Business Banking

Tips and FAQs
Pitfalls

Why do companies find themselves in trouble? Here are a few typical issues business owners sometimes need to address.
Internal fighting
Solution: Bring in a consultant or objective third party to evaluate, review and recommend strategies for improvement.

Too small customer base
Solution: Depending on one or two large customers can spell disaster for any company. Look to expand your market base through referral programs and an active call program.

Failure to adjust to changing marketplace
Solution: Research changing technology and trends, check out what the competition is doing, stay in close contact with customer base for their changing needs.

Not keeping current with technology
Solution: Plan and allocate funds for upgrading equipment to stay current with technology and become more efficient.

Inadequate working capital
Solution: planned growth is critical for survival. Create a business plan and set reasonable, achieveable goals

Limited cash flow
Solution: Monitor expenses closely. Check into a working line of credit to meet business expenses of payroll, pay vendors, or other unexpected expenses.

Poor customer service
Solution: Train, motivate, evaluate and give feedback to employees. Poor customer service can be deadly for business.

Cautious management or lack of leadership
Solution: Review willingness to take risks and set the vision for the future of your company. A good business plan will help break down goals into achievable steps.

Inadequate financial or production quality control systems
Solution: Research current and future need. Develop a step-by-step plan that allows your production to grow to meet demand.

Unprepared for crisis
Solution: Make an objective list of most likely scenarios. Develop a crisis plan that will cover possible change in ownership/management, lawsuit, production shortfall, natural disaster or other events.