Thinking about ways to increase cash flow is vital to your business development and success. Getting the right formula for improving cash flow and applying strategies to maximize it will give you desirable results along the way. However, certain factors are affecting both the income and expenditures that you need to address immediately. This is to avoid breaking the chain in improving cash flow in your business. In this article, we will share these eight effective tips on how to increase cash flow and help you identify the things that trigger revenues or losses in your company. Here at Strikingly, we specialize in website building and providing tips on generating profit using unlimited possibilities online. Now that people are more aware of technology and innovation, businesses should cope with the digital age. These ways to increase cash flow will help enlighten big and small businesses struggling with their finances, especially during this pandemic.
How to Increase Cash Flow in Business?
- Increase Your Pricing
- Improve Your Inventory
- Set up Multiple Payment Options
- Form Buying Cooperatives
- Offer Coupons or Discounts
- Send Out Invoices Immediately
- Keep Your Bank Accounts in Control
- Always Plan Ahead & Anticipate Cash Need
Image taken from Unlocked Capital
1. Increase Your Pricing
Whether you are selling products or offering services, the simplest way to increase cash flow is to increase your pricing. We understand that this concept is scary because of the loss of customers and sales. However, it takes a matter of courage and mindset to implement this concept. You have to give it a go for an experiment. Otherwise, you will not know if it is going to work or not. You might be worried about losing sales. But, if you keep the low prices while other business owners take the risk, your chance of improving cash flow is lost. Make sure you know the perfect timing to increase pricing. Consider the supply and demand principle before acting bravely and the risk.
2. Improve Your Inventory
Take time to check your inventory. This is a smart way to increase cash flow because you can identify the products that sell fast or those items that are not moving. In this case, you can create a list of these products you need to buy more while getting rid of the stocks stuck in your warehouse. You can still maximize cash flow by offering discounts on items that you want to get rid of. Keeping an updated inventory will help you determine creative ways to increase cash flow and make you address important factors that affect your income and expenses. Also, this is an ideal way to start a hands-on approach if you want your business to grow. When you are aware of what is going on in the production and operation areas, you are most likely to address issues that might occur in the future. Your inventory file is the best place to start with.
3. Set up Multiple Payment Options
One of the great ways to increase cash flow is to set up multiple payment options on your website or even in offline transactions. Flexibility in terms of different payment gateways can help in improving cash flow in your company. You can accept credit /debit cards or arrange cash on delivery option. With Strikingly, you can enable Paypal, Stripe, and Square payment gateway to get more sales. We ensure secure checkout with our easy-to-set-up Simple store. We’ve got the perfect ecommerce tools to help maximize cash flow in your online business.
Image taken from El Granero website
4. Form Buying Cooperatives
Truly, no man is an island. Nowadays, you can build a supportive community in the form of cooperatives. A buying cooperative can help increase cash flow in your business. Find business owners who are on the same ground and who are willing to negotiate bulk pricing from suppliers. You get significant discounts from these suppliers if you form a buying cooperative instead of purchasing in retail. You can even do this by connecting your website to your social media page. With Strikingly, it is one cool feature that you can easily set up. By connecting to social media platforms, you also get recommendations about groups or communities with the same venture. It’s just a matter of coming together and not doing business alone. In the end, it is better to buy in bulks to get great savings.
5. Offer Coupons or Discounts
Who says discounts benefit only customers? As a business owner, you have to think of this as a win-win solution to increase cash flow. Giving discounts or coupons to your customers makes a good impact at the end of the day. Everybody loves the idea of buying items on sale, right? You can also apply this idea to products that are not being sold. A perfect way to get rid of these stocks is to sell them at a discounted rate. This is to replace them with the products that are in demand and will help increase cash flow. You can set it up with Strikingly online stores.
6. Send Out Invoices Immediately
We think that this is such a simple idea but a very significant one. When you send out invoices to customers or clients who owe you money immediately, you address the factors that might result in delayed payments. Using electronic services like Paypal or Stripe, you can easily send out invoices on time. If you have a small business, this is a simple yet effective way to increase cash flow.
Image taken from Against the Grain website
7. Keep Your Bank Accounts in Control
To increase cash flow, it is crucial to be in control of your bank accounts and anything that has to say about your business accounting. You should not give full access aside from yourself. Otherwise, you risk fraudulent activities. Protecting your assets is one of the safest and effective ways to increase cash flow. When you control your business finances, you have a clear vision of how your business works. A smart business owner does not put the business in vain. Thus, keeping full authority of your bank accounts and assets makes you a smart business owner.
8. Always Plan Ahead & Anticipate Cash Need
This might sound odd but realistic in improving cash flow in your business. Product development costs are inevitable. That is why you need to plan ahead on how to increase cash flow or how you can generate money when you need it. As early as you plan and anticipate your needs, you can think of possible resources. For instance, you may talk to financial assistance firms or lenders willing to accept your payment terms. Always plan ahead and expect the unexpected.
Image taken from Young And CEO website
By applying these eight ways to increase cash flow in business, you can reap the benefits in time. With a combination of smart planning and support from your business co-owners or partners, you’re on the right track. You can find support to help you get empowered as a leader. Regardless of whether you are a young CEO running a startup business, there are many ways to help your business stand out. Just like some of our users with the advocacy to help young entrepreneurs and help them in their journey. Check out how awesome Startup Youth is. Also, you can learn a lot with the Young and CEO website that empowers entrepreneurs like you. See how they make a big difference to business owners and founders.
Image taken from Startup Youth website
How Strikingly Can Make a Great Impact on Your Business?
How to increase cash flow is a question for many business owners. Here at Strikingly, we value the passion and productivity that every business owner possesses. That is why we back them up with the best web services and intuitive features and tools to run their business online. Small and big businesses weigh the same value. Our users make the most out of their online space. Generating profit, getting more customers, promoting good content, and there are limitless possibilities you can do on your website. That is why many business owners choose to cope with the trend and invest in innovative technology to build a strong brand. We make these happen here at Strikingly. We provide high-level features and tools when it comes to website building.
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Just like you, we believe in the power of a strong foundation and quality services. That is what we offer to our multiple users who made their way to become global. How Strikingly can make a great impact to increase cash flow in your business? Try it for yourself and head on to our homepage. We are so excited to cater to your web services needs. Sign up for a free 14-day trial today.
