Quick Cash For Your Company: 4 Sources

When you run your own company, you quickly learn just how difficult keeping your finances in check can be. There are often times when it looks like the cash in your bank account might not be able to stretch for the next few months. However, things usually work out. But what about those times when you push things as far as it can go, and it starts to look like you might bleed your account dry? You don’t have to apply for bankruptcy just yet. There are plenty of ways to get a quick injection of money into your company. Here are four of the most common ways to give your bank balance a boost.

Company Loans

If you have a great credit record, then you should easily be able to get a loan from the bank. If all goes well, you should have the loan transferred into your account just a few hours after your meeting with the bank manager. Be sure to double check the interest rate before you commit to the loan. As this could end up making the credit much more expensive than what you originally anticipated. And if the repayments are too big, you could end up back at square one. If you have trouble getting a loan from your bank, think about non-traditional options. There are many online companies who now offer business loans, such as www.businesslendermatch.com.

Tap Into Personal Savings

If your personal finances are doing great, you could use these to help out your business for a month or two. The simplest way to do this is to just transfer some cash from your personal account to your business one. You need to be careful how much money you move, though. Too much, and you could end up paying tax on it. You can also fund your business by releasing personal assets. So, for example, you could sell a car and use the cash in your company. If things are really tight, and you need to take drastic action, you can always remortgage your house. However, that can put your family home at risk. Don’t do that unless you have discussed it with your partner.

Lose Some Employees

This is a latch-ditch attempt to raise some cash and should only be tried if everything else you have done has failed. No boss likes to get rid of employees, but unfortunately, in some situations, it is the only solution. What type of business do you run and what type of contract are the staff employed on? In some cases, you may be legally obliged to offer them a redundancy package. This could include a sizeable lump sum. So you need to take this into consideration if you are thinking about letting people go. Sure, you may save money in the long term because you won’t be paying a salary. However, you need the cash to pay their lump sum right now.

Launch Another Product

To increase your company’s value, think about adding another product or service to your portfolio. The whole reasoning behind this is that it will help to generate an alternative income to your usual one. There are two main ways you can do this. Firstly, think about launching a product or service similar to the one you currently sell. This should appeal to your current customers, so you won’t have to do much extra marketing on top of what you already do. Lastly, you should also consider a completely different product or service. That way, you can attract new business, and more people will find out about your brand. You can find plenty of tips on how to launch a new product at sites like  www.fastcompany.com/3004920/10-steps-successfully-launching-new-product-or-service.

So next time you feel strapped for cash, don’t start panicking just yet. These tips should hopefully see you through the rough patch. And if you don’t, that still doesn’t mean you need to stress. Keep your head above the water for as long as possible. Eventually, you’ll be thrown a business lifeline! Most of the time, these rough patches are just a sign that the economy and all markets aren’t doing so well. If that’s the case, you can be safe in the knowledge that this lean period will eventually be over. But while your business is doing well, it’s always best to make hay while the sun shines. This way, you can prepare for a nightmare situation. If there is money in the bank, you’ll get through it!

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