This post is a reminder that smaller businesses have to be keenly focused on their own cash-flow, rather than allow the terms under which they trade to be too flexible. In fact, there is a strong argument for NO flexibility in terms, even though this goes against the grain for many business owners, brought up on the UK culture of “you trust me, I trust you”. Terms of business simply need to be clearly stated from the outset and adhered to as a matter of course for every business transaction.

Larger organisations, with stronger cash reserves, will focus on getting the business done to their satisfaction, rather than paying for it. The important point is that they don’t necessarily intend to cause cash problems for smaller suppliers, but simply hang onto invoices until outstanding issues with orders are dealt with.

The issue of trade debt is endemic in the UK, that is certain. Smaller businesses need to be stronger in tackling it.

Here is a great opportunity for small business owners or prospective new business people to become more entrepreneurial. The course had been devised by Seamus O’Brien, principal lecturer in business around the goal of developing a business plan in the final year, rather than the traditional dissertation.

A fully developed business plan is so important to successful businesses, giving meaning and purpose to the aspirations of the business, creating shared values throughout multi-disciplinary organisations, large and small.

This degree course is thought to be the first of its kind.

Small businesses could tell the shadow chancellor that changing VAT rates is a burden they can do without right now, especially considering the rate has already been up and down too many time in recent years.

If the FSB is right and small businesses are the backbone of the UK economy then surely politicians need to be more mindful of the input needed from the sector they are expecting to lead the economic recovery.

Whilst this might not be suitable for all businesses, it’s free! Small Business owners like free stuff (don’t we all), but is there a catch? Here’s an interview with Google’s Marissa Mayer giving more detail on Google’s local strategy.

How you promote your business is crucial to it’s long term success, and there are many ways to do it. If Google are serious about local services (and we have to assume they are) then they will have a very powerful promotional mechanism for certain.

In this study @ Social Media Examiner, much work has gone into compiling information about the state of Social Media Marketing in 2011. The report is comprehensive and well presented. What is frustrating, though, is that so many small business owners who need this information, won’t ever read it. They won’t read it because they won’t even know it’s there.

It is important in 2011 for business advisers and consultants to engage their clients directly in discussion about Social Media Marketing, and most importantly, integrate it into the overall marketing strategy for the business. Planning a Social Media campaign in isolation from the rest of your marketing is a big mistake. People won’t understand what you are about, your core message will be lost in translation, and all your marketing efforts will be in vain.

Note in the report that the number 1 new tool in the report is You Tube. Making a video promoting a business is so easy – all you need is a camcorder (even a webcam). Anyone passionate about their business has to get on You Tube. It’s the most direct way of using that passion to show people how much you care about your business, your customers and your products.

Have a read of the report (it’s well worth reading) and leave a comment here if you liked it.