Improving cash flow for your business

Improving cash flow for your business


Cash flow can be an issue for small businesses, especially if you have peak and low periods.

Follow these tips to improve your cash flow and avoid running into a tight financial spot.

Flexible rostering
Your staffing may need to change in peak and low periods. By employing casuals and using a flexible roster, you can cut back on hours when you need to improve your cash flow in quiet periods.

Monitor stock levels
Excess stock levels will increase the storage space you need, insurance costs and tie up your cash. Monitor your stock levels so you can find the most efficient level. Keep in mind delivery concerns, peak and low periods and your storage capacity when you make these decisions.

Have a mandatory deposit policy
For larger orders, it is worth having a non-refundable deposit. A deposit reduces financial loss should the product be returned or exchanged.

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If you believe the matters discussed above are relevant to your business, please contact Darren Smith of our office to discuss further.


Darren is a Chartered Accountant with extensive experience, including working in the big 4 and medium sized firms before becoming a partner of a city based firm in 2000.

He has gained much experience and has extensive knowledge in providing business and taxation advice, superannuation planning, negotiation of sales and acquisitions of businesses and property development. His client base covers a wide range of industry groups.

Darren works with business owners to grow their businesses and create personal wealth within and outside of their business.


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