7 ways to Spring clean your business
Pssst, Spring has sprung. Can someone tell the weather reporter? With summer around the corner, there’s no better time like the start of Spring to take a step back and get things organised for some of the busiest times of the year.
This may not be the most appealing idea, however getting things in order now will save you time and money later down the line. So, to make things a little easier for you, we’ve compiled 7 top tips to make this light work.
1. Take a snapshot
First things first, it’s important to get a good idea of where your business stands in terms of what’s coming in and out, including bills, expenses, projected income from invoices, payroll and taxes. This will help you to gain a good understanding of your current and upcoming cash position, allowing you to forecast accurately and make provisions if any shortfalls are expected.
2. Review your goals…
You may have made some goals at the start of the year, and now is a good time to review where you are and adjust the goalposts, if necessary, ensuring they are achievable in order to avoid stagnation. Whether your plan was to diversify into new markets, secure a certain number of new customers or simply do what you do better, make sure they are realistic and that the whole company is focused on the same objectives.
3. …and your funding
The way a business is funded can be intrinsic to its success, but reviewing what’s in place currently isn’t always top of the list of priorities. When was the last time you reviewed your business’s funding facilities, for instance? Benchmarking what you have against the wider market can identify more suitable facilities that could provide additional funding, lower costs, better service – or all three – given how fast the commercial finance market is evolving.
4. Is your technology up to date?
Consider the opportunity of investing into improved software, so your team’s productivity and motivation could benefit from the extra time available. Whether it’s accounting software or communications automation, getting ahead of the curve with technology will benefit your business for years to come, providing exponential benefits all around.
5. Review your sales ledger…
Put some time aside to take a good look at your sales ledger, and talk to your credit control team to identify any areas for improvement. There is a wide variety of credit management strategies available to businesses, and it may be that you’re not utilising the full range of options. Similarly, this exercise could highlight where additional training could be required, in order to help the team with the credit control process.
6. …and tackle late payment head on
Reviewing your sales ledger will also identify how many invoices are still unpaid beyond terms. Take a close look at them, and consider whether these customers are likely to pay and therefore worth your credit controller chasing. If they are persistent and troublesome, consider outsourcing them to a professional debt collection agency, who will remove this burden from your shoulders and often collect payment quicker, due to the added weight a third party brings.
7. Professional knowledge
It can also be worth using this opportunity to review the performance of each team within the business. Could they benefit from additional resource, to help them manage their workloads better and stand a better chance of meeting their objectives? Or perhaps there is a gap in expertise, which could be filled by outsourcing certain functions to specialist agencies – for instance HR, recruitment or credit control. Your employees are your company’s most valuable asset, so make sure you’re giving them the best possible chance to succeed.
We hope these tips have been helpful, and you are able to successfully spring clean your business, setting you up for further success by maximising time and ironing out any potential threats down the line.
As a specialist debt collection agency with a fresh approach to debt collection, Hilton-Baird Collection Services could help you collect the money you’re owed from any tricky invoices that remain on your ledger. If you would like to hear more about how we can help, call our team on 0800 9774848 or get an instant quote.