The heart of every business is its’ cash flow. In other words, to have a profitable business you must have more coming in than going out. For years attorneys have turned to traditional bookkeeping services to manage the accounts payable and keep track of incoming earnings. What comes as a surprise to many is that this is not the same as cash flow.
“Our firm handles much more than the mundane reporting task associated with bookkeeping. We help our clients analyze their cash flow so they can keep more profits in their pocketbook,” said Ken Lewellyn co-founder of Tennessee Business Services.
For the average attorney, their days are full with finding new clients, servicing current clients and working on cases. When it comes to managing their finances, they often find this is their biggest challenge. Insufficient cash flow is at the heart of every business failure.
A common question that has been found posted on most bar association websites is, “We are growing in terms of clients, billings and revenues; however we are getting deeper into our credit line and don’t have adequate cash to pay our bills.” While credit lines can provide temporary cash, if they are not handled properly they can become a financial burden.”
Law Firms often experience cash flow problems when they do not manage the store and proactively manage their income, receivables and payables. Many are left wondering how they went out of business, while their clients and revenues were growing substantially.
“The typical business owner knows their product, their client and their service, but they struggle with understanding cash flow and how to keep the proper balance between income and expenses. Their number one challenge is managing their finances and that is why we exist. We are here to serve them and help them make more money,” said Ken Lewellyn .
An article in Entrepreneur stated that the five cash-flow mistakes small business owners make are:
1. Overestimating Future Income
2. Engaging in Impulse Spending
3. Being Passive about Past Due Receivables
4. Not Keeping a Cushion of Cash
5. Not Using a Cash-Flow Budget
Ken stated “We help clients become predictable with their cash and that leads to stability as well as more profits!”
To learn more about cash-flow, contact Ken at (615) 400-2150, KenL@tnbizserv.com, or www.tnbizserv.com
Company Name: MKTG Agency
Contact Person: TDavis
Country: United States