Struggling Business? Here's A Business Growth Strategy To Bring It Back From The Brink
In the tumultuous landscape of business, fluctuations are part for the course. However, when those downward swings turn into chronic struggles, it's time for intervention. If you're on the precipice of business failure, then this guide aims to steer you back onto the road to success. At Evoke Management, our team of experienced directors can support your business on a part time basis. This is cost effective, but we can also support you to navigate the volatility caused by the current market fluctuations. Let’s take a look at some of the most common issues which businesses are facing:
Let's begin with a crucial, yet often overlooked, cornerstone of business health—cashflow forecasting. Knowing your income and outgoings down to the last penny is not micromanagement; it’s a survival tactic. A comprehensive cashflow forecast provides visibility into your financial future, allowing you to prepare for contingencies.
Utilising tools such as predictive analytics can offer deep insights into seasonal trends, market volatilities, and customer behaviours, setting you up to make informed decisions. Fractional CFOs are adept at developing these forecasts and can provide a game-changing influence on your business strategy.
If forecasting is about visibility, managing cashflow is about control. Streamlining accounts payable and receivable, improving collections, leveraging vendor terms, and even securing a line of credit can make all the difference in ensuring you're not running out of fuel.
Evoke Management’s part-time Financial Directors (FDs) are experts in this domain. They can identify the optimum working capital you need to operate effectively, without leaving surplus cash idling or facing liquidity crises.
Identify and Correct the Root of the Problems
Tackling symptoms while ignoring the disease is a futile endeavour. Be it operational inefficiency, low employee morale, or an outdated business model, a struggling business usually has underlying issues that need to be addressed.
This is where a Fractional CFO or Part-time FD can make a significant impact. With an objective, outside perspective and multi-industry experience, they can pinpoint the root causes that are hampering growth and recommend actionable steps.
Trimming the fat without affecting muscle is an art in itself. That's where cost control comes in.
This isn't merely about cutting expenses; it’s about optimising resources.
From renegotiating contracts to automating manual processes, a number of strategies can be employed to reduce costs without compromising on quality or output. A Fractional CFO from Evoke Management can help establish a robust cost control mechanism, ensuring long-term viability without stifling growth.
While revenue is vanity, profit is sanity. Incremental changes in various aspects of your business can lead to a significant impact on the bottom line. Whether it's through margin improvement, product differentiation, or service innovation, the goal should be to add value that customers are willing to pay for.
Fractional CFOs are experts in identifying such profit pockets. They can not only strategize but also implement these changes effectively, ensuring that you aren’t just surviving but thriving.
Sales and Marketing
Investment in sales and marketing is essential, but when funds are tight, it’s crucial to get the maximum return on every pound spent. A well-defined, targeted sales and marketing strategy can help you punch above your weight. Customer segmentation, targeted campaigns, and data-driven approaches can be revolutionary.
How to Sell a Struggling Business
Sometimes, despite best efforts, selling the business might be the most viable option. The objective should be to make the business as appealing as possible to potential buyers. Streamlining operations, settling debts, and even some aesthetic uplift can go a long way. Experienced FDs can help make this transition smooth and profitable.
Get help from an experienced professional
If you find yourself nodding along to these issues but unsure how to implement these strategies, it's time for targeted professional intervention. Evoke Management offers skilled Fractional CFOs and Part-time FDs, together with part time Technical Directors, Operations Directors and Commercial Directors. All of our people are at the top of their game with years of experience across sectors. Their expertise in cashflow management, cost control, and strategic planning can bring your business back from the brink. With a sympathetic ear and an eye of the detail, let us help you to thrive again.
To experience how Evoke Management can accelerate your business towards growth, sign up for a free 30-minute consultation. Time is of the essence in a struggling business. Act now to secure your business future.