Cash Flow Trauma


In today’s ever changing economy; the global growth should average 3.4% compared to last years 3.2% according to the IMF (The International Monetary Fund), interest rates can fluctuate and this too can have an effect on businesses monetary needs.  However, there are ways/remedies to deal with the cash flow trauma. Here are a few tips that I believe are effective and helpful.

1.  Always think ROI. Whether you are a Sole Trader, a Limited Company, an SME or any other type of business you should always think of a Return of Investment. You should look at the  estimation of the return you get for the money you spend i.e. if you spend £1 and only expect 80p back you are spending more so re-allocate your spend. Steer it to a more profitable direction.

2. Income and Expenditure Form (I&E). I learned about this productive tool when working as credit recovery officer a few moons ago. This is basically a document or even just a sheet of paper where you draw up your monthly or weekly incomings and outgoings and the amount left over can be saved. The I & E form can also be an indicator into if you are over spending.

3. ISA account – from the savings left from the I&E form, this can be put into an ISA account and generate more interest over time. In the long run, this saves more money.


And finally….


4. Be SMART – Your objectives should be:

 Specific – be clear what do you want to achieve.

Measurable – establish quantifiable measures i.e. increase sales revenue by 10%.

Agreed – objectives should be agreed with all parties involved.

Realistic – set achievable objectives and ones that are within your control.

Timely – progression, completion dates; all need to be specific.


Balancing your money is the key to having enough”~  Elizabeth Warren




Emmanuel #EKsMarketingViews



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