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agreed-upon fees or minimums that you are entitled to? If so, be sure to include them on the invoice when necessary. For instance, if your contract specifies a minimum of four hours of service, but you only provide three hours, you should charge the client for the four-hour minimum. Also, has the client agreed to reimburse fuel or toll expenses as passthrough costs? If so, ensure that these charges are included. Lastly, if the client pays a monthly management fee, confirm that the cost is accurately reflected on the monthly invoice. Are you collecting deposits on time for charter trips and charging cancellation fees if a client cancels within the designated cancellation window? If not, consider the reasons for this. I recommend discussing any billing changes with the client before unilaterally adding fees or charges, even if they are agreed upon in the contract.
8. Monitor payables and receivables closely: Stay vigilant for any changes in payment terms from clients or vendors that may favor them but disadvantage you, often with little notice. For instance, I recall a situation where a large client informed us of a change in their payment terms from net 60 to net 90 days through a letter sent by their corporate accounting department via U. S. Mail. The client ' s representative was unaware of this change, which would negatively impact our business. As a result, we communicated politely that we could not accept these new terms, and they reversed course and kept our original terms in place. Additionally, monitor receivables closely to ensure clients pay according to the agreed-upon terms. If a client is late in making a payment, it ' s essential to contact them proactively and discuss options, especially if the outstanding receivable constitutes a significant portion of your revenue.
9. Monitor P & L performance and other key performance indicators closely: Share these results with your department
heads, perhaps during your weekly staff meetings, so they have the necessary information to make sound business decisions.
10. Don ' t operate in isolation: Stay connected with your local, state, and national trade associations to stay updated on industry news, government policy changes, economic trends, and developments within your network. Be prepared to adjust your strategies as needed. Also, remember that these uncertain conditions will affect each company differently, including some of your competitors. Therefore, stay alert for opportunities that may arise suddenly. The goal is to reduce costs now to avoid drastic cuts in the future. These tips should complement the advice of a trusted financial advisor who understands your situation. In conclusion, navigating economic uncertainty requires a proactive and strategic approach. Organizations can enhance their resilience during challenging times by establishing a clear budget, diligently tracking all expenses, prioritizing essential over discretionary spending, evaluating planned services, considering hiring delays, and reviewing revenue contracts and services. Additionally, it is important to monitor payables and receivables, keep a close eye on your profit and loss statement( P & L) and key performance indicators( KPIs), and maintain strong communication with your teams. Flexibility and responsiveness to the evolving landscape are crucial for safeguarding your business ' s financial health. As we face unpredictable months ahead, adopting these practices will help mitigate risks and position us to seize opportunities when the economic climate stabilizes. Focus on your core needs, maintain open communication, and ensure that every financial decision aligns with your organization ' s overall strategic goals. By doing so, we can emerge stronger and better prepared for future growth from this period of uncertainty.
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Daktronics LED and LCD displays are engineered to withstand harsh environments, providing a robust and resilient solution in the face of temperature and humidity extremes. Adjustable brightness ensures clear communication, from interior and underground to outdoor stations and stops.
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