There’s no doubt that our economy is powered by small businesses. but, as every small business operator knows, running a business comes with challenges, the greatest of which is cash flow.
There’s no doubt that our economy is powered by small businesses, which employ over 4.7 million Australians and contributes $418 billion to our GDP, equivalent to 32% of Australia’s total economy.
But, as every small business operator knows, running a business comes with challenges, the greatest of which is cash flow. Having a positive cash flow means that more money is coming into your business than going out. It’s just as important as profit when it comes to determining the performance of your business.
So, what actions can you take to maximise cash flow? Some examples include:
Leasing equipment instead of buying Leasing vehicles, computers and other equipment instead of buying can improve your working capital, whilst still claiming a tax deduction your leasing costs.
Maintaining a line of credit with your bank Gaining a line of credit before it’s required can be a good insurance policy against potential cash flow problems.
Delay payments to your suppliers Making maximum use of your payment terms with your suppliers makes sense as long as you avoid late fees or penalties.
But perhaps the best way to maximise your cash flow is to ensure your customers pay you as fast as possible AND to ensure those funds settle into your bank account quickly.
This is where Azupay’s PayID for Xero comes in. If your business uses Xero, you can now choose to receive your payments in real-time instead of days. And it works 24×7, every day of the year.
For your customers, making a payment using PayID for Xero is even easier than using BPAY. As soon as the payment is made, the funds leave the payers account and you receive a payment guarantee in Xero. And unlike other payment methods, PayID for Xero delivers straight through reconciliation, meaning no payment matching is required.
PayID for Xero costs just 99c incl GST per paid invoice making it one of the cheapest payment options on the Xero platform.
For more information and to get started, visit https://www.www.azupay.com.au/payid-for-xero