On this topic I know too well. More closely than I would have liked. Fortunately, I met in time with the technology, which follow, so I have now not only is there no debt, but I can be quite a wealthy man.
In the middle of “fun ’90s,” I owe money to several people. To be precise, the number of my creditors was about fifteen hundred people. Different people come out of this situation in different ways. Personally, I was fortunate to meet with an ingenious technology, financial management.
As part of this system is a money management resources guidance for the impact of debt, which helped me in those years to restore the excellent solvency and creditworthiness. With these principles to the present day, I helped many businesses to arrange their finances. Some of them – those who can follow the instructions exactly – eliminate confusion in the financial matters for several weeks.
I will not torment you for a long time, so these simple principles.
In order to precisely control the finances, you need to know one number, which some businesses do not know. This figure – the amount of trade margins (margin, dirty profits) obtained during the previous week. It is believed it this way: from the gross receipts are deducted direct costs (cost of purchase and transportation of what you sell, for example, or directly on the provision of services). That is deductible only to the money earned is not your organization. Everything else (taxes, wages, rent, communications, etc.) is an overhead from gross income are not deductible. So you get the amount of money you earned in a week.
Not every business records organized so that you can receive this amount every week. But in every business it can be arranged with the help of a good accountant and programmer.
Now, a few important principles of the impact of debt. Never give the debts due to turnover (only able to present a serious danger, and I would have thought three times). That is, never give more than what you earned.
Plan your debt payments each week. It should just be a percentage of the margin (trade margin, value-added – who as it calls it) over the past week. And you should never overdraw the resulting margin.
If you have no margin of income, and in general – is a separate case. You have no valuable product (the result of industrial activity, which people are willing to buy). It is necessary to conduct research and determine what will be the product. And then to promote this product, getting money for it. This may sound too simple, but people really do not understand that lack of money is always an indication of lack of product.
Then – you never have to pay the bills for a “little bit”. Only as a whole. If the debt is too large to cover it immediately negotiate with the lender of the tranches, and follow these agreements. But do not pay installments gradually. This immediately advertise your instability and insolvency, as well as disorder in the finances. It is better to hold back a little fee, but pay the bill entirely. Otherwise, you will one day may find that lenders are required to pay immediately the full amount of the whole, as no longer trust you.
Constantly deferring a percentage of the margin (rather than a fixed amount), you set aside as part of the margin (also interest) on actions to promote their product on the market. If the income is very low, all the basic tools you need to invest in effective action to advance. Do you do this for as long as no feel for a vein – a truly effective way to get money from customers.
Realizing that it meets the needs of customers (like it or not, no feedback, no polls here will not do), you need to make one last push and organize the provision of goods or services so as to fulfill all its obligations. It is in this order – first to understand that people need, and then promote it and organize the flow of funds received, and after that to give. If you do these in reverse order, then you either podsyadete for loans in the bank, or will be ineffective. A bank loans, as my partner likes to say, Vladimir Kusakin support the entrepreneur as reliably as a rope – hanged.
Next, a very delicate moment. As a rule, following this strategy, you will get the money before deliver promised. And then you have to pass on a knife blade, without making a mistake in a situation, if you pay off debts.
Given the lion’s share of debt in the event of a sudden increase in revenue. A sharp rise. But this is not the first step. Once the statistics of the money flew high, the first step is saving. No gulyanok in a big way, or raise the standard of living (mortgage purchases of yachts, planes, new offices, etc.). You are not guaranteed by the fact that this rise will not end in a week or two. So, leave the standard of living unchanged, set aside the necessary amount of money to provide what was promised, and only then pay off debts. But at once. See what bills you can cover a whole and covers.
Do not forget about the correctness of the payment of bills. It lies in the fact that you first pay to whom owed previously. File of the impact of debt’re only in calendar order – not in order of personal relationships, or “Who is the greatest screams.” Be very strict.
Do not make another fatal mistake – the impact of debt due to non-current liabilities. Debts are given only with the resulting margin, but not at the expense of current cheating partners or suppliers. Otherwise, you can come to a situation where you do no longer any work.
That’s what you need to know how much you earned margin on the previous week. How much do you have the right to spend on themselves and on the debt.
Let’s go over this whole system again.
So, you find a product that truly meets the needs of clients (this is done with the help of technology marketing), you promote it with the help of effective methods (all the same technology marketing), organizing the flow of funds from clients. By the way, the creditworthiness in the eyes of customers means your ability to receive payment in advance.
After that, you think very precisely how much of the money earned by you in the form of trade margin. The percentage of this amount routed to the planned return of debts. Another percentage – to continue to promote effective action. Do not climb up to the current assets, and expect a sharp surge in revenue as a result of proper promotion.
Cover the many accounts or tranches, as you can, but not often, as a whole.
In no case did not violate the calendar sequence of repayment of debts, but in case of threat to life by the government (private assaults decide legal ways).
Step left, step to the right of this technology will cost you to roll back pain and headache. You can use this article as a guide.
As you can see, to build a user system and bring bills to the order is not too difficult. Harder to find a really good product for an exchange.