One business owner opens up about his approach to dealing with the unfavourable payment terms imposed by large companies, and how he addresses this for the sake of his business' cash flow.
"One of the biggest problems small businesses have is cash flow, and large companies don't seem to care," says Mikel Lindsaar, founder of digital developer reinteractive.
"We're not a bank – we can't afford this. We need better payment terms."
This up-front discussion is one that Mikel has with all of his clients, and he admits to having had great success in negotiating more favourable outcomes.
Speaking on the My Business Podcast, Mikel outlines:
- Exactly how he deals with companies such as Qantas and Westfield to deliver better payment terms
- His approach to managing and engaging with a remote workforce
- The process and benefits of delivering full transparency of business processes to clients
- Why fixed-price services can be bad for both your business and your customers
Listen to other instalments of the My Business Podcast:
Episode 38: Lessons from a serial entrepreneur
Episode 37: Juggling product ideas with commercial realities
Episode 36: How exporting is driving growth for ambitious SMEs
Episode 35: Trumped or pumped? SME sentiments revealed
Episode 34: Anytime Fitness Australia founder talks expansion and competitive markets
Episode 33: Are you a leader, a manager or both?
Episode 32: Customer satisfaction: the only growth that counts
Episode 31: Taking a new idea from concept to consumer
Episode 30: Exclusive: Why not all growth is good growth
Episode 29: Taking the frustration out of people management