Baby Boomers in business: I’m curious.
Has the credit crunch affected your business? For example:
Have you found that business is slower?
Have you had trouble collecting money from customers?
Has your bank pulled bank your credit line or denied you additional funding?
Comment or use my latest poll to let me know.
Many business owners have said they are being affected by the credit crunch in two ways:
1. They are unable to borrow money to pay their bills.
2. Their customers are taking longer to pay.
The availability of credit is a serious problem for any small business. It’s about survival. Believe me, I’ve been there. The problem may start out as a small amount that you need, “just to make payroll,” and it grows. Pretty soon, you’re using your credit cards to put money into your company to pay your business bills and pay employees. And it gets worse. If your business has …read more
Image details: Close-up of a man receiving dollars served by picapp.com
Collections Rule #1, as I heard it many years ago: The longer the bill is unpaid, the less likely it is that it will be paid. Here is dramatic visual proof of that rule in a recent Forbes article about collecting money in difficult financial times.
So what do you do to collect money? Here are some practical tips:
1. Start at the beginning. At the beginning of the business relationship, put in writing your expectations of payment and have the customer sign the document. Doctors include a financial responsibility statement in their new patient …read more
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