Been struggling with cash flow lately. Some months are great, others I’m scraping by. It’s a rollercoaster I’d rather get off.
Anyone else deal with this? What’s worked for you to smooth things out? I’ve tried a few things, but nothing’s really stuck yet.
Invoice as soon as the job’s done. Don’t wait. I send invoices same day or next morning at the latest. Gets money in faster.
Set up auto-payments for regular clients. They pay on time, I don’t chase them.
Look at your pricing too. If you’re always scraping by, you might not be charging enough. Raise rates gradually on existing clients, higher rates for new ones.
Lastly, keep tabs on which jobs actually make money. Drop the ones that don’t. Focus on the profitable work.
I’ve been there, Jack. Cash flow issues nearly sank my business early on.
One thing that’s helped me is offering discounts for early payments. I give clients 2% off if they pay within 10 days. It’s enough to motivate some to pay faster, and that quick cash helps smooth things out.
I also started doing more recurring service contracts. They’re not as exciting as big one-off projects, but that steady income is gold for cash flow.
Another trick: I negotiate better terms with my suppliers. Some let me pay in 45 or 60 days now instead of 30. Gives me more breathing room when things are tight.
Lastly, I keep a close eye on my expenses. Cut what I don’t need, especially in slow months. Every dollar saved is one I don’t have to stress about later.
I keep a buffer in my business account. Aim for at least 3 months of expenses.
When cash is good, I stash extra away. It’s saved me during slow periods.
Also, I’m strict about payment terms. No work starts without a deposit, and I follow up on late payments right away. It’s not perfect, but it helps.
I just keep it simple. Send invoices quick and follow up on late ones. Got a spreadsheet to track what’s coming in and going out. Helps me see when things might get tight.
Cash flow’s been a pain for me too. Here’s what’s worked:
Retainers changed the game. I get clients to pay a chunk upfront each month. Steady income, less stress.
I also do this:
One sneaky trick: I schedule most of my big expenses for months I know are usually good. Helps avoid those ‘oh crap’ moments in slow periods.
And yeah, sometimes I’ve had to have awkward convos with clients about paying faster. Not fun, but beats not paying rent.
Remember, perfect cash flow probably doesn’t exist. Just gotta find what works for you and keep tweaking.
I just write stuff down in a notebook. Keep track of who owes me money. Works fine for me.