The buyer pays on time. Why might you still run out of money?
Case in point: a client hasn't yet paid for the first delivery and places a second order. If the payment due date hasn't arrived, there are no breaches. But a new shipment increases the amount you are financing out of your own pocket.
Therefore, you need to control all outstanding debt, including invoices that are not yet overdue.
Before the next delivery, check:
- how much the client already owes;
- how much more you will ship before payment is received;
- what limit is set;
- who is authorized to exceed it.
Then, shift the expected payment to a later date in your cash flow forecast. Will you have enough funds for salaries, taxes, and suppliers?
If one buyer's delay disrupts your calculations, reconsider the limit before a new shipment. Repeat sales must align with your working capital capabilities.
Read more: How to limit the risk of non-payment for sales in Turkey