“Cash flow is choking us”
Need to refinance? Things getting out of hand? Being held back by current arrangements? You have options. Good businesses and family homes can be saved if you get the right advice early enough.
01 · What it means
In plain English
It might be a short-term loan to cover a cash flow squeeze, a medium-term arrangement to help you restructure the business, or negotiating new arrangements to move ahead or acquire a new business or asset.
Business loans and finance can sometimes quite suddenly become unsuitable. A downturn may make it hard to get credit; your needs may change, or a major client may go broke, leaving you short.
Watch out for loan stacking
Slick ads and non-conforming lenders promise quick fixes. Short-term, high-interest loans can spiral when piled one on top of another. Get advice before you click and sign.
02 · Your options
There’s usually more than one way through
Cash flow finance
A short-term or medium-term facility on terms that actually fit the business.
Debt collection
Some big companies take ages to pay. Getting someone else to chase the money can protect your interests — and your reputation — while getting you paid.
Secure your assets with the PPSR
If you lease, sell on consignment or supply on credit, a correct PPSR registration protects your interest in the goods. A poorly set-up registration can fail to protect you.
Debt management & negotiation
If things get very tough, you may need to ask creditors to compromise on how much they’ll be repaid and over what period — via a formal restructure such as Voluntary Administration or SBR, done correctly and legally.
Credit insurance & factoring
Ways to protect against or bring forward payment of your receivables.
03 · This week
What to do this week
- Build a simple 13-week cash flow: money in, money out, week by week.
- List every debtor over 30 days and every creditor you’re behind on.
- Talk to your key suppliers before they talk to you.
- Don’t take on another short-term loan until someone independent has read the terms.
The information on this website is general in nature and does not take into account your circumstances. It is not legal, financial or tax advice.