Managing cashflow during a crisis

The chancellor has set out a package of temporary, targeted and timely measures to support businesses through this period of disruption caused by COVID-19 Visit www.gov.uk for guidance. Below we outline 8 tips for managing cashflow during a crisis for your business.

CASHFLOW PLANNING CHECKLIST

Check if your invoices need to be sent to different email addresses or locations.

Check to see if customers will be paying from different banks? Ensure they reference what invoice they are paying when payment is made.

Contact your customers to see if they have cash available to pay you and run regular credit checks.

Consider changing your payment terms temporarily, although doing so could alienate your customers.

Review your ledgers to ensure you have contacted all customers with invoices due now.

Do your Accounts Receivable/Accounts Payable processes need to change due to current restrictions

Communication is key! Keep in regular contact with your customers for updates on how they are progressing.

Complete cashflow forecasts for worst case scenarios. Consider the fact that some of your customers may go out of business!


A business owner should always “know their numbers”, what is coming into their business, what is going out. Now is a better time that ever to really understand your cash flow, where you can make savings and where improvements can be made.

Consistent and regular cash flow is the key to ensuring your business stays a float. During times where you need to adapt, think about how you can do it and which of your current customers will buy into your business changes.

If you are thinking about ways in which you can encourage customers to pay on time

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