then you have every before.Barbara

Day #5 - Take a time out

"Many of us have so many responsibilities in life that we forget to take care of ourselves. And while it’s hard to reatilmakeover-treat yourselfprioritize something like taking a bath when you have so many other priorities in life, self care is an important aspect of stress management. A massage, soak in the tub, or other forms of pampering, revitalize you inside and out. Taking timeout to treat your body, like the temple it is, has other benefits." by Elizabeth ScottBarbara

Day #4 - Pay Yourself

As a business owner there are many things you have to worry about, bills, product, meeting customer demand, hiring employees you can count on, choosing the right price for your product, the list goes on and on. One thing that may seem to be moved to the back burner, in the midst of all of these concerns, is yourself, more specifically, the personal funds you get out of your business.Start to pay yourself ASAP, or start paying yourself better.   Love this site  -  The  Average Retail Owner /Store ManagerBarbarapay youeself today