Avoid your biggest business nightmare

Running out of cash can give you hyper-stress and sleepless nights.
This happens when you don’t have enough revenue in slow times, haven’t saved enough to cover those times, an employee is stealing from you every week or you don’t set prices to make a profit.
Here are 4 ways our friend Ruth King advises to prevent running out of cash:

  1. Be your own banker. Use a savings account to transfer money each week. Save 1% of every check that comes in the door. Transfer it when you make the deposit.
    This is easy to do and easy NOT to do. Over the years this 1% adds up to a lot of dollars to cover payroll or other expenses.
  2. Watch your accounts receivable. If an invoice is to be paid in 30 days, call your account on the 31st day with a friendly reminder to pay by credit or debit card.
  3. Make it a policy to get payment at the time of order or at least a deposit. You can also charge a 1.5% carrying charge per month on delinquent accounts.
  4. Weekly cash flow reports will track incoming and outgoing dollars every week. Then predict cash inflows and outgoes for the next week. Email Ruth for a weekly cash flow report (rking@ontheribbon.com).
    We share such ideas in “Maverick Entrepreneurs’ Million Dollar Strategies.”
    For a $20 personally autographed copy, contact us at 803-359-7633.
    Copyright 2019, The Bellune Co., Inc. To get your own electronic version online visit Amazon by clicking here.

You’d better make a profit – or else

Our old boss Don Carter liked to ask job applicants what they thought was the 1st duty of a business. A few got the right answer – “to make a profit.”
We were reminded of that truth the other day when the CEOs of something called the Business Roundtable declared that their 1st duty was to “social responsibility.”
That sounds warm and compassionate on paper, like the Green New Deal.
In reality, it is entirely irresponsible.
There are many values right-thinking business owners and corporate executives should hold dear, among them are:

  1. Incredible customer service.
  2. Honesty and fairness with customers, employees, partners and investors.
  3. Meeting and beating the competition.
  4. Keeping a keen eye on the bottom line and growing net revenues.
  5. Terminating profit killers and accelerating profit builders.
    After you have complete command of those 5 objectives, you can start thinking about other means to serve the market and community where you live and operate.
    Without profits, you will be useless to everyone and quickly out of business.
    We share such ideas in “Maverick Entrepreneurs’ Million Dollar Strategies.”
    For a $20 personally autographed copy, contact us at 803-359-7633 or email JerryBellune@yahoo.com. To get an electronic copy visit Amazon by clicking here.
    Copyright 2019, The Bellune Co., Inc.

How to drive more profit to your bottom line

Are you happy with your business’s bottom line? We never are. I mean NEVER!
If you are happy with yours, take another look. Over time your costs rise and with it employee and your own pay.
What is the annual net percent of gross for companies your size in your industry? What are their average payroll costs as a percent of gross? How about the average costs of your other expenses?
You may have to raise prices to stay even or to do what others in your industry do.
What if you sold fewer products or services at a higher profit margin? Would that increase your net profit?
What if you sold more at a lower profit margin? Would that increase your profit?
What if you raised prices on your most popular products or services, raised productivity and decreased waste. Any one of these can increase your profits.
One step we are taking is a hard-nosed approach to our operating costs. We aim to shave those costs $100 a day.
With 260 work days a year, that will add $26,000 to our bottom line.
If you did that, what would it add to your bottom line?
We share such ideas in “Maverick Entrepreneurs’ Million Dollar Strategies.”
For a $20 personally autographed copy, contact us at 803-359-7633 or email JerryBellune@yahoo.com.
Copyright 2019, The Bellune Co., Inc.