www.businesslink.gov.uk/southeast
Angela Beeston     Business Link Adviser - contact for 4 employees or less		Nigel Smith Business Link Adviser - contact for 5+ employees

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Running a small business is challenging at the best of times

There is currently no shortage of people who are happy to remind us all that the economic outlook is looking fairly bleak. However, don’t despair - it’s time to look at how you can take control and improve the situation regarding the long-term success of your business.

Here are some suggestions to kick-start Spring 2009 in a positive way:

• Consider offering special deals for cash sales or prompt payment discounts for early settlement
• Review the deals that got away last year. Can you turn these missed chances into new opportunities?
• Update your client list and consider contacting them – perhaps send them a message or call to see how they are doing. Ensure you have some news about your product offering for them

• Review any outstanding proposals that clients said would have to hold until later in the year

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One area that frequently causes companies to struggle is cash-flow. On average, it is estimated that a small UK firm is owed £30,000 and small businesses spend 17 working days a year chasing up late payments.

Consider putting some of the following in place to improve your income stream and protect your firm’s liquidity:

• Protect your income - carry out credit checks on new customers before supplying goods or services
• Deliver the goods – make sure the products or services provided are exactly as expected, so there is no reason to query your invoices
• Chase payment – keep good records of those who haven’t paid you and remind them regularly of what is still outstanding.
• Count your cash – check your cash-flow each month to ensure you can cover your debts, in case payment is unexpectedly demanded.

Another area often neglected in a recession is marketing. Think about how you can stay on track in terms of fulfilling customer needs and maintaining your profile, so you are well positioned to take advantage when the good times return:

• Anticipate demand – without background research, you could be wasting money on developing products or services that won’t be needed in the future.
• Meet customer needs – make sure your products are what the market wants, delivered how they want, at a price they are willing to pay.
• Strike a deal – offering ‘three for the price of two’ could help maintain your market share, rather than discounting which can send a different message about quality and can reduce your profit levels
• Heads up! – look for affordable ways to boost your profile such as entering a local business award. Keep the relevant media informed of your achievements, so they can spread the word about your success

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So…Why not have a Business Link Health Check, it’s FREE:

A Health Check from Business Link can ensure your firm is maximising its cash flow, optimising its marketing activity and developing realistic business plans for its future during the current economic climate.

Our experienced Business Link Advisers will work with you to create a tailor made action plan, designed to ensure that your business copes with the effects of the economic downturn. Business Link also provides a follow-up monitoring service to ensure that you stay on target.

Contact Business Link on 0845 600 9 006 or visit: www.businesslink.gov.uk/healthcheck

Business Link provides the information, advice and support needed to start, maintain and to grow a business. To meet one of our Business Advisers please call 0845 600 9 006 or visit: www.businesslink.gov.uk/southeast