Building a business’ resilience mindset – Claire Clift of Azets Gloucester
By Claire Clift, partner in audit and assurance at Azets Gloucester
From Brexit to the pandemic and now a turbulent economic climate, SMEs have had to bounce from one crisis to another recently.
Too often, entrepreneurs are stuck in a cycle of reacting to factors that feel out of their control, from a lack of cash reserves to a scarcity of experienced staff and supply chain pressures. All this has taught business leaders that business resilience planning is essential.
Cash resource planning
The lack of cash reserves is a particular cause for concern. Many SMEs dipped into their funds over the past few years, and with recent interest rate rises access to cash is more difficult.
Building a cashflow forecast can help ensure sufficient funds are in place for future needs, and identify warning signs so help can be sought.
The need for flexibility
A crucial factor in flexibility within a business is strong relationships. If all stakeholders, staff, customers, supply chains and financiers are engaged and understand what the owners are trying to achieve, it makes pivoting much more feasible to accomplish.
Introducing technology to support
Cloud technology is becoming more affordable and can be embedded within business operations quickly. These cloud packages provide access to real-time business data to allow for quick analysis of financial metrics and inform key business growth decisions.
Planning for succession ensures future-proofing as well as strategic continuity. If a business isn't prepared for sale or exit at a sufficiently early stage, its value can be significantly eroded.
If you would like to discuss any of the challenges you are facing, how to navigate the coming months or any of the above in relation to your business, please speak to us at Azets Gloucester today.
For more information and advice, please email Claire.Clift@azets.co.uk or call 01452 335800.
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