Strategies to Improve Your Bottom Line
Posted by Lake Superior Community Partnership on August 5, 2013
Taking care of your business’ health is just like taking care of your physical health, there are things that you need to monitor and take action on in order to make sure all runs smoothly. We’ve compiled this list to help you think about or enhance your business’ health strategy. We’ll go more in depth on these topics in future columns.
Solve an Immediate Cash Crisis
Organize financial data in ONE place
Make a list of problem areas
Set priorities for collections and payables
Set a timeframe and goals for cash management
Speak to a professional for a review of your accounts
Collect Accounts Receivable
Bill customers as soon as possible
Collect Everything NOW
Set Firm Credit Policies
Contact Creditors
Complete a cash flow forecast before setting payment plans
Talk to creditors and keep in touch
Keep payment promises
Offer partial payments with plans to get back on track
Adjust Prices and Reduce Costs
Revise pricing to improve sales and profit levels
Charge extra for emergencies, deliveries and other value-added services
Eliminate freebees and giveaways
Reduce personnel expenses—use interns, eliminate overtime
Reduce personal expenses—reduce travel, entertainment
Talk to an LSCP Business Specialist for a customized report of your industry
Require Accurate and Timely Accounting
Get involved—bookkeepers and accountants can’t do it all for you
Review financial statements regularly
Forecast short term cash flow
Establish Checks and Balances
Enforce cash handling policies
Reconcile daily register with bank deposits and credit card transactions
Prevent opportunities for embezzlement or accidental mismanagement
Focus on Marketing
Redefine your core target market
Look for complementary areas requiring little to no start-up capital
Keep in touch with current and past customers
Keep your website and social media up to date
Pay Attention to Your Image
Appearance counts – clean it and paint it
Keep window displays neat and fresh
Install attractive and descriptive signage
Train employees to deliver top notch customer service
Be an Effective Business Owner
Attend workshops in subject areas where you need support
Make a commitment to improve
Communicate more effectively with customers, employees and suppliers
Talk with other business owners – you are not alone
Participate in LSCP Opportunities
Become an LSCP Partner if your business is not already
Networking (Business After Hours, Golf Outing, Annual Dinner, Committees)
Seminars and workshops
Marketing, advertising and support services
Free, confidential business plan and business counseling
Revolving Loan Fund
So remember, just like in your personal health, an “ounce of prevention is worth a pound of cure.” The Lake Superior Community Partnership is available to assist you individually with your business support needs and is connected to many resources that may benefit your business in all of the areas listed above. Visit our website (www.marquette.org) or give us a call (906.226.6591) to learn more and to set up a meeting with our business development team.
CEO, Amy Clickner, writes this bi-weekly column for the Mining Journal.
