Why cash gap occurs and how to prevent it

Small business conduct is simple enough. For example, a copywriter need to take projects on time, and everything he will be fine. If we are talking about a big company with employees, suppliers and the large number of customers, then start taking into account the difficulties with money.

Unfortunately, the manager does not always grow with the business. It appears more and more responsibilities, and it still keeps everything in your head and how to manage money necessary.

When the leader has no control over revenues at the expense and write-offs with him, the risk of being without money. It is necessary to pay salaries, rent, buy goods, but no money. We have to borrow money or sell assets. The situation when the company temporarily out of money, called the cash gap. We tell you about the three major reasons due to which it occurs.

Not planned expenses

Imagine that you are the owner of the cafe. You are paid a salary, paid to suppliers, rental and tax arrears are not. Everything seems to be good, there remains 200 thousand rubles on the accounts. You decide to invest in the development and pay courses for chefs and sous-chef.

A few days later a man comes to you from the delivery department and said that he needed 50,000 for car maintenance. It is planned costs, and you have forgotten about him. No money for it - that the cash gap.

How not to fall into the cash gap

We need to conduct payment schedule. It's such a table, which made all of the planned spending from the account and income on it. So you see, whether any periods when money is not on the accounts. It is best to draw up a calendar of payments at the beginning of the month.

Template payment calendar →

Took himself too much

Often the owners derive from the business too much money, not thinking about the fact that these tools will be useful in the future.

Imagine that you have a furniture store. It held a successful advertising campaign, received a lot of pre-orders, and cashier some money. You have decided to reward yourself for a job and buy the latest model of the MacBook. And then you have transferred the money to suppliers of furniture, the salary paid to sellers, paid for the stock. Means no longer exists, but still need to pay loaders and drivers who transported the furniture overtime. MacBook will have to sell.

How not to fall into the cash gap

One must first consider the net profit, and then spend the money on themselves. Net profit - the difference between revenue and the variable and fixed costs, taxes, loans, amortization. Pick yourself can no longer net profit. But less is better to stay in business.

Delayed project deadlines

Imagine you are head of the maintenance crew of four. You take an order for apartment repair 500 thousand, and agree on a three-stage Pay: 200000 directly to the materials, 200 thousand after the acceptance of the object and 100 thousand a month.

You have planned, that will cope with the order within 30 days, so agreed with the workers for a month of work and pay 50 thousand each. Workers coped in time, and the customer was away. The workers agreed to wait. A week later the customer came and began to thoroughly check everything. Then he invited the experts to agree alterations. It took another week. All this time, the workers called and demanded money. And you had nothing to pay - you are in a cash gap.

How not to fall into the cash gap

Need to take a prepayment, which is enough to fulfill all the obligations. It is also worth to prescribe in the contract, during which the customer must accept or reject the project.

And other situations

Script cash gap - the mass. Money may get stuck in the accounts receivable: you have given the customer a payment delay and waiting with an empty cash register when he still pays. Sometimes the cash gap may occur through no fault of the entrepreneur. For example, in the area of ​​catering, you can get on the wrong provider or write off a lot of goods.

That these problems do not concern you, make a detailed draft budget and plan costs. In case the cash gap still happens, you should always money airbag. Try to keep in reserve money was for 1-2 months of operation.