Business Cash Flow - Yorkshire & the North East firmly on the road to recovery

(MoneyNewsWire.Net, June 19, 2015 ) London, UK -- R3 represents the insolvency industry and has maintained a Business Distress Index (BDI) since March 2012; it measures five key growth indicators. A recent report produced by R3 is very encouraging for businesses in Yorkshire & the North East – an area which suffered significantly during and after the recession. Amongst other things the BDI shows that more than 60% of business owners are feeling more optimistic about the future of the economy than they were 3 months ago. Moreover, a huge 98% of firms expect business to either increase or stay the same over the next year.

So how should businesses deal with these opportunities? At this stage they need to focus on preparing themselves to make the most of the recovery. They need to plan, plan, plan! Essentially they need to identify and target potential new customers. But they also need to identify how they are going to handle increased levels of business – do they need to recruit and / or train staff, purchase more fixed assets or even extend premises? One area often overlooked is cash flow. Some businesses (depending on the lead time between taking an order and being paid) may need to look to raise finance. For example if sales increase by 10% it cannot be assumed that an increase of 10% of additional cash flow will be needed – it could be an increase of 15% or 25%. Many businesses with profitable contracts have failed as a result of running out of cash. Cash flow forecasting is essential.

What else can businesses do? There are more lenders in the market again so this may be a time to look at the company’s existing finances – do they have the most appropriate facilities? Could they renegotiate or shop around for a better deal?

Wilson Field are realigning themselves to adjust to market changes and the needs of businesses. Rather than just insolvency there is now more focus on supporting businesses owners and helping them to address problems and turnaround their businesses.

If you run a business and you are looking for finance or need help to restructure or turn it around contact Wilson Field and speak to one of our friendly experienced advisors

Wilson field Ltd

Wilson Field

0114 2356780

seo@wilsonfield.co.uk

Source: EmailWire.Com