How to Get Your Business back from the Brink of Failure — or Avoid Getting there in the First Place
I‘m always on the lookout for articles with the potential to positively change a business. What’s your take on the following points I came across recently?
Be in business for a valid reason
A business needs to be innovative, outwardly focused and aware of its environment in order to anticipate change – this is how a business puts itself in a position to remain relevant to the market. Directors and management should continually challenge what their business is doing and its relevance to the marketplace.
Know how you are, where you are and where you are going
Business owners must understand the state of the business – its performance and financial position – on a real-time basis. This means implementing, maintaining and using good management information systems that managers can easily access and understand.
Key items that must be readily accessible are the cash position and short-term cash flow, creditor and debtor positions, capital expenditure budget and financial commitments, as well as sales, gross and net profit.
Communicate effectively and appropriately
Having effective communication engenders trust from key stakeholders, employees, suppliers, trade creditors and financiers. Trust builds support, and if the people you employ, buy from and sell to, borrow from, or deal with on a day-to-day basis believe that they know what is going on with your business because you would tell them if you had a problem, they will be more likely to provide support when you need it.
I’d be really interested to know your opinion. Check out the full article here and then I’d be happy to discuss with you by phone (0467) 749-378 or email [email protected].
?Thanks,