June 12, 2009
Small business owners by their very nature are resilient and tough-minded, but, to ensure your ability to respond effectively and recover as quickly as possible to any factors that may affect your business, proper planning and preparations on how to deal with demanding times need to be taken.
June 12, 2009
Cash is the lifeblood of any business and matters more than earnings. As the saying goes, “profits are an opinion, but cash is a fact.” More and more, bankers, investors and advisory professionals focus on the often ignored cash flow statement.
June 12, 2009
The recent challenges in credit markets as well as a general economic downturn have put increased pressure on the purchasing power and credit-worthiness of customers while at the same time resulting in a tightening of credit terms and product availability from suppliers.
June 12, 2009
Tax, in its various forms, is usually one of the biggest costs for a business, and you need to look carefully at how to manage that cost and cash flows.
June 12, 2009
Investing in new assets in a downturn can bleed you of cash when you need it most. Carefully consider your capital investment plans and question the proposed value and timing.
June 12, 2009
Given the current state of the credit markets, banks will be a lot more cautious and concerned about credit quality. As a result, they will need greater persuasion to lend you money when you need it.
June 12, 2009
What happens if you’re having issues with your bank? This can result in a severe restriction in your borrowing capacity, or worse, pulling your financing facilities all together. With what’s happened in the financing environment, it’s not as easy as it used to be to simply secure an alternative source of capital.
June 12, 2009
As lending markets contract, some companies will have or anticipate having liquidity problems. A number of these companies will consider a sale transaction as a viable option. It could be a need to preserve personal wealth, the real or perceived lack of alternatives, or a lack of confidence in a recovery.
June 12, 2009
You’ve taken a hard look at your business and stress-tested sales assumptions, but your fixed costs are such that even break-even cash flows are based on certain levels of revenue. Your balance sheet is highly leveraged relative to your competitors. Your future is uncertain and trade credit is contracting.
