As discussed in my previous blog, business turnarounds are not easy to achieve but can be accomplished by taking the proper steps and actions. Surprisingly these actions are also those used by owners of healthy companies to run their businesses well.
There are three primary elements for success in a business turnaround. Continue reading
In my last blog I discussed how cash is the lubricant of business and how much stress cash can create. A key tool every small business should be using to prevent cash surprises (and for cash management) is the 13 week rolling cash forecast. This simple tool will help the business owner sleep better at night. (There are other tools used for cash management but I am only focusing on the short-term cash forecast in this article.) Thirteen weeks are used because it is a rolling quarter and provides a long enough time frame to be able to proactively act upon upcoming cash demands. This tool also helps to bring many other aspects of the business into focus including sales, collections, spending, etc. It does not take very long to create this tool but it will provide tremendous benefits for the small business owner in managing the business. Continue reading
One of my favorite expressions is – Cash is the lubricant of business. A good analogy is an automobile. Without good lubrication the vehicle will not run well, if at all. An engine cannot run very long if it is out of oil. A vehicle will not travel well if the wheel bearings are not properly greased. Continue reading