1) Secure competitive bids for all major expenditures
When you are paying big money for a particular service, you will want to be sure that you are receiving the best price. Let your potential vendors know you are comparing prices, and would like to determine who provides the best value for their prices. This will help you find the best vendor before being locked into a contract that you have to wait years to get out of.
2) Attack the collection of accounts receivable beginning with the most current first
Start contacting your customers to determine when they will be paying their invoices. Communicate the length of time they have to make these payments, and get them to agree to a time when this payment will be made. Do not let them go until they agree to make their payment by a scheduled date.
3) Never let the excitement of receiving a new customer overshadow the need to obtain solid credit information
Just because you have a new customer, it does not mean that they are a good customer. You need to determine their creditworthiness so that you do not end up dealing with a customer who has issues making payments for the services rendered.
4) Develop a daily cash report for key executives and salespersons who need to follow up with accounts receivable
Your key people need to be involved in ensuring that payments are received for products and services sold. You do not have time to handle these things yourself as a business owner, so you need your key people to take responsibility for these tasks.
5) Reduce labor costs with part-time workers
Part-time workers cost less to employ than full-time workers. Take advantage of this luxury by hiring multiple part-time workers. Be warned that these people will be the first to leave your company if they are presented with a full-time opportunity.
6) Shop for insurance often
Insurance is expensive to maintain, so you want to be sure you are dealing with insurers who are providing you with the best options. If you feel like you are paying too much for the service you are receiving, do not hesitate to switch providers.
7) Instill a sense of urgency throughout your business
You can not allow a business atmosphere of complacency. This leads to a business that operates poorly and get overtaken by its competitors. You should promote excellence throughout your business, from the front desk to the key executives.
8) Make sure your team knows what is expected
When you do not implement a set of expectations, your team has no guidelines to follow. You need to let it be known how many sales calls need to be made daily. Communicate the sales quotas for the week, month, and quarter. Train them how to effectively communicate with prospects and existing customers.
9) Step out of your office to learn what is going on
Go out and talk to your target market, Find out what they would like from their service providers. View your employees in action. Do you see anywhere they can improve? Look at the entire operations of your business live so that you can understand why your business is succeeding or failing.
10) Identify the key positions within your company that have contact with customers
The employees who have contact with your customers have a very important role. They can either help you retain customers by providing great customer service, or lose customers by providing terrible customer service. You want to train people in these positions to be a personable and patient as possible.