How To Use Tech To Drive True Business Gains And Results
A lot of business owners find themselves in a position whereby they are researching how to improve cash flow at their business. After all, this is one of the greatest struggles for business owners, especially new business owners. The good news is that there are more solutions available to us than ever before because of the advancements that have been made in technology. With that being said, continue reading to find out everything you need to know about how to use technologies in order to improve cash flow.
The cash flow frustration
According to the Office of National Statistics, up to 90 per cent of business failures in the United Kingdom occur due to cash flow issues. Not only this, but almost half of SMEs in the UK are being paid late. This is according to research from BACS, which also revealed that the average payment debts are estimated to be £32,185. These stats alone show that there is a major issue when it comes to controlling cash flow. It is easy to see how this can spiral out of control and result in businesses having to close.
However, there is a solution, and this is to leverage technology to your advantage. From healthcare apps to POS systems, there is a lot of way tech is aiding businesses today. A lot of entrepreneurs do not know that these technologies exist to begin with. And then those that do know, don't always have the skills, time, or money to implement these technologies. Nevertheless, without a solution in place, you are going to be feeling stressed all of the time. You are going to spend all of your time chasing payments and worrying when the next invoice is going to be paid, rather than concentrating on how you are going to take your business forward and achieve more.
How you will feel once you have an effective cash-flow management tool in place
Rather than feeling stressed and worried all the time, why not get a handle on your cash flow issues so that you can take your business forward and achieve more? Once you have an effective tool in place, you will be able to see all of your invoices in one place. You will have all of the information you need via a central dashboard so you can see what money is owed and when it is projected to come in. you will also be able to send payment reminders with a click of a button. Not only this, but you will gain access to powerful analytics that will make you aware of which consumers are good payers and which are repeat late payers, so you can focus your efforts on those customers that always pay you on time. This will make you feel a lot more relaxed and confident. You will be able to concentrate on growing your business, rather than fretting about when the next invoice is going to be paid.
What are the top five cash flow technologies out there today?
There are lots of great cash flow technologies out there at the moment, including desktop software and mobile apps, here are five options that are all worth considering…
- CashAnalytics – While SMEs tend to suffer most when it comes to cash flow problems, this does not mean that big companies do not need cash flow management tools. CashAnalytics is a great choice for companies that have various cash flow sources and are in need of automation and forecasting features.
- Pulse – Pulse helps you to monitor all things cash-related. You can look at your cash flow on a monthly, weekly, or even on a daily basis. It also connects with QuickBooks, which is an accounting system a lot of you may already be using. Pulse was built to give you the power to manage your cash flow so your company can grow and evolve. You can track cash flow in multiple currencies too, as well as creating accurate projections.
- Scoro – This is a robust yet ambitious tool. It offers a suite of services, which cash flow management being one of these. It really is a business management tool. However, the cash flow element is something that is held very much in high regard. Therefore, if you are looking for an overall solution for business management, it would be good to go down this route, as you have everything covered in the one package. However, if you are simply looking for an add-on tool to assist with cash flow management, one of the other options is going to be better suited.
- Float – This is another solution that can easily be integrated with the accounting platform that you have in place. One of the main draws associated with going down this route is that it will automatically gather all of your information and so you are not going to need to spend time inputting data manually. You can also forecast cash flow way into the future, meaning your company is going to be more prepared. You will be able to plan more efficiently and effectively, and you will know exactly where your company is headed so you can make adjustments if needed.
- PlanGuru – Last but not least, we have PlanGuru, which can be integrated with a wide range of accounting platforms as well. It also offers forecasting and current cash flow projections. You can make sense of complex financial data with this tool, as it has a great analytics feature. It is best suited to small companies. While the functionality is limited compared to other tools, it has everything you need as an SME that is looking to get control over their cash flow.
To conclude, there is no denying that cash flow is a major problem for a lot of businesses across the country. However, rather than sitting back and crossing your fingers, hoping that someone is going to pay you in the near future, you need to take control of the situation. This is something that technology can assist with. Make the most of the solutions that have been mentioned above and you will be able to take your business forward rather than living in the past.