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Need a debt reduction program? Don't despair, here are some tactics you can use to help yourself, starting now.

1 - Stop Using Credit Cards

If you haven't done this one, then this is where to start. Put the credit cards and line-of-credit checks under lock and key, and operate as if you don't have them at all. Work out how to bring in more income and instead,use only cash. This is the single most effective action you can take.

2 - Don't Obligate Your Company To Pay More Than It Is Making In Income

Using credit to purchase something commits your company's future income to the credit card company. Then you experience economic slavery. Ask yourself if you just want the item or if you really need it to increase the production of income. If the item will increase the business' production of income, work out how to set aside the cash to pay for it over a short time period instead of whipping out the credit card. Figure out ways to increase the income your company is making and use the cash to pay off the debt while also paying operating expenses.

3 - Never Pay Just The Minimum Payment Amount Required

To be really effective, your program should include using 10% to 15% of the business' weekly income to pay against the debt. Establish a goal of paying 3 to 5 times what the minimum payment is on every credit card. Stash away a portion of the payment money each week until the statements arrive in the mail. It is less difficult to set aside a smaller amount over 4 weeks than to find enough to pay a big bill all at once.

Your debt reduction program should also include the strategy of paying more on the highest interest rate card. An additional tactic is to pay off low balance cards as quickly as you can. This will free up more cash to pay against the higher interest rate cards.

4 - Never Spend Over The Card Limit Or Pay Late

Do not destroy your debt reduction strategy by getting hit with late payment or over-limit fees of $25 to $39 on which you'll pay interest. Plus, if your payment is more than 30 days late, your credit record carries that big black mark against you for 7 years - a whopper of a penalty.

Recently a Vice President of a U.S. bank appearing on the news stated that over 24 Billion dollars was paid by consumers last year in fees for interest, late charges and over-limit charges. Don't think the credit card company really minds if you pay late or go over your limit. They make billions when that happens.

5 - Reduce Your Expenses

An effective program to reduce debt requires as much extra cash as possible and as fast as possible. Look closely at how your company's income is being used and reduce all unnecessary expenses that do not contribute to making more money. Before you spend, evaluate how much money that item is going to bring back in to your business.

TIP: Continue promoting your your business' products and services to everyone - don't cut back on that activity. Just make sure your promotional spending is bringing more money back in than what was spent.

Managing a company's income correctly to ensure its survivalguarantee it will survive takes more than a strategic money management plan to get out of debt, but this is a really good place to start. There are other strategies that can be worked out to increase the business' income, pay bills when they are due, have savings for emergencies, increase profitability and pay yourself more money. You want that, right?

Sandra Simmons, President of Money Management Solutions, has years of experience helping business owners and individuals manage their money to eliminate debt. To learn more about the Money Management Software she created, watch the FREE 5-minute demo video on her website at www.MoneyMgmtSolutions.com