Know when to Quit

Just surviving? We recognise that what has been said before may seem glib and unrealistic if you are really struggling just to pay the bills. However all is not lost.

1. So if sales are falling and cash isn’t flowing don’t put your head in the sand and pretend it is not happening - face up to it - take advice - if you don’t do something about it now it will almost certainly be too late. Clearly the need is to improve cash management with regular cash flow forecasts and debtor collection being key. You may have to trade for cash in the short term through one off deals that boost cash flow rather than profit.

2. Keep stakeholders informed e.g. bank, suppliers, clients, employees - it is possible to work through a solution if your product and service is valued long term and you are just in a short term crises position.

3. However if things are really serious you do need to be aware of insolvency law and the risks of trading whilst insolvent. Although it is not always easy to prove, you as a director may be personally liable and as it is a complex area, advice from an good quality Insolvency Practitioner is vital if you have any concerns.

4. Know when to throw in the towel - ultimately if there is no hope and it is ruining your life and your health it is not worth it.