When you run out of cash, you go out of business.
Now is the most important time to make sure you are preserving your cash flow and improve your liquidity (your cash and access to cash).
Here are a few ways to help:
1. SBA Loans
Pending you’re in a disaster area you can apply for support from the SBA at the link below. Only try to fill this out after 8 PM as they are jammed all day.
https://disasterloan.sba.gov/ela
2. Secure Fundingvia a Line of Credit
This is something I have preached for years and the ones that listened to me are grateful they have a liquid stockpile of cash right now.
Visit your local bank or your financial advisor about securing a line of credit. Interest rates are VERY low.
Bank of America also has something called the SBA Express program which is another form of a line of credit.
3. Negotiate your lease
Send an email to your landlord and try to negotiate free or reduced rent over the next few months. They most likely are going to get support to pay their mortgage and they certainly don’t want you t
o go out of business so this is a no brainer.
4. Take advantage of help on the way!
Read every word of this article and keep your eyes peeled for when this Bill gets passed.
https://www.nytimes.com/2020/03/26/business/coronavirus-stimulus-small-business.html
5. Reduce any unnecessary expenses
Now is the time to be as disciplined as possible with your money. Only spend on essential things for your business.
Look through expenses and trim all unnecessary things. This also goes for your personal life too!
6. Reduce Payroll
You may need to reduce payroll hours to help keep expenses down. This does not mean you need to fire people but simply temporarily reduce hours to manage cash.
7. Furlough
If you have full time team members that get benefits, furloughing them means that they still stay an employee of yours but they can collect unemployment and you continue to pay their benefits and payroll tax. Always check with your states employment office as these things vary state by state.
NOTE: Be sure to check about the rules of the stimulus package above with furloughing.
Please note that these are things for you to look into and each of you may have a different strategy depending on your current situation.
The bottom line is, now is the time to be sure you have as much liquidity as possible as the following months are very uncertain.
However, I am certain if you are smart about this, the other side will be lucrative.
Vince Gabriele
P.S. Reply here if you need anything, happy to help in these situations.
Plus, whenever you’re ready here are 4 ways to work with me…
1.Work with me 1-1
Want to work directly with me 1-1? Whether you want to become a better leader, systemize your business or simply get out of the day to day I’ll help you get there…fast. I take very few clients for this program and have 2 open spots for 2020
To get more info Reply to this message and put “1-1” in the subject line…
2. Get a FREE Hard Copy of Marketing Book
Want to get more clients? Here’s a book that needs to be in your library. I bought you a copy, just cover the shipping. Click the link below to get it.
3. Subscribe to the FBU Podcast
If you want to listen to the podcast that built to help brick and mortar gym owners become successful business owners this is a must add to your library. We have a ton of episodes already recorded and release new episodes weekly.
4. Inquire about the SPF Mastermind
Need ongoing coaching and accountability? Join a super motivated group of gym owners that meet 3x/ year to make more money so they can have more free time with their family. There is so much more you get with this but the only way to apply is through a call with me and I unpack everything for you.
To apply just email me, Vince@gabrielefitness.com, with “mastermind” in the subject.