Ready for a Comeback?

 By Dan Forkell, CPA* - Nperspective CFO Principal

 

I don't think we need to spend much time rehashing the economic distress we suffered through the past six or seven years, especially here in Florida.  We have all felt the pain, some more so than others. 

 

The real estate industry was probably the hardest hit, along with all the ancillary businesses that rely on it to sustain their business.  Just to name a few we are talking about contracting, plumbing, roofing, realtors, banks, lawyers, mortgage brokers, furniture stores, hardware stores, architects, and CPA firms.  Alright, that was more than a few but it gives you an idea of how all-encompassing this debacle was.  Right now we are poised at the starting line of a race to regain what has been lost and even prosper more.  The typical cycle, if there is such a thing, seems to be in the area of five to seven years.  Are you ready?

 

What does being ready mean?  I'm glad you asked that.  Let me share my views here. The early part of a recovery is about planning and getting your business in shape to grow and prosper. 

• Do you have a detailed budget?  You need one. 
• How about a cash flow projection?  Preferably a rolling thirteen month (or longer) one.  After that is completed a five-year projection is almost a necessity. 
• Do you have written goals? 
• Where do you want to be a year from now?
• Five years from now?
• Do you want to sell your business along the way? 
• What kind of revenue and net profit do you need to be able to sell your business to make it attractive?
• Do you have a business plan? 
• One that lays the building blocks to help you reach your goals?
• Do you have the right financing to help you meet your goals? 
• Do you have the right people? 
• The right systems?
• Do you want to expand?  Enter new markets?  Expand your product mix?

It doesn't matter what size your business is - ALL businesses need to have these important foundations in place to prosper.  The secret is having the right sized foundations in place.

 

That's a lot of questions.  The good news is we can help you answer them.  Our CFO's have been through these cycles before with a lot of lessons learned along the way.  You don't have to reinvent the wheel.  You just need to have someone show you how it turns in this environment. 

 

Please contact Janet Watson at (813) 317-3460 or jwatson@npcfo.com for further information or a free consultation. 

 

*Licensed in New York 

Did you know that Nperspective was recently engaged by another company that has significant opportunity to grow but needs some strategic financial assistance? This help will be in presenting their story, ensuring that their financial statements and records accurately reflect the business and that there is a rolling cash flow forecast to ensure that the needs of the business are properly identified and funded during this next expansion.