Business owners who want to hedge against uncertainty have to be intentional and strategic, no matter what economic conditions exist. Modern life has shown us, with stark clarity, that unexpected things happen–in families, local areas, across countries, and indeed, even at global levels. And although economic indicators point to the US sidestepping a recession in 2023, what exactly is to come in our economy is uncertain.
At NC Planning, one of our key goals in working with business clients is to help them feel secure, confident, and clear about their future. We do this with proactive business planning that takes the unexpected into account.
There are action items that we recommend to all of our business planning clients in North Carolina. In this article, we will share a list of the top things any business owner can put into place to proactively plan for their employees and themselves.
Taking the key recommended steps in these core areas of your business will help it not only survive, but thrive, through even the most uncertain times.
OPERATIONS
✔️Lead your team effectively with open and consistent communication
✔️Reinforce your core company values, making them an integral part of how your business delivers for your customers and your team
✔️Explore IT solutions that drive productivity, engagement, and ultimately, revenue
✔️Consider flexibility for your team in terms of where and when work gets done, boosting retention, productivity, and ultimately revenue
HR & TEAM MANAGEMENT
✔️Cultivate an open communication culture, encouraging feedback and input from all
✔️Work with your human resources director or provider to resolve employee questions and concerns quickly and completely
✔️Consider flexibility for your team in terms of where and when work gets done, boosting retention, (again) productivity, and ultimately revenue
✔️Consult with a general counsel prior to any modification to employment relationships or agreements to develop a workable plan
FINANCIAL & ACCOUNTING
✔️Partner with a strategic, anticipatory CPA or CFO to help you be proactive, not reactive, in your financial planning
✔️Meet with your financial team or outside financial advisor to figure out 3-6 months of business operating expenses and make a plan to ensure adequate cash flow to operate, at the current or planned growth rate
✔️Work with a reputable commercial lender to consider applying for a line of credit or other loan product to help meet expenses during uncertain times or to fund strategic growth
✔️Review your accounts payable list to explore mutually beneficial term or payment options
RISK MANAGEMENT
✔️Talk with your insurance agent to review, understand, supplement, or enhance your insurance policies and coverages to be prepared for the unexpected
✔️Address personal insurance (i.e. disability and life) needs with your preferred financial advisor
✔️Scale your business smartly with the support of a strategic advisor such as a business planning attorney
✔️Diversify your revenue streams, service offerings, or funding sources to mitigate risk and grow revenue
COMPLIANCE & LEGAL
✔️Consult with your legal team or outside general counsel to open up the lines of communication, reveal potential problems, and address any concerns.
✔️Stay up to date on developments in your profession or industry as new policies, recommendations and compliance requirements may be released
✔️Review and, as needed, update your business disaster plan and personal estate plan to ensure matters of concern are addressed and appropriately prepared for
As always, the NC Planning team remains dedicated to serving the business community in and around North Carolina. Do you need to make sure your business is poised to thrive no matter what comes your way? Let’s set up a time to review your plans and make strategic decisions that help you build a business to last.
