There is some relief, finally. My client is getting a small payment and he is going to make a partial payment to us as well. This is some relief. As we get towards the end of the month, one day at a time, my tension also goes up! The pay day is the last Friday of the month and that means I need to have money in the bank.
Apart from the salaries, there are other pending bills to pay. Starting from June, there is going to be a new monthly payment on the company account for an asset we acquired on a lease. And I don’t plan on falling behind on the salary or the lease.
I had one card up my sleeve. One card that would have allowed me to make the salary payment and the lease payment only. But that would still leave a couple of more payments past due. Some of them are payments that I cannot drag on for so long. For example Internet and electricity both get disconnected when the bills are not paid on time. And I cannot run the company without either of them.
I have already started some cost cutting measures. One of the biggest areas that I can save costs is on the electricity bill. I am asking my guys to conserve as much as possible. One is to make sure to switch off the computers at the end of the day. The next is to not to leave any un-necessary electrical appliances running, including lights and AC’s. I am going on without my AC most of the time. Everything else is more or less of a fixed cost for us.
1 comments:
That is good news. Dependence on a single client (or even a few clients) is a big risk in business. Would suggest you look into the possibility of doing some sub-contract work for another IT company - anything, web design, coding, data entry, just to give you a diversity of income flows.
It would be best if it can be managed with the existing staff, for example by doing a few extra hours in the evenings or on holidays etc.
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