Photo by CC user armymedicine on Flickr
Do you get the feeling sometimes like your business is akin to the Titanic?
While you may not be sinking just yet, there is that feeling of angst setting in, specifically when it comes to finances.
Even though you’ve likely done all you could to set a course of solid financial moves as a small business owner, sometimes it seems like bad breaks happen along the way.
In order for your small business to avoid that sinking feeling, it may be time to give your company a financial shot in the arm.
That said how do you go about doing that and not risking all that you’ve built to this point?
Where Do You Turn for Help?
So that your small business can weather the financial storm or storms that will invariably come ashore at some point, you need to be prepared.
Yes, some financial challenges seem to blow in from out of the blue, but many others can be prevented with the right financial smarts. From making sure you stay within your advertising and marketing budgets to getting the best office rental spaces at the best prices, these are but a few of the cost-effective measures you need to take.
Exploring the measures a little more in-depth, make sure you:
- Stay within budget – From your advertising and marketing to what you can afford to pay employees (if you’re not a one-person show), do your best to avoid going over budget. It may not seem like a big deal at first, but going over budget a couple hundred dollars here and a couple hundred there can add up quickly. Small businesses typically have less financial capital to work with than the bigger boys on the block, so it is even more important that one not risk major time in the financial red. Just as you likely have a home budget with which to maintain, the same should always apply in the business world;
- Know when to ask for help – While your pride may get the best of you at times; know when it is appropriate to seek financial assistance. When the time comes to find quick funding for your business, do it. You can quickly see that without that financial infusion, your business could be left for dead. Whether you need the funds simply for survival, wanting to grow your business now while the fire is hot, or you’re desperately in need of new items for the office (computers, phones etc.), know when the time is right to make that call or write that letter;
- When’s the best time to grow? – For many small business owners, the inevitable question of when is the best time to grow the company comes up sooner rather than later. Yes, this can be a very good thing when you stop and think about it, especially if indicators point to growth in your particular industry. Will taking on more client requests mean the need to hire more help? If so, where is the money going to come from to pay those workers? The one thing all small business owners must go out of their way to avoid is growing too quickly. Even though it may have seemed like a good idea at the time, growing to quickly could ultimately put your business in dire financial straits or even under. Measure the trade wins in your particular line of work to see where they are blowing. Now may not be the best time for you to take on more work and/or more employees, then again, it may be primetime for such moves.
Getting a financial shot in the arm to propel your small business forward is sometimes a necessity and not a choice.
That said timing is pretty much everything in life, including in running a company.
When you have your finger on the trigger of knowing when to make each and every move, your business stands to do well.
On the flip side, bad timing and costly decisions can be all but death for many business owners.
Take the time to analyze where your small business is currently at, and then determine if now’s the correct time for some capital infusion.