Bob Bly Direct Response Copywriter Official Banner

A valuable money tip for freelancers

November 30th, 2018 by Bob Bly

Unlike employees with salaries, who know what they’re making each
month, freelancers and small business owners often face
unpredictable cash flow.

Even if business is good, payment promptness varies among your
clients.

As a result, your bank account may be flush and full one month,
while another month, there’s barely enough money to pay the rent.

If you don’t keep careful track of your cash flow when funds are
scarce, you risk writing a bad check without realizing it.

You never want a check to bounce, especially with certain payees.
These include the bank that holds your mortgage, the gas and
electric utility, and especially the IRS.

So here’s a simple tip that can keep you solvent when cash flow
is lean: take out a line of credit at the bank where you have
your business account.

Because life is expensive today, I recommend a credit line of at
least $25,000 — and $50,000 would be even better.

Have the bank connect your line of credit to your business
account to give you overdraft protection.

Meaning if you write a check, and there are insufficient funds to
cover it, the check automatically draws from your line of credit.

No bounced checks. No worrying about low account balances or a
temporary lull in your cash flow. No pissing off valued vendors.

With overdraft protection, your service providers are paid, you
don’t risk shut-off of a vital service such as the gas or
internet access — and you don’t get black marks on your credit
report.

I have such a line of credit and overdraft protection on my
business account.

I’ve never had to draw on it — so far.

But you never know.

And it’s better to be safe than sorry.

Share

This entry was posted on Friday, November 30th, 2018 at 10:31 am and is filed under General. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

12 responses about “A valuable money tip for freelancers”

  1. JSC Exam Result 2018 said:

    Nice post dear. Thank you so much for this

  2. Titanium apk said:

    Very nice article. To save money guys, I would suggest you to download Titanium TV apk for free our andorid device. For that visit: https://titaniumtv-app.com/titanium-tv-apk/

  3. ewriters.pro said:

    Nice post!
    I would like to add more info if you don’t mind.
    It’s all about 5 Industries You Should Invest in Now!
    Investing in a small business or franchise—or even buying stocks in a company—is a smart way to increase your money. Investing in a business as the owner or a stockholder can result in big returns if the opportunity is right. There is always some level of risk with an investment, so how do you choose where to invest your money?

    The good news is that there are a number of industries that are consistently making profits and increasing in size. There is no such thing as a sure thing in investing, but some of these lucrative industries are as close as you can get.

    When you are considering investing your hard earned money, make sure to do thorough research on the industry in which you are investing. Always be on the lookout for opportunities that fit your needs, and you can invest in some profitable enterprises.

  4. John said:

    Wow, these are great tips for a freelancer like me. Thank you for this. Opportunity awaits! concrete contractors phoenix az

  5. Mike said:

    This is true to me. I’ve been a freelancer and I can’t really predict my income every month. Thanks for sharing. click here

  6. visit iran said:

    A good web site with interesting content, this is what I need. Thank you for making this web-site

  7. vacations said:

    This is so helpful thanks for sharing that

  8. Jacob said:

    This is extremely helpful, especially for an upcoming metal band like mine!

  9. Tyson Rock said:

    That is a one of the best way to manage our microsoft account and easy to find this account password after following a some easy steps, this is very important place http://windowstuts.net/ for me and i hope you will also satisfied to use there given information.

  10. Halkidikh said:

    very nice post

  11. micheal said:

    If you are a movie buff and unable to watch latest stuff on ur android than immediately downlaod Morph TV apk (https://morph-tv.com/morph-tv-apk/)

  12. Martin Tolley said:

    I feel it interesting, your post gave me a new perspective! I have read many other articles about the same topic, but your article convinced me spanish to english

Leave a Reply