From supply chain management to partnerships that foster loyalty
I have recently been reading and studying trends on financial problems experienced by SMEs and there is an alarming trend. More and more SMEs are getting into financial straits due to an ever increasing problem around cash-flow. Indeed many of our clients are reporting poor cash flows and are decrying an unfriendly environment.
The burgeoning cash flow problem is caused by many factors such as poor capitalization, over trading, funding mismatch and many other SME related buzz words. One giant culprit that causes many an SME owner migraines is the 'accounts receivables'. It is not that these SMEs are not selling and it is not that they don't have good customers, the major problem is that a majority of their customers are not just paying for goods and services consumed.