Managing Cash is a key component of any business, whether you are a solotrepreneur, or a global enterprise.

>>Do you perform work before or after you get paid? Do you pay you vendors and other expenses before or after you use them? Do your clients owe you more or less than you owe your vendors?
>>The proper cycle of cash is that you should serve/sell to your client, they should pay you, and THEN you should pay your vendors and expenses that were used to serve that client.
>>When you are paying your vendors first, you are, in fact, lending money to you clients: you have become a Bank.
>>Of course, many times there is no way to avoid paying for goods, delivering them to your client, and wait for your money. If this is the norm in your business, then you cost of capital, certainly any interest you are paying in a working capital line, should be included when you are pricing you products.

Retainers due the first of the month of service, discounts such as 5% 10, net 30, are great way to avoid being a bank and focus on you business)