Before we head into the end of financial year period and with business travel back on the cards, it’s time to turn your efforts into positive cashflow.
After two years of restrictions and an uncertain business environment, 2022 is already shaping up to offer new challenges — and opportunities.
As we inch towards the busy end of financial year (EOFY) period, it’s now time for decision makers to get ahead of their cost pressures with effective sales and marketing to help increase revenues and boost cashflow.
Read how MYOB customers are achieving this, so you can apply these lessons in your own business while rolling down the road to recovery.
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Customer success means business success
Greg Harris of Jetset Plumbing, offers a great service to his customers which means having the best team capable of delivering it.
“My goal is for our clients to say the job we did was fantastic. For so long, the plumbing industry hasn’t had that — nobody does service like that, but it’s in our DNA and we’re proud of it.”
The results of delivering this kind of customer satisfaction speak for themselves. Harris tells us Jetset Plumbing is currently booking between 150-200 new clients a week and maintains a retention rate of 92 percent.
If your customers aren’t actively promoting your wares, it’s time to take a long hard look at your service offering.
Join the Australian-made renaissance and strengthen local supply chains
A standout theme since the onset of the pandemic has been the realisation of how interconnected and fragile our global supply networks have become.
Once considered a true boon to businesses in creating economies of scale and keeping a lid on the costs of production, decades of offshoring has seen the majority of manufacture and supply either originating overseas, or in some way reliant on distant intermediaries.
Now, after a series of natural disasters and border closures, Australians have woken up to the importance of buying local — and business operators are too.
Adam Linforth’s Budgy Smuggler Swimwear has staked a claim in the Australian-made ecosystem. He was dedicated to producing swimwear locally long before it was considered a wise move.
“Business people tell us we should move manufacturing offshore to a cheaper cost base.” says Linforth.
When the pandemic hit, manufacturing in Australia offered true flexibility during a tough time.
“When COVID struck and sales plummeted we had to close our stores, but, because we made locally, we were able to adapt and make face masks.”
“They became our best-selling item for three or four months during that first wave and helped power our business through.”
Good record-keeping lies at the heart of generating cashflow
Even when you’ve got all elements of a successful business model in place, from marketing to sales and supply, many operators will still find their cashflow dreams curtailed by a lack of systems and processes.
Chief among these are your record-keeping capabilities. Not only do good records allow for more accurate forecasts, they’re crucial when it comes to EOFY and maximising any claims you intend to make.
As technology continues to reshape every element of business, keeping records has also evolved, leaving those who prefer paper receipts and excel spreadsheets holding the bag.
Lisa and Isabella Bennetts from OiOi know the pain all too well, having initially used these methods after selling her first shipment of bags. But the complexity of her growing operations meant the situation was quickly becoming untenable.
“I went straight into MYOB … being able to invoice and keep a track of my inventory cut out a lot of time and hassle.”
“[The dashboard] gives me a really quick snapshot at the start of the day, so I have a bit of direction. I know what I need to get through and which debtors to chase up.” says Isabella.
Lisa is also impressed by how the software has evolved over the years.
“It flows through from Shopify, straight through to MYOB, which is fantastic. It cuts out a lot of time because we were manually entering everything in.
“The Online Invoice Payments (OIP) tool with MYOB has really streamlined how we invoice our retailers,” Isabella says. “Once we pack their order, we flick them an invoice and they’ve got several payment options.”
With EOFY just around the corner, now’s the time for business owners to scrutinise their own business management and accounting systems with a view to increase efficiencies with truly integrated solutions.
Back to basics: Boost your cashflow in 2022
In many ways the world has been completely reshaped since 2019, but no matter what your business has been through in the ensuing years, some things will always remain the same.
When it comes to being profitable in business, getting these basics right will ensure that you not only have a strong pipeline of work coming in, but that you’re also maintaining a firm handle on the associated costs.
2022 is already shaping up to be a big year for businesses. Now’s the time to take action to ensure it’s a bigger year for your cashflow. Get started at MYOB now.
MYOB is a leading business platform with a core purpose of helping more businesses in Australia and New Zealand start, survive and succeed. At the heart of MYOB is a customer base of 1.2 million businesses and a network of more than 40,000 accountants, bookkeepers and consultants, for whom MYOB delivers end-to-end business and accounting solutions. MYOB operates across four key segments: Small and Medium Enterprises (SME), Enterprise, Financial Services and Practice.