Going Through a Financial Rough Path?
What do we need to do if you’re struggling financially? Adapt and change. Here are a few thoughts for consideration.
1. We need to evaluate how our cash leaves and enters our company. Can we cut some outgo or speed up some inflow? We need to watch cash because those who have it will win. Cash flow is a critical thing to take care of. Watch the A/R and keep it collected. Cut back where it makes sense. Evaluate how the money flows.
2. Guard your credit. It is a lot easier to lose it than get it, so manage it well. Don’t miss any payments and take good care of those relationships. Once you lose it the struggle to get it back will be difficult. Make preparations for this now, in case your finances worsen.
3. Reinvent or at least re-evaluate. All businesses have to do this routinely to survive, so there is no better time that a difficult one to see what needs to be changed. There are likely things that need to go, and new things that need to be added. Think carefully about your business and what should continue to be part of it.
4. Get outside the box. Don’t let the norm be the norm – look outside your comfort zone and consider all options. You can’t allow the rut to keep you on the wrong path. Creative thinking and planning is key.
5. Plan carefully. Planning is always important but never more important than when times are tough. You need to make sure you have a solid plan and your team understands.
6. Execute. There is never a time that execution shines more brightly. You need to focus on excelling at how you do things, and make sure you do the right things right every day.
7. Do the basic blocking and tackling well. Now is the time to make sure you are consistent and practice the basics. No need for fancy footwork now – just keep doing what is tried and proven and do it better than the rest.
Difficult times are opportunities. Many will struggle, some will fail, but for those who are ready and prepared to execute, you can leverage these times to make up ground quickly. So follow your own gameplan and make it happen! And if you need help with your planning, RLO Training can help you. Call us today at 800-755-0988 for more information.