How to navigate business cashflow dips: A guide to financial resilience

Let's start by normalising cashflow dips. They're a natural part of the business cycle, just like seasons in nature. Every business has its rhythm, moments of harvest and moments of rest. Think of retail businesses, they thrive during holiday seasons but experience slow periods in the months following. Service providers might see a lull in the summer when clients are on holiday.

The biggest culprits of cashflow dips typically include:

• Seasonality: Some months are naturally quieter, depending on your industry
• Payment delays: Clients might take longer to pay, leaving gaps in revenue
• Unexpected expenses: These can sneak up when you least expect it

Over 60% of small businesses experience cashflow challenges annually. That's not an anomaly, it's the majority. If you've been there, or you're there now, you're not alone. It's part of the entrepreneurial journey.

Navigating dips with aligned strategy

When a cashflow dip occurs, the first step is mindset: reframe the dip as an opportunity rather than a disaster. Ask yourself, 'What can I learn or create during this time?'

Here are three strategies to stay anchored:

1. Clear vision

Use tools like Xero or a simple spreadsheet to map out your cashflow for the next 3, 6 months. This clarity helps you make informed decisions instead of reacting from fear.

2. Community connection

Sometimes, a cashflow dip is the perfect time to reconnect with your soul aligned community. Offer value, share insights, and plant seeds for future collaborations. Remember, we rise by lifting others.

3. Trust your intuition

Your intuition is one of your greatest business tools. During slower periods, tune in deeply. Are there new ideas bubbling up? Perhaps this is the time to refine your systems or develop a new offering that's been calling to you.

Want to hear more? Listen to the latest episode of my podcast.