Improve Cashflow this January

With Christmas and the summer holidays fast approaching, it’s time for business owners to brace themselves for the maelstrom of Christmas fever.

With Christmas and the summer holidays fast approaching, it’s time for business owners to brace themselves for the maelstrom of Christmas fever.

While we’re frantically juggling a busier than usual business with various staff parties and events, organising holidays, travel plans and Christmas shopping it can be difficult to keep tabs on your incomings and outgoings.

So we’ve put together a few tips and reminders to help you get your priorities in order, and prevent a nasty post-holiday headache when you return to work in 2015.

According to Xero, analysis of small business customers in New Zealand from 2011 to 2014 has shown accounts receivable is on average more than 30 per cent lower in January than the 12 month average.

Couple this with meeting the provisional tax deadline on January 15, and it can be a bit of a stressful start to the year for some.

Reconcile daily - the better you get to know your books, the clearer idea you’ll have of where you’re at, and what’s outstanding. Xero’s daily reconciliation is easy to use and immediately delivers an accurate picture of your books.

State your terms - it sounds so simple, but be sure to let your clients know when the invoice is due.

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