Pivot Into Profit- Episode 4

Welcome back to the fourth episode of the Pivot Into Profit series!

This mini series will focus on: critical mandates for cash flow, important requirements to run a successful business, cash goals and everything in between. Be sure to check out episode 1, 2, and 3 if you missed it last week (linked above).

In the episodes one and three we discussed all things cash. In episode two we discussed the importance of planning in your business. For this week’s episode we are building off previous episodes and focusing on the importance of creating an action plan to raise money!

Create an action plan for raising money. 

As business owners we love money– who doesn’t?! However, in order to make money you have to be strategic about how you will raise it. The unfortunate truth is, money never just appears in our bank account, we have to work for it. 

The biggest piece of advice we give our clients is don’t wait until your company is in a cash flow crisis (or worse yet, broke!) to create a plan to raise money. Things get significantly more difficult when you are in the ‘hole’ and desperately looking for a way out. 

Develop your funding plan when you are in the black — because banks don’t like companies that are desperate. 

Be prepared!

Use this knowledge to your advantage: plan for your cash request when you already have money in the bank. Build your capital plans when you’re feeling good and doing well, and then anticipate your cash needs so that you’re ahead of the inevitable crunches. Like the Boy Scouts say, the best thing you can do is be prepared.

Preparation is key for the longevity of your business! 

Be sure to check back next Wednesday for episode 5 in the Pivot Into Profit series!