Managing your personal or business cash flow is the cornerstone of any financial plan. Even without COVID-19, poor cash flow management can lead to expensive failure not just in business but also in your personal wealth creation journey.
Now that we’re all facing tremendous financial challenges brought about by this pandemic, it’s even more important to equip ourselves with competencies that will be advantageous even after COVID-19 no longer poses a threat.
Below are 3 smart ways you can manage your personal and business cash flow so it remains strong and solid despite today’s tough economic conditions.
Personal and Business Cash Flow
- MAXIMISE CASH FLOW
Cash in the bank is the most important asset, for any business or individual to ride out and survive the turbulent months ahead. A key objective should be to maximise the amount of available cash available & in your bank accounts.
We suggest you consider the following:
- Review your outstanding accounts receivable (trade debtors)
- Request ATO payment deferrals, both business & personal
- Negotiate rent relief with your landlord
- Request payment deferrals or additional funding from banks
- Request payment deferrals from other lenders, for example, car financers
2. SEEK GOVERNMENT ASSISTANCE
What Government assistance are you entitled too?
- Look into JobKeeper payments
- Review ATO cash flow support scheme
- Consider wage subsidies for apprentices and trainees
- Seek State Government support for businesses – for example, Victoria has been waiving payroll tax for many small businesses.
- TALK TO OUR BUSINESS ADVISORY EXPERTS
If you require any assistance, which could include cash flow projections, budget preparations, help with Government assistance packages available, financial planning & insurances, mortgage refinancing, or just have general questions, feel free to contact us immediately.
If you need support with your financial well-being, please do not hesitate to contact us.
General Advice Warning
The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.
Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.
Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Chan & Naylor, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.
Chan & Naylor is Australia’s leading property, business, tax-accounting & wealth advisory group with offices nationwide.