Home
>
Small Business
>
Cash Flow: Why Chaos Equals Poor Cash Flow

Cash Flow: Why Chaos Equals Poor Cash Flow

Recently one of my customers told me the chaos swirling through his company was the result of poor cash flow. If only he had more money, his company would run better.

I must respectfully disagree.

Poor business processes produce chaos. Chaos leads to poor cash flow. Fix the poor business processes and the cash flow problems disappear.

What business processes am I talking about?

1. Having a clear picture of who your customer is.

Here's what my customer looks like: My customer is a small business owner looking for ways to make his or her business run better. He or she is often overwhelmed by all the tasks that must be completed and often does not have time for the really important business functions of strategic planning and forecasting and may not have a great deal of experience in those areas.

What does your customer look like? What challenges are they facing? What do they struggle with everyday?

2. Using that picture to develop services and products that provide value to your customer.

Based on my picture of my customer I can provide my customer with time saving services and products that teach them skills or provide knowledge they can use to solve the challenges they face everyday.

How can you help your customer? What products or services can you offer that will save them money or time? What problems can you help them solve?

3. Developing a plan of delivery.

What works best for your customer and how can you deliver that in a way that makes you money? My customers need both general knowledge for running a business and specific knowledge for running their particular business. And they're short on time. Therefore, I can combine a product like a manual of general information with one-on-one consulting services for their specific situation. If I deliver it over the phone or the internet, they can access my knowledge at a time that is convenient for them.

What ways can you think of to make your delivery more valuable and useful to your customers. The easier it is, the more your customers will love it.

4. Ensuring that you will be able to collect what is owed to you by establishing good credit policies.

Do you need to extend credit? Can you get paid at the time of delivery?

Can you get your customers to pay you by credit card? Can you ask for a deposit up front? Who will you extend credit to--what criteria will you use? I am happy to say that in all my time in business, I have had only one customer who did not pay me and I learned very valuable lessons from that experience. It caused me to change my process and I haven't had any problems since then.

Think through your business processes to see where the holes are. Booting the chaos out of your business by developing good business processes is the best way in the world to improve cash flow.

Are you a solo professional feeling Stressed, Disorganized? Tired of Working Long Hours for Less Than You're Worth? Struggling for Focus?: Learn how one Solo Professional used the Chaos Tamer to Survive and Thrive in the Midst of Total Rampaging Chaos. http://www.thejordanresult.com .

Lincoln Stretch rentals Alsip ..

In The News:

The rollout of Apple's iOS 17 brought a subtle "Rebound" notification tone that's gotten some criticism. Kurt "CyberGuy" Knutsson explains a fix.

Fitness centers and workout studios are starting to establish policies that prohibit shooting phone videos to protect people's privacy.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents

Apple recently notified a small number of iPhone customers in 92 countries that their phones may be under attack by mercenary spyware.

An artificial intelligence-powered home security system can fire paintballs and tear gas at trespassers. The camera identifies human faces and animals.

Technology expert Kim Komando gives her tips and tricks on enhancing your user experience a smartphone and other devices you use everyday.

A new camera called NUCA uses artificial intelligence to create deepfake photos of subjects by stripping away clothing in close to real time.

The Kimberley Kube trail-ready camper has a compact but spacious design and combines luxury, functionality and ruggedness for a weekend getaway.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

Emails instructing you to reset your password for an account may be legitimate, or they may be scams. Kurt "CyberGuy" Knutsson explains.

Northrop Grumman's Manta Ray uncrewed underwater vehicle aims to revolutionize undersea missions — it glides through the ocean without human assistance.

Learn how to work Google's calendar application to streamline and organize your daily tasks from technology expert Kim Komando.

If you do not want Facebook to have automatic access to your private photos, follow our tips to protect yourself. Kurt “CyberGuy" Knutsson shows you how.

Kurt “CyberGuy" Knutsson goes into detail about Apple’s recent iOS update that allows iPhone users to instantly translate spoken language simply by using the Action Button.

Safeguarding your digital life with a reliable physical backup isn't just a precaution, it's a necessity. Kurt “CyberGuy" Knutsson provides the essential backup checklist.

Kurt “CyberGuy" Knutsson reveals how a Redditor exposed false recycling claims at their apartment, highlighting a report that only 21% of U.S. recyclables are processed.

Kurt "CyberGuy" Knutsson offers a travel toolkit featuring five technology tools to help you with booking flights and hotels for your summer vacation.

The bubble behind the clock on your iPhone can appear in different colors. Kurt "CyberGuy" Knutsson explains what each of those colors mean.

Scammers are using the power of artificial intelligence to mimic voices of people and are using the fake voices to commit crimes, like kidnappings.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

Tech guru Kurt "CyberGuy" Knutsson explains the science behind the Invisibility Shield, a 6-foot shield that makes people become invisible.

The International Olympic Committee on Friday announced plans to use AI in various Olympic aspects, including athlete identification, training and judging.

Tech guru Kurt "CyberGuy" Knutsson explains an easy trick to avoid squinting while working or surfing the web by zooming in on your personal computer.

Streaming giant Roku has recently been targeted by a pair of cyberattacks, and the company confirmed over a half million Roku accounts were compromised.

The Land Aircraft Carrier combines an all-terrain, six-wheeled vehicle with a two-seat aircraft, which features electric vertical takeoff and landing.

Cash Flow: Why Chaos Equals Poor Cash Flow

Small Business