Keep your cashflow under control (4)

This is the fourth of the series:

7. Take precautions – consider taking out insurance to cover all trading with a large or doubtful customers or even against individual invoices.

8. Negotiate or re-negotiate credit terms with suppliers – Ask for early settlement discounts (if cash is available) and try to split annual costs into monthly payments. You will probably find this easier than paying a large bill at the end of the year. What would happen to your business if a supplier failed? Too much reliance on any one supplier could leave you extremely vulnerable. Use credit checks and find alternate source(s).

These are my thoughts and information from various other sources. Your comments or observations are welcome.

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