FundKite CTO Alex Shvarts was recently quoted in an article by Business News Daily, “Struggling For Cash Flow? Strategies For Survival.” Written by Skye Schooley, the article discusses tips for borrowing money, restructuring, and utilizing technology.
It starts as follows…
“Proper cash flow management is a key strategy that every business owner must master for long-term financial success. Managing cash flow can be one of the biggest challenges business owners face.
“A recent study from Intuit found that 61% of small businesses around the world struggle with cash flow. Nearly one-third of those surveyed are unable to either pay vendors, pay pending loans, or pay themselves or their employees due to cash flow issues.
“To combat this struggle and stabilize cash flow, there are many tactics you can incorporate into your business model. The first step is to determine the cash flow your business needs…
“2. Re-evaluate your business operations.
“Continually review your cost structure to find efficiency gaps and implementations that can be modified to increase savings. Arora suggests identifying parts of the operation that can be outsourced to freelancers and third-party providers. This will allow you to get the job done without providing salary and benefits. He also suggests that businesses scale back part-time staff during slow periods.
“In addition to outsourcing, Alex Shvarts, CTO of FundKite, recommended other areas of operation that should be frequently monitored, evaluated and improved.
“”Certain areas of business operations can be re-evaluated and updated for efficiency,” he said. “[These include] shipping costs, use of middlemen, extra employees, allotted overtime, marketing returns, overdue invoices, rented equipment payments, stocking up on materials when tariffs are low and potentially asking vendors for a break.”
“As the economy changes, your business strategies will too. It is important to always look for ways to improve your product and invest in smarter solutions.”
The piece continues to explain strategies for struggling business owners to pull themselves out of a strained working capital situation with quotes from Shvarts as well as other established business leaders. Read the rest of the article in more detail on Business News Daily by clicking this link. To learn more about how outside funding can help you with cash flow, read this article from FundKite.