Estimated reading time: 2 mins
Unfortunately, it isn’t all plain sailing in the world of modern commerce and there are many variables that can result in poor performance. It could be anything from inferior products to weak marketing and very often, the problem is not identified until it is too late. The early signs are bad customer fulfilment and internal communication problems, which can lead to delays or even cancellations and if your company is not performing as it could, perhaps you are in need of a business revamp.
Restructuring the Business
If you take a good look at the company flowchart, you will see who the key players are, and this could be where the problem lies. If the wrong people are in the wrong positions, then the business is likely to suffer to some degree. A Marketing manager might not be doing all he can to increase sales and without those extra orders, the books cannot be balanced. There are specialist companies who offer business restructuring services and with their expertise, you can be sure the end result will be a much more efficient administration.
Taking a Holistic Approach
A business can be thought of as an entity and by analysing each and every department, it soon becomes obvious where the issues lie. Another point worth mentioning is the emotional attachment that some stakeholders have formed, which can cloud a person’s judgement and by enlisting the help of an independent business rescue service, you can be sure of impartial advice that makes complete sense to all parties.
Making an Agreement with the Creditors
It might be that the company is owed a lot of money by clients who are slow to pay their bills and with a limited line of credit, a company can soon find itself in hot water. One solution might be for the directors and the creditors to get together and work out a financial repayment plan that is realistic. An Individual Voluntary Arrangement (IVA) is a legally binding document that has been approved by a court and as long as the repayment terms and conditions are satisfied, the creditors have to stick to the terms of the arrangement.
Licensed Insolvency Practitioners
There are companies that are licensed to practice insolvency practices and this is very often the best way forward. Whatever the status of the company, by talking to an expert, you will be in a much better position to make the right decision about the company’s future. All it takes to source such an expert is an online search, and if you select one that has a good reputation, the chances are the company can be rescued.
Time is obviously of the essence and the sooner you enlist the help of an expert, the better. Taking a positive look at the business, the rescue guru might be able to formulate a recovery plan that will save the business.
