As I write this, there’s still another couple of weeks of the school holidays left, plus the following few weeks when there will still be many going on holiday.
However, despite this ‘holiday season’ coming around every year, a vast majority of businesses have their daily operations severely disrupted, and often even put at risk, simply because they haven’t thought ahead and carried out a little planning and management.
So here are a few tips:
- Plan ahead to avoid payment delays. Remember that when staff are away, customers will be too. So managing your cashflow is critical.
- Ensure supplier invoices are paid on time or you could damage your credit rating and limit your access to supplies on credit.
- Make sure enough authorised signatories for BACS payments are still at work throughout the holiday period. The same applies with cheque signatories (if you still use them).
- Make sure that staff complete a proper handover, and in good time, to cover their holiday absence. Particularly ensure those involved in raising sales invoices and chasing customers payments must properly brief the staff standing in for them; especially on any payment commitments already made by customers. They must also be aware how to follow up customer invoice queries so that disputes are resolved quickly.
- Make sure that suppliers and customers are aware of any alternative holiday period contacts to ensure a smooth handover, and ensure those standing-in have access to a list of supplier and customer contact details.
- Make sure recording and forecasting cash flow is maintained maintained if accunting staff are away.
- Debrief people on their return to ensure they’re back up to speed as soon as possible.
To see all headline articles from previous editions of my b³ newlsetter, please click here.