Our company is considering approaches to reward our executives for our company's growth without giving them stock. There are various methods of providing incentives and rewards to executives to recognize their contributions to the Company's growth. For example, an incentive bonus plan could be tailored to the executive based on the Company's performance overall or in a division, and based on gross sales, gross profits, or other objective criteria. These benefits may be subject to immediate vesting or may vest over a period of years. Also, there are tax-deferred methods of providing incentives or benefits to executives through nonqualified deferred compensation plans using life insurance or annuities.
Cash flow starts with profitability.
Assuming you have a positive cash flow from operations, the areas to focus on to improve that cash flow is an aggressive collection policy for accounts receivable and an inventory policy that maximizes sales opportunities but minimizes dollars invested in inventory levels. First, you should like the people you do business with. Next, make sure the firm can handle all your needs, from tax and accounting issues to, most importantly, sound business advice. Protecting a Company Have detailed and complete individual personnel files that document hire dates, raises, evaluations, disciplinary actions, termination, drug test results, green cards, etc. Establish a Company Policies and Procedures Manual and distribute to all personnel.