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O P I N I O N
A s the last quarter of 2016 draws to a close, many of you and your financial staff are seeking to “stock the cash coffers” of the firm. Ending bonus distributions, sheltering funds for tax payments, capital expenditure purchases, and other cash requirements place demands on the available cash that the firm needs. Cash flow Alternative collection methods at this time of year, even if it’s something radical, might come in handy if you need to ‘stock the cash coffers.’
Despite the hue and cry from the financial staff to your principals and project managers that collections of open accounts receivable have to intensify, their continued pressure may or may not deliver the cash required. Depending on how well your firm manages the client contractual agreements, how clearly the contract terms are reviewed with your clients, and what expectations are set and managed by the technical team, you and the financial team are either seeing the flow of cash or your firm continues to be squeezed for cash.
facilitate cash flow during this period: 1)Pick up the phone; reach out and touch your client. Texting and email are perfect vehicles for communication, and they are the preliminary entry point in the collections effort. However, when you have finally seen enough comments to the collec- tion effort like “emailed the client” over and over, it’s time to get radical. Calling your client allows more than just the collec- tion call, it is a touch point that establishes direct communication. Aside from asking for payment, checking in with your client, asking what other See TED MAZIEJKA, page 12
The following are some tips that should help
THE ZWEIG LETTER November 28, 2016, ISSUE 1177
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