6 Steps to a Better Business

  • Want to maximize efficiency and profit?
  • Want to turn marketing into an investment instead of expense?
  • Want to take a longer vacation while the business is making money for you?

Come to our “6 Steps to a Better Business” seminar to learn how. Give your business a chance to reach its full potential so that you can get more out of your business and your life. 

DATE AND TIME 

Wed, August 15, 2018 
6:00 PM – 7:30 PM PDT

LOCATION


ActionCOACH of Santa Clara

 

4340 Stevens Creek Boulevard #161 San Jose, CA 95129

Take ACTION today!!

 

 

PS The $10 charge is for snacks & drinks

Guide: How to Calculate Net Cash Flow in 4 Easy Steps

Net cash flow is the amount of money received and used in a business. Before you get your small business on the road, you will need to know how to calculate net cash flow. The cash flows are divided into three categories, operational, financial, and investment.

Step 1- The Calculation Net Cash Flow of Operational Activities

Operational activities are the goods and services a business delivers. The cash flow will help get an estimate regarding the amount of money, which is used while the goods and services are being delivered. In order to calculate the operational activities cash flow, there are three points to keep in mind.

  • The cash inflow in this category includes cash received from the sale of goods, services, any form of cash received, receivables, cash dividends, and cash interest.
  • Cash outflow is the cash given to the employee, suppliers, petrol pump, taxes, fees, fines, interest etc.
  • If you decide to use the indirect method to calculate, the outcome will reflect the total net income, changes, or increase in your liabilities and assets, such as inventory, payables, and receivables.

Step 2- The Calculation Net Cash Flow for Financial Activities

Just like operational activities, financial actives are also recorded. The amount of cash generated are the financials, this amount is generated through sales, stocks, bonds, or other sources. There are two important points to remember,

  • Cash outflow in finance is the amount of cash paid towards debt, to reacquire equity, buy back stocks, or to divide the amount of cash within the number of shareholders equally.
  • Cash inflow is the cash generated from stocks, contributions, borrowing (loan), and investment income.

Step 3- The Calculation Net Cash Flow from Investing Activities

This is to determine the total amount made by investments. Keep in mind,

  • Cash inflows here will be the amount of money collected on principal note, sales of bonds, equity, property, sale of equipment etc.
  • Outflow will be the amount paid for purchases of assets, to acquire debt, purchase of property, equity interest, etc.

Step 4- The Final Calculation

After all three categories are totaled separately, combine the three totals in to one, that amount the ending balance is. This helps you generate an idea of the amount of money that is generated over a certain period. The following is an example:

Calculating Cash Flow for January 2015
Remember, you can use either the direct or indirect method to calculate net cash flow, both are considered accurate.

Bring Your Goals and Brand Together

 

In many cases, the goals of an entrepreneur and the way they portray their business align rather well – there is no dissonance between external branding and internal goals. But for some business owners, there is a lack of cohesiveness in what the business is trying to say. These are the businesses that throw lots of money into their marketing, sales, and branding efforts, but get little out of them. Internal organization is just as important as sending a powerful message, and the two must mesh together perfectly if your business is going to succeed.

Depending on how large your business is, your marketing, sales, and branding teams might be distinct entities, or three parts of a single team. Regardless of how they are organized, keeping them on the same page is crucial to keeping the business running smoothly. Internecine conflict and clashing visions will only harm your business in the long term, which is why it’s so important to keep these different parts of your business aligned with one another. Business leaders commonly fail to specify the exact way in which they are supposed to work together, because they lack a clear and defined vision. You don’t want to fall into that trap, because your business will never succeed on its own. Just as an army needs a strong general to lead it, a business needs a leader with a vision and a plan.

As far as your branding efforts are concerned, make sure you know which customers you are appealing to! You can’t expect to win over every single person that walks in your door, because there is simply too much variation in people’s likes and interests. Don’t try to appeal to everybody, because you won’t make anybody happy. Instead, focus your efforts on appealing to a certain demographic. When you know what your customers are going to look like, you can then refine your message and branding towards what they want and what they will likely respond positively to.

Once your branding is set, your marketing team can then begin to sell your business as the preferred choice for your chosen customers. An established branding guideline will enable your marketing team to create targeted advertisements that will appeal to the demographics your business aims to earn the business of. Continuous communication is necessary to ensure that your marketing efforts remain in sync with the branding of your business – you don’t want your marketing team to fall out of step with the changing wants and needs of your customers.

With a sense of identity in place, your sales team can begin to use the tools created by your branding and marketing teams to seal the deal. A sales team can employ persuasive, charismatic people, but without a strong marketing and branding strategy, they will not meet with much success in convincing people to buy from you. Continuous, dedicated research will ensure that your sales team will always remain completely up to date with the newest trends and developments in your industry.

These three parts of your business rely on each other to be effective. No one group is inherently more important than the other – without a sense of cohesion and teamwork, your business will fail from the inside. As the leader of your business, it is YOUR responsibility to provide a clear, defined vision for each of your teams. Once the pieces are in place, they will begin to mesh together like gears in a well-oiled machine. A team that works together always accomplishes more, and it starts with your marketing, branding, and sales.