• Ed Patton

Are You Reopening Your Business? Financial Fundamentals are Important … Do you Have Them?

Updated: Oct 5, 2020

A large number of SMB's (small to mid-sized businesses) are taking unpredictable and repeated hits right now.  

Fortunately, it appears the economy may be starting to reopen, but even this is unpredictable.  Unfortunately, many obstacles – predictable and unpredictable – are in the way of returning to pre-covid business activities.

For many companies – sales have been reduced or eliminated.  Employees have been furloughed or let go.  Assets have been idled.  Suppliers have been weakened.  Capital has been depleted.

How long and how deep these obstacles will persist is not known.

The "Brave New World" after the economy opens back up will be filled with uncertainty.  SMB decision makers (DMs) will have to navigate their way through this in order to survive.  

The more DMs understand their company’s financial fundamentals – their historical performances; their current status; their prospects – the better informed they will be when making decisions. The DMs focus will be on clarified financial essentials and they will be less fragmented by the "noise" and uncertainty. 

SMB DMs, SMB Advisors and SMB Investors / Bankers either realize now – or will soon come to realize – that recovery for many will be a long, arduous process and margins for error are smaller, windows of opportunity are tighter. Some will thrive, some will get by and some will not survive.

Clarity always helps.

DMs of SMBs will make more informed decisions with a team member(s) who can advise them of their historical, current and prospective financial fundamentals; including their drivers and their trends

Clarity is dramatically increased when financial fundamentals are available.

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