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Writer's pictureBenjamin Paulding, CPA

3 Ways To Avoid “Insufficient Funds” And How To Recover If You Can’t.

If you’re tired of seeing that “insufficient funds” notice, just think of business cash flow like your cell phone. Low battery doesn't mean you’re done, but it’s your sign to start moving things around.




Now, cash flow isn't just the battery level, it's the operating system that runs everything! So, if you manage things right, you'll never see that gut-wrenching notification again.

Still, if your cash flow dips, then it's not just apps crashing…

It's your whole life.


Efficiency Mode VS Performance Mode.

The same way you play with different settings on your phone to save battery, look at checks and digital payments as different “settings” that might extend your cash flow.

Checks are the financial version of a stable Wi-Fi connection. A reliable, and secure link to your funds, but it’s not the quickest.


Digital payments are like 5G — fast and efficient. Perfect for when you need speed, however it needs to be watched closely and it’s not available everywhere.


Get away from an “either / or” strategy. Put both to use based on your financial situation and get that money!


Your Financial Low-Power Mode.

Master the “float”. You know that time gap when your money hangs around while transactions are happening?


Well, similar to how low-power mode on your phone restricts functionality to extend battery life, a well-managed float-period can be your financial low-power mode that stretches the life of your available funds.


Use this break in the action to maintain essential functions, earn interest, or re-strategize while you hustle to keep the lights on.


Customize Your Settings.

Who says you only get a 30-day payment term?


It’s not written in stone, so negotiate!


Remember, it’s your business on the line here, so if you need to get a little mean to ditch the standard payment terms - then do it.


Be the disruptor and learn how to talk terms like a pro. This will give you the extra time needed to put that new strategy into motion and make sure those terrible notifications never show up again.


So, tag that one guy who’s checks are always bouncing and let’s get the party started!

Start playing to win by following me here https://www.linkedin.com/in/benjaminpaulding/.

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