How to Increase Cash Flow in 90 Days: 5 Simple Steps for Small Businesses
Struggling with cash flow? You’re not alone. A recent survey in July 2025 from Airwallex found that 80% of businesses have experienced cash flow issues in the past year.
If you want to increase cash flow fast, without damaging client relationships, you need a clear plan that focuses on faster payments, better systems, and reduced spending.
Here are five actionable steps you can take over the next 90 days to increase cash flow and strengthen your financial foundation.
1. Get a Clear Grip on Your Cash Flow
Start by identifying:
- What you’re owed (accounts receivable)
- What you owe (accounts payable)
- When those payments are due
Even a simple spreadsheet can give you visibility and control. From there, establish a weekly cash flow review routine. By tracking this regularly, you’ll stay ahead of problems and avoid nasty surprises..
Tip: Use accounting tools like Xero, QuickBooks, or a Google Sheets template to automate the process.
2. Tighten Your Payment Terms
If you’re offering 30+ day payment terms, consider reducing them to 14, or better yet, 7 days. Also, consider taking upfront deposits or park payments before starting work.
Always display your payment terms clearly on your invoices. For example:
Thank you for your business. Please make payment within 14 days. A 1.5% monthly interest charge will apply to over due invoices.
Offer multiple easy payment options:
- BACS / Bank Transfer
- Debit or Credit Card
- Stripe / PayPal
- Direct Debit
The easier it is to pay you, the faster you’ll get paid.
3. Enforce a Payment Policy Like Your Business Depends On It
Because it really does!
If you do not have a payment or credit control policy, create one now. It should outline:
- When you send reminders
- How many times you follow up
- When you escalate to a debt collection agency
Ensure your team is aligned and consistent in enforcing these steps.
4. Focus on the Right Customers Using the 80/20 Rule
Apply the Pareto Principle:
20% of your customers probably owe 80% of your outstanding debt.
Use this to prioritise. Identify and contact high-value debtors first, as collection from them will make the biggest impact on your cash flow in the shortest time.
Start with the top 5 accounts: email, call and follow up consistently.
5. Cut Unnecessary Costs and Reduce Overheads
Are your monthly expenses draining your cash flow?
Make a list of regular outgoings. Then:
- Negotiate lower rates with suppliers
- Cancel unused subscriptions
- Reduce unnecessary overtime
- Lower utility and energy usage
- Switch to digital or mor affordable solutions
Even a 10% reduction in overheads can give your business breathing room.
Summary: Small, Consistent Actions = Big Cash Flow Wins
Improving cash flow doesn’t require huge changes, it just requires smart, consistent action. Follow these five steps daily or weekly over the next 90 days:
- Monitor and forecast your cash flow
- Shorten payment terms and accept more payment types
- Enforce payment policies and follow through
- Prioritise big debtors
- Cut non-essential expenses
Check out our Credit Control FAQs to find answers to the most common questions about late payments and how to deal with them professionally.
Published 27th June 2017
Updated 5th August 2025