Guidance for Small Business

The ICAA have issued the following Guidance to Small Business in light of the current economic downturn

• Cash flow - It is vitally important that small businesses maintain their control over their cash flow. The best way to ensure this is by keeping in regular contact with your customers and clients and examining and analysing past payment history 
• Stock management - In the current environment the employee that orders the stock for your business is extremely important. Businesses need to be aware of the implications of having too much stock. Overstocking is a serious issue for many businesses and can lead to long-term issues 
• Foreign exchange - Foreign exchange movements need to be monitored by small businesses that export their products. It is important for small businesses to maintain absolute control on their price margins in light of the instable trends in exchange rates. It is necessary for businesses to have an adequate margin of forward cover, in which to dilute any sudden downward movement 
• Banking relationships - To combat these economic conditions small businesses, more than ever, need to be planning and preparing their finances for the next 12-18 months even more carefully. It is vitally important that banking deadlines are met