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I’m short on cash this month—what should I do first?

Short answer: Build a 14‑day cash list: today’s bank balance, expected inflows, and must‑pay outflows (payroll, taxes, essentials). Call top overdue customers, pause non‑critical spend, and talk to key vendors early. If a gap remains, consider deposits, milestone billing, or a short LOC draw. Then fix the routine that caused the crunch.

Build a 14‑day cash picture (30 minutes)

  • List today’s bank balance.
  • List incoming cash by date (invoices you expect to collect).
  • List outgoing cash by date (payroll, taxes, rent, vendors).
  • Highlight what’s MUST‑pay (payroll/taxes/critical vendors).

Prioritize payments

Pay safety, payroll, and taxes first. Then sequence essentials. Some bills can slip a week—with notice—without damaging relationships.

Fast ways to bring cash in

  • Call the top five overdue accounts; take partial payments today.
  • Switch new work to deposits or milestone billing.
  • Add card/ACH links to invoices for easy payment.

Stretch cash (without burning bridges)

Call key vendors early and propose a revised schedule for this month only. Communicate dates; follow through.

Prevent the next crunch

Set a weekly cash check and runway alerts. For early warning signs, see How Do I Spot a Cash‑Flow Problem Before It’s Too Late? and revisit the basics in Cash Flow vs. Profitability.

Do this next

  • Fill a simple 14‑day cash list today.
  • Email/call the top five AR accounts with a partial‑payment option.
  • Call your two largest vendors and propose dates you can hit.
  • Put a 15‑minute Friday cash huddle on the calendar.

Key numbers

  • Runway alert: trigger when cash < 1 month of average expenses.
  • Goal: reduce overdue AR by 25% in two weeks.

FAQ

Should I use a credit card to cover payroll? Not ideal. Consider a short, specific line‑of‑credit (LOC) draw you can repay quickly. See our LOC vs. card guide below. What if I can’t pay a vendor on time? Call early, propose dates you can hit, and follow through. Most vendors prefer certainty over silence. How do I stop this from happening again? Adopt weekly cash checks, automate reminders, and shorten terms on new work.


Need help? We can set up a 13‑week cash forecast and a weekly cash rhythm. Explore CFO Services and Controller.