Cash flow is the oxygen of a business. In uncertain conditions, clarity and cadence matter more than complex models. This plain‑English playbook shares practical ways to see earlier, act faster, and avoid nasty surprises. It’s general information only—always consider professional advice for your situation.
Build a rolling 13‑week view
A short, forward‑looking forecast keeps decisions grounded. Map inflows (receipts) and outflows (payroll, suppliers, tax, rent) by week. Update every Friday, compare plan vs actuals on Monday, and adjust.
Pull the simple levers first
Focus on changes that are reversible and low cost: earlier invoicing, clearer payment terms, small order quantities, or pausing nice‑to‑have spending. Negotiate where you can; small improvements add up.
Match payment timing to reality
Align payables with when cash actually arrives. If customers pay on day 30, avoid paying on day 7. Consider staged deposits for large jobs and offer straightforward early‑payment options.
Know your triggers and guardrails
Decide ahead of time what causes a response: e.g., if the forecast dips below four weeks of runway, freeze discretionary spend and review hiring plans. Clear guardrails reduce stress in the moment.
Conclusion: visibility beats volatility
When conditions shift, cadence and communication carry teams through. Short forecasts, quick levers, and early conversations reduce risk and keep momentum.
Actionable tips
- Create a 13‑week cash view and update weekly.
- Invoice on delivery and clarify terms on quotes.
- Stage large jobs with deposits and milestones.
- Define runway guardrails and responses now.
- Seek professional advice for complex decisions.
Key takeaways
- Short, rolling forecasts surface issues early.
- Simple levers and timing changes improve resilience.
- Pre‑agreed triggers prevent reactive decisions.
- Professional advice helps with nuanced trade‑offs.