Cashflow can be a major issue for any business today. According to the Office of National Statistics, cashflow is responsible for up to 90% of business failures. Whether it’s poor book keeping, payments that aren’t made on time or a simple inability to make the connections between projections, analysis and cash in the business, most enterprises will soon fail where this isn’t handled well. Working with a business advisor is one way to ensure that your business doesn’t end up as a statistic. This type of professional support has a number of key benefits that will not only enable you to tackle key issues like cashflow but also find ways to make your business stronger.
1. Improving your financial approach
Working with a business advisor can provide opportunities to re-evaluate the way you currently approach business finances and make better use of data and analysis for future planning. For example, a business advisor can help you to create more accurate and timely financial projections and get used to working with these to help create realistic goals and identify the steps you need to take to reach them. This type of support can also enable you to plan for specific events, such as selling the business, evolving from the start-up stage or planning for succession. You’ll also be able to see, and better understand, what the rest of the market is doing and integrate this into projections and planning.
2. Gain the benefit of experience and a broader perspective
Business advisors are experts and many have specialist expertise relating to your sector. Working with an advisor can give you access to expert guidance from someone who understands what it takes for a business to succeed – and where everything can go badly wrong. Bringing on board a new perspective may help you to identify fresh solutions to existing challenges, seek out opportunities that you hadn’t thought of and apply a realistic assessment to your current goals and projections so that you are better primed for success.
3. Freeing up resources
It’s tempting, especially when a business is new or small, to simply try to handle everything yourself. However, this can be a waste of resources and leave you without the headspace to engage with bigger picture planning and management objectives. Working with a business advisor will help you to identify where changes could be made that free up more of your valuable time, allowing you to find solutions that streamline the way your business handles its finances so that you can invest more of your own time where it matters. Any business that grows in size can also become more complex so it’s essential to have a robust infrastructure in place that allows it to scale, with or without your input in every area.
A business advisor has a lot to offer any enterprise, no matter what your industry or development stage. From introducing new perspectives to refining the way financial projections are handled, the impact could be transformative.