Every business whether long term or a newbie start up needs to run on solid and disciplined lines. It’s very easy for someone to decide they have a good talent for a service or supply of something and assume that a few interest parties would make up a whole customer network. Things like that don’t always happen. If things slow up and panic begins to take the shine off, thought should be given to bolstering actions sooner rather than later. One rule should be, unless absolutely neessary, don’t borrow money, especially from the quick turn around loan shark brigade. In a moment’s panic it is very easy to think funds have to be obtained, without questioning the interest rate or other very rigid conditions.
Keeping an eye on expenditure – it may seem obvious but it is so easy to want to present the best face possible for the allers and viewing punters. So tempting to blow whats left of the slender business budget on pretty office items and other questionable and usually wasteful items. Keep revisiting that business plan that so wowed the original backers and bankers – once the business has been running for a while, it is possible the business plan needs a little tweak or major update.
Pay yourself first. Don’t panic, just try to think of other things or services you can sell to bridge any gaps in sales.
