8 Strategies to Survive the Downturn
Surviving the downturn in business requires careful planning and strategic action. The Institute of Chartered Accountants in England and Wales (ICAEW) has today published a guide which indentifies eight key survival strategies for business.
Eight Strategies for Surviving the Downturn is a guide to help businesses plan survival strategies and activities which could help them in facing the current economic challenges. It provides businesses with practical help and topics to discuss within their management teams as well as with their advisors.
Commenting on the guide’s publication, ICAEW chief executive Michael Izza said:
“As November’s ICAEW Business Confidence Monitor showed, confidence in business dropped to its lowest recorded level since the survey began. Few businesses think the recession will be short lived and are looking to take steps to ensure they get through the current economic slowdown. The vast majority of businesses will emerge from the downturn. However, it is important to seek advice and support from business professionals early, before difficulties become insurmountable.”
The eight strategies outlined in the guide are:-
- Manage risk and uncertainty
- Think cash
- Secure your funding
- Review your structure and cost base
- Seek advice and support early
- Manage your year end
- Recognise the value of your employees
- Plan ahead
“By planning effectively, communicating honestly, reviewing continuously and following these strategies, businesses will be taking the right steps to help survive. It will also ensure they are better placed to take advantage of the recovery when it comes and the opportunities that this will bring.”
The ICAEW has set up a dedicated credit crunch section on its website at www.icaew.com/creditcrunch which provides support for directors and advisers to businesses. It also contains more detailed advice on financial issues and signposts to key resources published by regulators and standard setters.