Is Your Business Going To Survive This Economy?

Is Your Business Going To Survive This Economy?

Is Your Business Going To Survive This Economy? Not an easy question for any of us to answer especially in this economy. The below is a sample letter we might receive from a client seeking Business Survival Skills in a Down Economy.

Good evening John, Hope you are doing well! I wanted to ask you something. Do you do have a service that assess business solubility? The company that I work for is going through some rough financial times. We have sales coming in but the economy has taken its toll and I feel like we are not in a place of sound business. We have new plans to keep up with the economy, but I feel like we need to restructure and run anew, but my partner thinks otherwise. Last year our sales was $200K and currently our liabilities (Credit cards, line of credit and A/P) is about $70K. Our monthly overhead is about $12K and could be cut down to maybe $10K. We don’t have any other equipment assets outside of our computers.  I feel like that anymore profit would go towards bad debt and in my eye it is a deep pit. My partner feels like we can get out of it and this economy it would be a miracle. Need your thoughts on this.

Below is my response:

We frequently serve as a Virtual CFO for many of our clients helping out with issues such as these. It is at this times that strategic thinking needs to come into play as well as short term survival skills. I have put together some information below for your review and would welcome meeting with you and your partner at their earliest convenience. Please note the initial consultations is free.

Although one cannot truly buy insurance against a down economy, there are tried and true practices to keep in mind to help defer and hopefully avoid many of the negative repercussions a recession brings. Slow economic growth, higher unemployment rates, a down real estate market, tightening credit and underwriting, as well as higher inflation rates are all characteristics of a downward trend in our overall economy. Many of these issues pound us in wave after wave of tsunami like fashion, berating us emotionally and challenging not only our dreams but also our very livelihood. Much of what one does during a down economic time will either positively or negatively impact much of what occurs during this time. However, it is perhaps much more important what you do as a practical matter in your everyday living and spending habits which are most critical. By consistently applying these precepts and techniques to your spending habits, you will invariably, after a time, adopt much of these into your psyche thereby improving both your business and personal net worth and financial security. As an Atlanta CPA for decades we have put together time tested ideas to “Recession Proof Your Business” at http://www.hiscpa.com/recession-finances.html

Atlanta Virtual CFO (Chief Financial Officer)

A Virtual CFO can provide guidance on issues over and above your tax returns offering business insight towards profit maximization, streamlining of procedures, supervision of accounting personnel and insight to your daily books and records. A Virtual CFO is a valuable member of your management team offering financial expertise at a fraction of the cost of hiring a full time expert. Find out what a Virtual CFO can do for your business. Serving as an Atlanta CPA and Virtual CFO for Atlanta Business Owners for Decades http://www.hiscpa.com/virtual-cfo.html

At HIS CPA, P.C., we care much more about you and your business than just your taxes. Put our value added Business and Tax Programs to work for you today.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta/Suwanee/Lawrenceville/Norcross/Atlanta/Gwinnett/North Fulton/Johns Creek/Roswell/Forsyth/Flowery Branch/Buford as an Award Winning CPA.

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