Cash flow is the lifeblood of any business, and in the ever-changing UK economy, keeping it steady can feel like a challenge. With rising costs, unpredictable markets, and new regulations, many British businesses are looking for smarter ways to stay afloat. At CommerceControl, we’ve helped dozens of companies take control of their finances—here are five practical tips to boost your cash flow this year.

1. Tighten Up Payment Terms

Are your clients taking too long to pay? Shorten your payment terms from 30 days to 14 or 7 days where possible. Offer small discounts for early payments to incentivise prompt action.

2. Forecast Like a Pro

Use simple tools like spreadsheets or software to predict your cash inflows and outflows. Factor in seasonal trends—like the Christmas rush or summer slowdown—so you’re never caught off guard.

3. Cut Unnecessary Costs

Review your subscriptions, utilities, and supplier contracts. Could you negotiate better rates or switch to a cheaper provider? Even small savings add up over time.

4. Leverage Invoice Financing

If cash is tied up in unpaid invoices, consider invoice financing. It’s a quick way to unlock funds without waiting for clients to settle their bills—a lifeline for many UK SMEs.

5. Build a Cash Reserve

Aim to set aside 3-6 months’ worth of operating expenses. It’s a buffer against unexpected hiccups, from late payments to sudden tax bills.