Tips & Tricks To Resolve A Business Financial Crisis
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Tips & Tricks To Resolve A Business Financial Crisis

Whether you are operating as a solo-entrepreneur or operating a business with multiple profit centres, products/services and/or locations, and you feel like you want to do some planning — you have a complex task ahead.
I designed this resource to give you a starting point to begin your journey.
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A financial crisis can be a challenging time for any business, but there are steps you can take to overcome it.
Feel free to jump ahead to the most relevant section or need you perceive. You can always get back to this index page, you’ll find a link to this index at the bottom of each page.
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Here you will find a selection of ideas you can use to begin to reinvent, rebuild and recover from your financial crisis. There are 10 sections and 28 pages of specific resources.

1. Assess the situation

Take a close look at your financial statements and cash flow projections to understand the extent of the problem. Identify the root cause of the crisis and determine what steps you need to take to resolve it.
 
How To Analyze & Understand Your Business Financial Statements
How To Analyze & Understand Your Business Financial Statements

2. Cut Costs

Look for ways to reduce expenses without sacrificing quality. Consider renegotiating contracts with suppliers, reducing employee hours, or downsizing your office space.
 
7 Tips for Reducing Business Operating Expenses and Cost of Sales
7 Tips for Reducing Business Operating Expenses and Cost of Sales
5 Best Practices for Ensuring You Can Meet Your Payroll Obligations
5 Best Practices for Ensuring You Can Meet Your Payroll Obligations

3. Increase Revenue/Cash

Look for opportunities to increase sales, such as launching a new product or service, expanding into new markets, or improving your marketing efforts.
 
5 Best Opportunities to Increase Sales/Revenue
5 Best Opportunities to Increase Sales/Revenue
2 Step Process To Calculate Breakeven Point & Maximize Profit
2 Step Process To Calculate Breakeven Point & Maximize Profit
3 Ideas to Generate Fast Emergency Cash for Your Business
3 Ideas to Generate Fast Emergency Cash for Your Business
How and When to Raise Prices to Ensure Survival, Profitability and Customer Loyalty
How and When to Raise Prices to Ensure Survival, Profitability and Customer Loyalty

4. Negotiate with Creditors

If you're struggling to pay your bills, consider negotiating with your creditors. You may be able to work out a payment plan or reduce your interest rates.
 
6 Strategies to Renegotiate Payment Terms with Suppliers
6 Strategies to Renegotiate Payment Terms with Suppliers

5. Understanding Business Financial Planning

How to develop a plan to overcome the crisis.. This should include specific steps to cut costs, increase revenue, and negotiate with creditors.
 
3 Steps To Prioritize Changes Based on Financial Statements Analysis
3 Steps To Prioritize Changes Based on Financial Statements Analysis
Why Pro Forma Financial Statements Are SO Important
Why Pro Forma Financial Statements Are SO Important

6. Implement the Plan

Put the plan into action and monitor your progress closely. Make adjustments as necessary.
3 Ways To Implement a Business Plan
3 Ways To Implement a Business Plan

7. Making Tough Decisions

Overcoming a financial crisis takes time and effort. Stay focused on your goals and be willing to make difficult decisions to get your business back on track.
 
6 Concepts To Make Difficult Decisions & Get Your Business Back on Track
6 Concepts To Make Difficult Decisions & Get Your Business Back on Track

8. Seeking Professional Help

If you're unable to resolve the crisis on your own, consider seeking professional help. A financial advisor or consultant can provide guidance and help you develop a plan to overcome the crisis.
 
5 Distinctions to Hire a Consultant, Business Coach or Expert to Provide Perspective
5 Distinctions to Hire a Consultant, Business Coach or Expert to Provide Perspective

9. Overcoming A Financial Crisis In Your Business Is A Process

This document provides a comprehensive process for overcoming a financial crisis in your business, including assessing the situation, cutting costs, increasing revenue, negotiating with creditors, developing and implementing a plan, staying focused, and seeking professional help if necessary.
 
5 Step Process To Tackle Your Business Financial & Cash Flow Problems Into Specific Strategies & Save The Business
5 Step Process To Tackle Your Business Financial & Cash Flow Problems Into Specific Strategies & Save The Business
5 Steps To Get Personally Prepared To Apply For Business Bank Loan
5 Steps To Get Personally Prepared To Apply For Business Bank Loan

10. Understanding Your Fiduciary Responsibilities

Running a business can be a challenging task, and business owners have various responsibilities to fulfill. Among these responsibilities is the fiduciary duty to act in the best interest of their company and stakeholders.
 
A Definition of Fiduciary Responsibilities For Business Owners
A Definition of Fiduciary Responsibilities For Business Owners
10 Top Fiduciary Responsibilities of a Small Business Owner
10 Top Fiduciary Responsibilities of a Small Business Owner

Final Thoughts

This document provides 10 tips and tricks for resolving a business financial crisis, including assessing the situation, cutting costs, increasing revenue, negotiating with creditors, developing and implementing a plan, staying focused, and seeking professional help if necessary.
It also includes resources for analyzing financial statements, reducing expenses, increasing sales, and understanding fiduciary responsibilities.
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Remember, overcoming a financial crisis takes time and effort. Stay focused on your goals and be willing to make difficult decisions to get your business back on track.

A Cheat Sheet for Resolving a Business Financial Crisis


  1. Assess the Situation
      • Gather all financial statements and cash flow projections.
      • Analyze the data to understand the extent of the problem.
      • Identify the root cause of the crisis.
      • Determine the steps necessary to resolve the situation.
  1. Cut Costs
      • Evaluate all expenses and determine which ones can be reduced or eliminated.
      • Renegotiate contracts with suppliers to reduce costs.
      • Reduce employee hours or downsize your office space to save on expenses.
  1. Increase Revenue/Cash
      • Look for opportunities to increase sales, such as launching a new product or service.
      • Expand into new markets or improve your marketing efforts.
      • Calculate your breakeven point and maximize profit.
      • Generate fast emergency cash for your business.
  1. Negotiate with Creditors
      • If you're struggling to pay your bills, consider negotiating with your creditors.
      • Work out a payment plan or reduce your interest rates.
  1. Develop a Financial Plan
      • Work with a financial advisor or consultant to develop a plan to overcome the crisis.
      • Identify specific steps to cut costs, increase revenue, and negotiate with creditors.
  1. Implement the Plan
      • Put the plan into action and monitor your progress closely.
      • Make adjustments as necessary.
  1. Stay Focused
      • Overcoming a financial crisis takes time and effort.
      • Stay focused on your goals and be willing to make difficult decisions to get your business back on track.
  1. Seek Professional Help
      • Consider seeking professional help from a financial advisor or consultant if you're unable to resolve the crisis on your own.
Remember, this is a process that takes time and effort. Stay focused on your goals and be willing to make difficult decisions to get your business back on track.

 

Got Questions? Looking for some feedback or support?

© 2023 Greg Dickson, Life Origami Corporation o/a Mainstay Business Concierge

The Lighthouse Self Study Learning Library

Tips & Tricks for Building Resilient Businesses and Entrepreneurs

You will find 69+ pages of actionable business ideas and strategies that will help you figure out what to do, when. This is your invitation to embrace the process of rebuilding, reorganizing our restructuring your business in a way that is enjoyable, exciting and playful.
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Stop, Look & Listen Links

Step 0: Self Reflection Questions

Below you will find a link to “Uncovering the Right Stuff Questionnaire” which is an excerpt from my 384 page Business Planning book (Amazon Kindle purchase link).
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It’s 30 questions/answers that will help you get to know yourself and give you some hints of areas you can choose to work on as an entrepreneur. Click the link below to access it.
Uncovering the “Right Stuff” Questionnaire
Uncovering the “Right Stuff” Questionnaire

Step 1: Perspective

The answer to confusion and overwhelm is always to seek clarity. To get clarity you will need perspective.
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How To Gain a Fresh Perspective

Step 2: Your Learning Curve

You cannot spend your way way out of a learning problem, you have to learn your way out.
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How To Learn Your Way Out Of Business Problems
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How Rethink (Reflect & Ponder) Your Business (8 Resources)
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How To Reinvent Your Business (19 Resources)
16 Learning Tips, Tricks & Solutions
16 Learning Tips, Tricks & Solutions

Building Resilience Links

Step 3

Feel free to browse the links below and jump ahead to the section where you feel drawn or need to do work.
 
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Reorganize Action Plan (11 Resources)
Regroup Action Plan (5 Resources)
Regroup Action Plan (5 Resources)
Rebuild Your Business Action Plan (7 Resources)
Rebuild Your Business Action Plan (7 Resources)
Retrain, Promote, Retain Action Plan (5 Resources)
Retrain, Promote, Retain Action Plan (5 Resources)
Rewarding Employees Action Plan (5 Resources)
Rewarding Employees Action Plan (5 Resources)

About Business Coaching


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Check out these links about business coaching:
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Rationale, Logic & Advantage of Having a Business Coach
Business Coaching Services
Business Coaching Services
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Canada Small Business Opportunities
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Designing A 21st Century Business In A Post Pandemic World
NOTE: at the bottom of some this page and a few others, you’ll find a “Ask Me Anything” form. It is an open invitation to reach out, ask a question and I’ll do my best to answer your query in a timely manner.