5 Ways to Increase Your Littlejohn Grain Cash Bids
Did you know that the average cash bid on Littlejohn Grains has increased by 43 percent over the past four years? If you’re a small to mid-sized grain company, you likely don’t have much cash on hand. With this in mind, your business might struggle with increasing your bids. However, with some strategic planning, you can increase your cash bids. Here are five ways to help you increase your Littlejohn Grain cash bids.
Plan your cash flow well in advance.
One reason you might not be winning bids is that your cash flow is low. Your business might be at a disadvantage if you don’t have enough cash to bid on grain. With that said, you need to plan your cash flow in advance. Keep a close eye on how much money you have available in your bank accounts. If you see that your accounts are low, don’t bid on grain. This will help you avoid being put in a tough situation where you don’t have enough cash to pay for grain you need.
Hire a cash bidding specialist.
Another way to increase your cash bids is to hire a cash bidding specialist. This person will only focus on bidding on grain. This can help your company win more bids and increase your overall cash flow. Keep in mind, this is an extra expense for your business. However, it may be well worth it if it helps you increase your cash flow and win more bids.
Utilize technology to streamline your bidding process.
While technology isn’t the only way to increase your cash bids, it can help. For example, you might want to invest in a computer-based bidding system. This will help you streamline the bidding process. Computer-based bidding systems are fairly common these days. With this type of system, you simply enter the amount of grain you want to bid on and the system will automatically place the bid on your behalf.
Increase your inventory at the end of each season.
If you have the cash available, consider purchasing more grain at the end of each crop season. This will give you more grain to auction off during the next season. The more grain you have, the more bids you’ll likely win.
Partner with another grain company for collateral.
If you need to increase your bids, consider partnering with another grain company. If you win a bid for grain and you don’t have the cash to pay for it, the other grain company will pay for it. However, in exchange for paying for the grain, the other grain company will receive a percentage of the earnings from the grain you purchased. This will help increase your overall cash flow and allow you to win more bids.
When it comes to bidding for grain, each company has a certain amount of money that they’re willing to spend on the grain. The company also has a certain amount of money that they have in their account. All of this is taken into account when determining who will be awarded the bid. If your company doesn’t have enough money to outbid another company, you won’t win the bid. With that said, there are ways to increase your bids. You can plan your cash flow well in advance, hire a cash bidding specialist, utilize technology to streamline your bidding process, increase your inventory at the end of each season, or partner with another grain company for collateral.