| No matter type of business you operate you've got | | | | businesses similar to yours, and retired executives. |
| to know how to keep your business alive during | | | | Setting up such an advisory board of directors is |
| economic recessions. Anytime the cash flow in a | | | | really quite easy, because most people you ask will |
| business, large or small, starts to tighten up, the | | | | be honoured to serve.Once your board is set up, you |
| money management of that business has to be run | | | | should meet about once a month and present |
| as a "tight ship."Pause Before PayingSome of the | | | | material for review. Each meeting should be a |
| things you can and should do include protecting | | | | discussion of your business problems and an input |
| yourself from impulse expenditures. We've all bought | | | | from your advisors relative to possible solutions. |
| merchandise or services we really didn't need simply | | | | These members of your board of advisors should |
| because we were in the mood, then we sort of | | | | offer you advice as well as alternatives, and provide |
| "wake up" a couple of days later and find that we've | | | | you with objectivity. No formal decisions need to be |
| committed hundreds of dollars of business funds for | | | | made either at your board meeting, or as a result of |
| an item or service that's not essential to the success | | | | them, but you should be able to gain a great deal |
| of our own business, when really pressing items had | | | | from the suggestions you hear.Joining AssociationsBy |
| been waiting for those dollars.Using ProfessionalsWhile | | | | all means, join your industry's local and national trade |
| you may think you cannot afford it, be sure that you | | | | associations. Most of these organizations have a |
| don't "short-change" your self on professional | | | | wealth of information available on everything from |
| services. This would apply especially during a time of | | | | details on your competitors to average industry sales |
| emergency. Anytime you commit yourself and move | | | | figures, new products, services, and trends. If you |
| ahead without completely investigating all the angles, | | | | are given a membership certificate or wall plaque, you |
| and preparing yourself for all the contingencies that | | | | should display these conspicuously on you office wall. |
| may arise, you're skating on thin ice. Regardless of | | | | Customers like to see such "seals of approval" and |
| the costs involved, it always pays off in the long run | | | | feel additional confidence in your business when they |
| to seek out the advice of experienced professionals | | | | see them.Free AdviceWhenever you can, and as |
| before embarking on a plan that could ruin you.Your | | | | often as you need it, take advantage of whatever |
| FinancialsYour company's books should reflect your | | | | free business counselling is available. Your local |
| way of thinking, and whoever maintains them should | | | | chamber of commerce or small business advisory will |
| generate information according to your policies. Thus, | | | | likely have numerous free publications. Most local |
| you should hire an outside accountant or accounting | | | | universities, and many private organizations hold |
| firm to figure your return on your investment, as well | | | | seminars at minimal cost, and often without charge. |
| as the turnover on your accounts receivable and | | | | Take advantage of the service s offered by your |
| inventory. Such an audit or survey should focus in | | | | bank and local library.Direction Is EverythingThe |
| depth on any or every item within your financial | | | | important thing about running a small business is to |
| statement that merits special attention. In this way, | | | | know the direction in which you're heading; to know |
| you'll probably uncover any potential financial | | | | on a day-to-day basis your progress in that very |
| problems before they become readily apparent, and | | | | direction; to be aware of what your competitors are |
| certainly before they could get out of hand.Advisory | | | | doing and to practice good money management |
| BoardsMany smaller companies set up advisory | | | | at all times. All this will prepare you to recognize |
| boards of outside professional people. These are | | | | potential problems before they arise.In order to |
| sometimes known as Power Circles and once in | | | | survive with a small business, regardless of the |
| place, the business always benefits, especially in times | | | | economic climate, it is essential to surround yourself |
| of short operating capital. Such an advisory board or | | | | with smart people, and practice sound business |
| power circle should include a lawyer, a certified public | | | | management at all times. |
| accountant, civic club leaders, owners or managers of | | | | |