The A to Z of Things to Watch: D is Debt

The exciting world of business tends-naturally-to concentrate on the big stories of money gained and money lost. The sums are often so staggering that someones injects into a business or loses on collapse that it becomes difficult for us to comprehend and we perhaps also lose a sense of reality as far as business debt is concerned.

But, there is no doubt about it, if your debt is not managed and contained it will bring your start-up down. Here are ten tips:

1.Have brilliant record-keeping from the begining of money coming in and money going out. If you are not good at that, outsource the task.
2.Realise that there are various kinds of money and future money eg.. revenue coming in in two months will not help with this month's overdraft.
3.Price correctly. Are you so busy you can't make money?
4.Learn negotiation.Every point of discount saved will help your business grow.
5. Chase money owed. It is usualy paid first to those who chase first. Sad but true.
6. Start early when you win business from a large organisation; it typically takes months to get you 'on the system'.
7. Talk to the bank.
8. Document prices and T&C.
9. Get a GOOD accountant.
10.And if it does all go wrong. Learn and start again.

Did you miss A to C? they are here.