Do you franchise a smaller business out of a larger company? How is that going for you? Does it seem like you don’t have as much power as you would like when it comes to dealing with corporate, and then with just dealing with business together? “Here’s how franchisors can take the power back in their business” shows how you can help yourself feel less powerless — and even empowered.
Key Takeaways:
- Late payers are the noose around the proverbial necks of Australian business owners and franchisors, costing significant time and money.
- As the chairman of the Council of Small Business Australia Mr Paul Nielsen rightly points out, some big companies are treating small business, franchisors and suppliers as a bank, which is wrong.
- IODM’s own analysis reveals that for every $50,000 in outstanding invoices, the hidden cost of this debt is $6250, which includes forgone bank interest, overdraft rates, lost business opportunities, no access to early payment discounts and time spent manually chasing debtors.
“Don’t just accept payment terms bumping up to 60 or 90 days. Make your payment terms clear with clients when you start working with them so they have no excuses when the deadline rolls around.”
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