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