http://www.greenbaypressgazette.com/article/20091231/GPG0703/912310535/1247/GPG03/SCORE-column--Getting-fast-cash-for-businesses
Summary
The article is about to teach small businesses to get cash faster. There are five ways to increase cash flow. They are getting cash upfront, collecting payment, trying factoring, slowing payments, and borrowing from alternative souces. Getting cash upfront means to give a cash discount to customers for paying the debt early, so we can get cash back fast and safely. Collecting payments means to set up some policies related to collection. The business should and must follow the policies no matter who the customer is. Trying factoring means that a business could sell its Accounts Receiables at a discount to factoring company if the business needs the cash desperate. That way the business could get some cash and give the risk away. Slowing payments is a way that most of businesses know. Borrowing money from other sources is not a safe way unless the business has a good asset control.
Connection
Chapter 12 teaches us about cash discount. Giving customers a cash discount is the most common way that business collects its payments. Cash flow is a great way to measure the performance of a business. Therefore, a business must have some ways to ensure to get their payments. Without enough cash, the business could go into deep trouble or worse, bankrupt. Keeping specialized journals will help business owners or accountants to realize the risk or trouble before the business couldn't get worse.
Reflection
Being a junior accountant is like a nightmare. Let's think about how many invoices or check copies they need to process, not to mention they have to check for cash discount. Some of us will become accountants after college or university. Without experience, jobs are hard to find. Knowing what to do is not enough. We must have done it. Being an accountant is not easier than being a doctor or lawyer. Experiencing how to be an accountant will help us to have some career options when we need it.
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But when you being a junior, you would expect to know some of this infomation, because in college or university, you will learn thoes tings as well. Also, we are learing things about this know, i don't think it is a big deal. On the other hand, i agree that being an accountant is not easier than being in other occupation. However i think some of ways to get fast money for a small it pretty good. It is a valueble information for some business.
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