Generating more cash within the business

It may be possible to avoid having to raise more money externally by improving the generation and retention of cash internally by the business.

You could:

1. shorten customer payment terms;
2. collect in ‘bad’ debts;
3. agree extended payment terms with key suppliers or HM Revenue & Customs;
4. outsource more;
5. reduce stock holdings;
6. reduce owner drawings.

It takes time to generate cash internally within the business, there’s no overnight fix.  Even then, you may not have the skills or inclination to do it, it’s not always a pleasant job.  Often HM Revenue & Customs will listen more to a third party than you.  Often it can be a good idea to distance yourself from the process.  If raising more cash internally is an option, I can introduce you to people who can make it a reality.