Cash Flow Management - Rapt Business Brokers

Are you like many business owners who stress every week about meeting your payroll and paying your vendors bills? Rapt has developed a unique, low cost method to help relieve your stress. The system is user friendly and requires a minimum level of support from you, or your bookkeeper.

Our methodology is based on assuring that our clients receive “Bang for the Buck”. We are aware that the resources of a small business owner are limited and that the benefit of any undertaken must outweigh the cost, allowing him to do “More for Less”. Our system does not require you to engage a costly consultant, to hire additional staff, or buy additional equipment. For a nominal set-up fee and monthly retainer, we will prepare a unique and extremely useful management report that will allow you to prevent cash shortages and to inform your vendors when they can anticipate being paid.

Many of us are familiar with a traditional cash flow statement that presents anticipated cash balances on the basis of anticipated receipts and expenses. Traditional analyses rely on standard payment terms offered to clients and received from vendors. How many businesses actually receive payments based on the offered terms (net 30 days say), or pay to the vendors invoice terms? Rapt has developed a unique procedure that allows you to determine collections and payments on a weekly basis.

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Our system will provide you with a four-week cash flow analysis report, including:

Anticipated Collections (A/R) based on collections anticipated from individual clients and invoices.
Anticipated Payments (A/P) based on payments anticipated to individual vendors and invoices.
Cash Flow Summary presenting your beginning and ending cash balance for each week and anticipated collections and expenses for the next four-week period. Additionally, for the current week the report compares actual receipts and payments to projections so you can proactively act to prevent cash shortages and meet your payroll.

The gist of the system is that you as an entrepreneur must have a management report at your disposal that will allow you to manage your cash flow issues efficiently and proactively. As small business owners we appreciate that few clients actually pay to our standard terms. Although standard terms are generally net 30 days on invoices, few clients will actually pay to this schedule; some will pay in 35 (we hope), some in 47, some in 62, etc. Similarly, while we all like to pay our bills in a timely fashion, the reality is that we can only pay our bills as we receive cash and some vendors are more critical to our operation then others.

Our unique system allows you to estimate collections on the basis of individual clients and to schedule payments for individual vendors and invoices. The major output of the report is your anticipated checkbook balance at the end of each week. With this information, you can appreciate your anticipated cash position enabling you to pursue collections from specific clients more aggressively and maintain better vendor relations. How many of us have received vendor calls asking when they can expect to receive a payment without having a response? This is an uncomfortable position for us and unacceptable to our vendor. Our system enables you to be able to inform your vendor when your “accounting system” has scheduled that invoice to be paid.

All you have to provide us is your initial cash position and your A/R and A/P aging reports. Our personnel will help you and your staff set up so that a report can generated, often in less than an hour. Isn’t it worth an hour a week to relieve your cash flow stress and better manage your business?