If you want to know how to increase cash flow, this article will definitely prove helpful.

It reveals a lot of insider tips and secrets to increasing cash flow that most people don’t know about.


Why the Need to Increase Cash Flow?

Whether you are an individual or a business, you need regular cash flow to maintain your financial status.

If you manage your cash flow well then you can easily increase personal business wealth.

First, this company has paid $25+ million to members:

SurveyJunkie (only USA, Canada, Australia residents allowed). You can earn money sharing your thoughts. They have already paid $25+ million to their 20+ million members just for sharing their thoughts and opinions. Click here to join SurveyJunkie for FREE

Yes, cash flow is a building block for personal wealth, and it is important to keep track of it.

You can always increase your cash flow if you are strategic about it.

Keep reading to learn all the important details about cash flow and to increase it.

Also See: How to Be Self Employed and even Independently Wealthy.


What is Cash Flow?

Simply put, a cash flow is the excess of cash revenues over cash outlays in a given period.

Cash flow is the money you did not use up at the end of each month.

You can instead set it aside and store it up.


Why Is Personal Cash Flow Important?

There are many reasons why cash flow is important. Here are the most glaring ones:

  • Your net cash flow is an important input for investing in assets.
  • With excess money at your disposal, you can save and make useful investments.
  • If you have a positive cash flow then it would allow you to pay down debt.
  • A positive cash flow increases your net worth.


How to Calculate Cash Flow

To calculate cash flow, you need to apply the following simple formula:

Cash inflows minus cash outflows equal net cash.

Net Cash Flow = Cash Inflow – Cash Outflows


16 Tips to Help You Increase Cash Flow

The following are different ways you can increase your cash flow:


1. Boost Your Income

Your income is the amount of cash that comes to you every month.

If you have more income coming in for you, then naturally it would mean you are having more cash flow.

This is if your expenditure remains the same or gets reduced.

You can boost your income by getting extra sources of income, asking for a raise, or switching to a better-paying job.

Just about doing anything that would help increase the money that comes to you would mean having a better cash flow.

Also See: Ways to Save Money from Salary and Ways to Lower Your Household Costs.


2. Reduce Your Expenses

You can increase your cash flow if you reduce your expenses.

Take your time to review how much you spend in a month.

If you cut down on the amount of expenditure you make, then you will have more money at your disposal for cash flow.

Prioritize your spending and stop spending money on things that are not necessary.

If you are into business, reevaluate your operating expenses.

Streamline your business operational processes so you can better manage your cash flow.


3. Pay Off Your Debt

The more debt you have to pay off, the less cash flow you will have.

More debt means you will not be about to have more liquid cash for savings and other things.

So, pay off your debt fast if you want to increase cash flow and achieve financial peace.

If you can, pay off your debt one time and concentrate on increasing cash flow and building wealth.

However, if you have a huge debt to pay then you can consider a debt management plan.

You should consider paying off your smaller debt first or you can choose to pay off the largest debt.

Small debt payment is known as the debt snowball method.

Large debt payment is known as the debt avalanche method.

Either of these methods has its pros and cons. Just choose what works best for you.

The goal remains that you are getting rid of debt and increasing your cash flow.


4. Use Electronic Payments

When you use an electronics payment system, you utilize less physical cash.

This can help boost your income cash flow.

Using an electronic payment system like a business credit card can buy you time.

You don’t get pay for services or items until the day the payment is due.

Some card gives you cash back and offers 21 days grace period after your bill is due.

So, negotiate for an electronic payment method with creditors or supplies to increase your cash flow.


5. Practice Regular Cash Flow Forecasting

Cash flow forecasting is a system of monitoring your cash flow. You will get to plan or forecast your future cash flow so you easily get funding.

Again, this company has paid $25+ million to members:

SurveyJunkie (only USA, Canada, Australia residents allowed). You can earn money sharing your thoughts. They have already paid $25+ million to their 20+ million members just for sharing their thoughts and opinions. Click here to join SurveyJunkie for FREE

Yes, this will help you generate an accurate report for a quick injection of cash into your business.

You can invest in good financial forecasting software to help carry out your forecasting with ease.

The Float App is a forecasting software you may want to consider if you are to boost your cash flow.

Sync this software with your accounting software so you can monitor and maintain your cash flow position always.


6. Send Invoices Promptly

If you must increase your cash flow as a business, then you should be sending invoices to debtors or customers promptly.

This will help them plan and pay promptly. If it is in your position to send invoices, don’t delay.

Send them right away.

Remember, time equals money. The faster you send clear invoices the faster you will get your receivables.

To encourage quick payments of invoices, you can include late payment fees or offer discounts to customers. Whatever works for you!

You can adopt a quick or an automated invoicing system to help speed up income and cash flow.


7. Lease Or Hire Instead Of Buying Outright

You can increase your cash flow by leasing or renting equipment or other capital assets instead of buying them outright.

Whether it is Property, Equipment, Or Vehicle, it’s a really good idea to lease or hire instead of buying outright.

If the equipment is still in good working condition and you just need to use it for a short-term job, then consider leasing or renting it.

You will pay less when you lease than when you buy outright.

Also, you will not be outlaying a lot of cash up-front.

This is one option that many businesses employ to improve or increase their cash flow.


How to Increase Cash Flow


8. Open a High-Interest Savings Account

To increase your cash flow you need to save more.

You don’t just put your money in any savings account.

You will need to open a high-interest savings account.

This is an account where you get high-interest rates on the money you have saved.

Go to your bank and see if they can open high savings account for you.


9. Plan for Infrequent Recurring Expenses

You can increase your cash flow by making plans for infrequent recurring expenses.

These are random expenses that could affect your financial progress.

You can create a separate fund for these expenses.

Whenever they come up, you can utilize this emergency fund to pay off instead of dipping into your cash flow.

You should set aside a specific amount for these expenses in a separate savings account.

Also See: Norwex Review, Mercari Review, FlirtBucks ReviewCarters Coupons, Free Coupons and other Free Stuff Online.


10. Become a Good Negotiator

You can increase your cash flow by negotiating your bills with the creditor.

If you pay bills late, you will have more cash flow to run your business.

However, it is still important to pay your bills on time especially if you are to take advantage of some discount.

Workout a payment process with your customer or creditor and ensure you still have some cash even when you are to pay bills.

A good relationship and communication skill with your supplier can help your boost and manage your cash flow.


11. Negotiate a Raise and Increase Prices

You can negotiate a raise from where you work to increase your cash flow.

Ask your employer to increase your salary or wages.

You can get a raise if you have a good relationship with your employer. Or, you will get the increase if your performance is appreciated.

As s business, you can increase cash flow by increasing your price. However, watch out for competitors so you don’t shoot yourself in the foot.


12. Apply for a Line of Credit

You can apply for a line of credit to boost your cash flow.

This is the maximum amount of credit you are allowed by a financier.

The best time to apply for this fund is before you need it.

So, this will come in handy when you have a shortfall in your cash flow.

Remember, until you use your line of credit, you don’t get to pay anything on it.


13. Cancel Unnecessary Subscriptions

You can cancel subscriptions on memberships and items you don’t need.

The fewer subscriptions you have the more cash flow you will have.

Scan through all of your subscriptions and cancel those subscriptions that you can survive with.

Subscriptions on gym membership, cable TV subscriptions, Netflix, Hulu, etc., are examples you cancel to increase your cash flow.


Other tips you can apply include:

14. Take Advantage of Subscription Sales

15. Defer Payments to Vendors

16. Renegotiate Fixed Debts to Lower Payments



The above are different ways to increase your cash flow. They will help you keep maintain your cash flow.

Again, this company has paid $25+ million to members:

SurveyJunkie (only USA, Canada, Australia residents allowed). You can earn money sharing your thoughts. They have already paid $25+ million to their 20+ million members just for sharing their thoughts and opinions. Click here to join SurveyJunkie for FREE