Small Business Tip: Working through Tough Times
We’re still caught in the financial setback so businesses are really having the hardest time to stay afloat. Know what else you can do to sustain your business in the midst of this crisis.
Explore new policies on cost-cutting. Some companies have resorted to cutting jobs. But before you do this, meet with your managers and discuss other alternatives such as – no overtime pay or putting on hold all benefits and salary increases. These days, your workers are only thankful to have jobs.
Monitor cash flow by being tight with the money that goes out. Protect the cash by making sure you control every penny.
Keep a close watch on the inventory. There’s no better time to be more aggressive in selling. Flush out everything in your inventory if possible.
Negotiate for longer credit terms with your suppliers.
Check how your rivals are playing the field. See if you can find out how your competitors are coping with the crunch. Maybe you can get some ideas, add a little innovation, and voila–you’ll have a better business plan.
Be closer with your partners. Work on your relationships with clients and customers. Now more than ever, you need their continued patronage – and you’ll get that only if you can sustain quality under limited resources.
March 31, 2009 Tuesday at 6:06 am