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How to keep the cash flowing

30th October 2003
Page 66
Page 66, 30th October 2003 — How to keep the cash flowing
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Which of the following most accurately describes the problem?

Rob Salter finds his cold calling pays off and resists temptation in the form of a Midlum sleeper in pristine condition

Four months into my new business and still no regrets! With the prospect of running the outbased site for UCI Logistics looming, it was time to take on a second employee.

I went back through the previous applications and set up an interview with Mike. He had been working through agencies on home delivery and parcel work, but couldn't get a full-time job due to points on his licence which included a driving conviction.I took him out for a very impressive driving assessment and. after a call to my insurance broker to check about the conviction,I took him on.

Things were going well and both trucks were busy, giving me the opportunity to try to drum up more work and keep on top of the paperwork.

I think my weak point is selling the business cold calling isn't easy even for a trained salesman but armed with business cards. I gave it a shot.After a very long day I arrived home to the phone ringing from a company! had visited earlier. I have now done a number of jobs for them. I was quite chuffed that the day wasn't wasted after all! The following week! had a call from Dave Watts at Staffs CV. He had a Y-reg Midlum sleeper cab up for grabs, and suggested I take a look.The truck was in mint condition and the price seemed alright so [set the wheels in motion to buy. After a night's sleep, or not as was the case. I phoned Dave to tell him I was pulling out of the deal.! realise now my heart had ruled my head. It would have made things very tight on the cashflow front. I had already spoken to the bank manager regarding my overdraft limit and! think to add another vehicle at this stage would have been suicide.

Recently, the work has slowed up a little so both trucks have been working for the local subcontractor.The rates are good and the job very simple, and at least both trucks are out earning.

Each week I try to compare my actual income and expenditure against my original plan. I wasn't that far oft although the fuel hill is a lot higher than anticipated.A local accountant has been very helpful regarding accounts layout and the format required for the end of year accounts.

I have started setting up and running the UCI outbase.This has taken up a lot of time, but UCI is giving good back up.

I am just about keeping up with the paperwork, which has been a lot harder than I thought it would be. You have to be disciplined, even if it is 10:30 at night.

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