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Every business has cash flow problems at some stage of their growth. Get some solutions to common problems with this guide.

Presented by QuickBooks Capital 

This article is presented in partnership with QuickBooks Capital, helping small businesses access flexible financing when it’s needed most.

What causes cash flow problems?

Businesses can run into cash flow troubles for multiple reasons. We outline the most common problems below and how to solve them.

1. Problem: Lack of financial visibility.

Knowing how much cash you have—and when you’ll need more of it—is the critical first step to managing your business finances. But not every business owner has adopted tools to make forecasting easy or automatic.

Solution: Perform a cash flow forecast.

Creating a forecast helps you track changes in your business’s cash balance by calculating income versus expenditures. It also reveals two key insights:

  •         How much money is flowing in and out of your business.
  •         When that money moves

Both are key for keeping your business on track and covering essential expenses.

If you’re already using financial management software, like QuickBooks Online, you can make forecasting even easier with built-in tools that automatically track your income and expenses in real time. No spreadsheets, calculators, or manual math—just a clearer picture of your cash position.

This insight is vital to helping you plan ahead and keeping your bills and employees paid. A forecast usually covers a year, however, it can also cover a short-term period such as a week or a month.

2. Problem: Falling behind on your finances.

Managing day-to-day finances takes time, and it’s all too easy to fall behind—especially when you’re juggling multiple priorities. Many business owners also struggle to read or interpret financial statements, which makes it harder to identify cash flow gaps or act on them early.

Solution: Get help and explore tools that support your cash flow

One way to stay ahead is to partner with professionals, like a bookkeeper or a CPA, who can keep your finances in order and help you make informed decisions.

But even with expert help, you might hit a cash crunch. That’s where having access to capital matters, especially if you can see the gap coming before it hits.

Term loans and lines of credit are offered through small business platforms like QuickBooks Capital to their customers leveraging QuickBooks users’ account info.1 These solutions can be quicker and easier to apply for than a financing option from a standalone funder.

Leveraging financing strategically can help you cover gaps, especially if your invoices have longer repayment periods or your business sees seasonal fluctuations. 

If you want to have a successful business and make money, keep your eye on the bottom line. As you consider the cost-benefit of every expense, remember there are a number of expenses that will benefit the profitability of your company. These might include getting a bookkeeper to keep your business finances in line or hiring a CPA to help streamline everything from payroll options to retirement savings plans.

3. Problem: Late payments

When customers don’t pay on time, your cash flow takes the hit. The longer it takes to collect, the harder it becomes to manage expenses and plan ahead—especially if you’re relying on that income to cover bills or payroll.

Solution: Establish consistent payment terms

The best way to avoid surprises is to set clear expectations up front. Make sure your partners and customers understand your invoicing policies, including:

  • Net payment terms (e.g. Net 15, Net 30)
  • Penalties for late payments (e.g. 5% after 5 days overdue)
  • Work stoppage clauses for accounts past due (e.g., pausing services after 30 days)

Don’t be shy about enforcing these terms. Businesses without clear payment policies are more likely to face delays or be taken advantage of. Create an internal process to stay proactive: send timely invoices, follow up with reminders, make collection calls when needed, and escalate appropriately.

4. Problem: Long payment cycles.

In many industries, such as B2B or construction, it’s not unusual for invoices to take 30, 60 or even 90 days to be paid. That can create serious cash flow gaps, even when your business is profitable on paper.

Solution: Incentivize early payment.

Once you’ve established clear terms, consider offering a small discount (like 2%) for clients who pay early. It’s a simple way to encourage faster cash flow.

But when early payments aren’t realistic—or you need to invest in materials, payroll, or marketing while you wait, QuickBooks Capital can help.

QuickBooks Capital provides access to flexible financing that works with your QuickBooks Online account, helping you find funding based on your actual business performance. Whether you need a term loan or a line of credit to cover those slow payment cycles, it’s a fast, simple way to keep your business growing.

5. Problem: Payment fraud

Payment fraud is a growing threat for small businesses, whether through chargebacks, phishing schemes, or unauthorized transactions. In fact, e-commerce fraud is expected to rise from $44.3 billion in 2024 to $107 billion in 2029, an increase of 141%. Small businesses are at risk, with newer businesses being even more vulnerable.

Solution: Use trusted tools and secure platforms

One of the most effective ways to reduce fraud is by centralizing your financial operations within a trusted platform. Using a verified payment processor can help you avoid manual errors, spot unusual activity sooner, and protect sensitive customer data.

Tools within QuickBooks allow you to send invoices, accept payments, and track transactions all in one place—with built-in chargeback protection and reconciliation. And when your payments, bookkeeping, and cash flow forecasts all live in QuickBooks Online, you gain better visibility across the board.

Cash flow issues don’t have to steer your business off course. With the right tools, you can forecast more accurately, stay on top of your finances, reduce the risk of late or missed payments—and get ahead of potential cash gaps before they happen.

QuickBooks makes it easier to manage your books, track real-time cash flow, and stay organized. And when you need working capital to keep growing, QuickBooks Capital provides access to fast, flexible financing that fits seamlessly into your workflow.

From forecasting to funding, you’ve got support every step of the way.

Learn more about QuickBooks Capital

QuickBooks Term Loan and QuickBooks Line of Credit loans are issued by WebBank.

1Subject to eligibility. QuickBooks Online subscription required.

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