Think “Gutter Up”. Look to “Cheat”. “Guard Your Cash” – three thoughts for today.
“Gutter up” – every time you agree to something ask yourself “would I spend my own money on this?” if not – why not? If yes, how solid are your reasons and could you do it more cheaply? Cash is the breath of life for a business.
“Cheat” – the whole point of Strategic Planning is to focus on what matters most to keep the ship afloat now and to help it be in a more robust position in the future. This includes assessing the obstacles ahead. So how can you get round the obstacles in advance? How can you anticipate and make them more easily dealt with? A well-chosen Board will provide contacts, skills, and leverage that underpin your success.
“Guard your Cash” – at every step ask how you can pay less, more slowly, whilst getting value for money? So give immediate one off bonuses – don’t mortgage your future with permanent pay rises. Hire on short term contracts to test compatibility and value before long term commitment. Invest in your unique selling points and Key Result Areas such as quality and R&D. don’t spend on Head Office or director’s perks.
Businesses always fail because they run out of cash. So guard your cash.
Have a good day.