Are you or your sales team giving away cash at the final step?
We’ve all seen it – the final offer to get the sale over the line..
“If you do the deal today we will give you an extra 60 days credit terms..”
This may be the right decision for your business but make sure your sales team are intentional – do they understand the implications of what they are giving away?
..Do they understand your cost of capital or the interest rate you are paying?
With business interest rates at the “new norm” of 5-10%, giving away terms could mean the difference between profit and loss, particularly for lower margin businesses.
..make sure all of your team understand your business!
..and if you struggle to calculate this (or don’t have time) , get help from someone who does!
