Cash management, the main cause of failure for young companies

Are you a self-employed entrepreneur, a small business owner, a self-employed person, or do you regularly face cash flow problems?

This may not reassure you but you are not the only one!
Sometimes your cash management difficulties are due to the growth of your activity and your turnover!
Other times, you have to finance a stock that you can't sell quickly...
Your customers may also have temporary payment difficulties and are slow to pay you.
But due to lack of time and management difficulties, you yourself may be responsible for the situation.

Three Principles must be at the heart of your management from the start:

• Realism: When it comes to your financial projections, if things are not going well, it is essential to face the problems and adjust your spending accordingly.
• Be thrifty: As a manager, you must lead the way. Until such time as your company begins to earn a profit, consider your company's money as your own savings.
• Make cash flow forecasts: It is therefore advisable to equip yourself with an efficient system that will provide you with reliable data. While leaving you a margin to be sufficiently reactive, in case of problem.

Solutions:

• In addition to the application of the three principles stated above, it is imperative that you, as a business owner, be paid for the services you provide. If it is possible for you to obtain a deposit, dare to ask for it systematically, bearing in mind that if you do not ask for it, you will not get it.
• Your customer is late in paying you, don't hesitate to remind him by simple letter or by e-mail at first. If the delay continues, send him a registered letter. This is the least you can do! However, at LEGALCITY, we know that sending a reminder to a customer who may be a long-standing customer, a friend, or an acquaintance is difficult and may even break the relationship with a customer who may be experiencing temporary difficulties! With us, you have the possibility in 5 minutes to seize a firm of amicable collection 100% on line and concerned about the respect of the customer relationship. Nearly 80% of success in amicable debt collection and the guarantee of the intervention of a professional as well as the implementation of an intermediation platform for you and your debtor.

The out-of-court debt collection application is available on the CCISTORE but also on this address: https: //legalcity.fr/recouvrement-de-creance/

Going further: 

Local government article: https://www.collectivites-locales.gouv.fr/gestion-tresorerie

Quickbooks article: https://quickbooks.intuit.com/fr/blog/tresorerie-et-levee-de-fonds/importance-tresorerie-entreprise/