identifying & understanding early financial warning signs
TRANSCRIPT
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@TheBusJourney #SMEJourney
Nikki Williams
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The Business Journey
Identifying & Understanding Early Financial Warning Signs
Nikki Williams15 November 2016
www.mlmsolutions.co.uk
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www.mlmsolutions.co.uk © mlm Solutions 3
VISION
Cash is King
• A strong cash flow ensures you have sufficient funds to meet the financial obligations of the business and is crucial to maintaining the viability of the business.
• Financial monitoring should hopefully highlight issues and enable intervention before it’s too late…..
• Failure to monitor your cash position is likely to lead a loss of control
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www.mlmsolutions.co.uk © mlm Solutions 4
VISION
Signs of Financial Distress
• Suppliers
• Customers
• Management Information
• Lenders
• Employees
• HMRC
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Business Review
• Where is your money going?
• Can you critically evaluate your own business?
• Is your management information relevant & reliable?
• What can be improved?
• Is there a strong underlying business?
• What level of support do you have?
www.mlmsolutions.co.uk © mlm Solutions 5
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Outcome
• Options
• Strategy
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Remember
• Know your business
• Know your market
• Be prepared to ask the professionals for help
• Be prepared to make tough decisions
• Stress is expected
• Be prepared to cut your losses
• Effective communication is key to a successful outcome
www.mlmsolutions.co.uk © mlm Solutions 7
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www.mlmsolutions.co.uk © mlm Solutions 8
VISION
We are Different
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@TheBusJourney #SMEJourney
Thank you.