When times get tough, money becomes scarce. And when it is more difficult and expensive to borrow money, it is especially important for small businesses to take steps to ensure that your cash flow keeps flowing. Here are five ways to protect cash flow and help your business overcome the storm.

1. Keep your eyes open
One of the key factors for predicting any storm is coming and know which direction it is moving. Keep an eye on key indicators for your business and stay abreast of ever-changing economic conditions. Prepare cash flow projections for next year. This will help you see what changes need to be carried out and when.

2. Review your credit policies and credit history of your customers
Manage customer credit is an important part of managing cash flow. Eliminate unprofitable customers, those that cost more to maintain. Mark those with a history of slow payment. Remember, do not have to extend credit to anyone. If a client has a history of slow payment, you may need to change credit terms or even eliminate it completely.

3. Take measures to expedite the payment
First, bill promptly. The postponement of turnover gives the customer the impression that no matter how long it takes to get your money. Second, take steps to encourage prompt payment, such as setting clear deadlines for the debts and send overdue notices. Use invoices to encourage action. Uses collection services when necessary. Get the money if you can is always better for your cash flow a bad debt.

4. Find out if payments to suppliers can be extended
On the other side of the coin, checks the credit terms that allow your suppliers. Most providers granted thirty days to pay, but it may be possible to extend the period to 60 or even 90 days, allowing you to have cash for longer.

5. Renegotiated contracts
The owners, lenders and contractors are not impervious to changing economic conditions so try to negotiate may be worthwhile. For example, if the lease of space for your business is in force may be possible to negotiate a more favorable rate to the owner, especially when other properties remain empty. A cheaper rent you will free up more money each month and have more cash.

Remember, the money going out is never a problem, cash your business will always come easily. Keep the money coming in steadily and regularly is the tricky part of cash management.

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