Do not wait until you are completely submerged to do your debt workout. Act now!

Please do not wait till your ship is under water, sinking rapidly and you’re gasping for air. It is never too late, but you may be wasting valuable assets that could have been saved -like your business- had you started earlier.

Far too many small business borrowers wait too long to do the debt workouts necessary to save the business and reduce or eliminate the debt.

The best, most powerful moments you have to begin your workout is when you see the future and understand you cannot last in today’s down turned market with reduced revenues and increased overhead and yet with the same debt load you had when things were flourishing and revenue was much more than it is today.

It is a simple notion and even an easier equation. Figure out how rapidly you are reducing your available retained earnings, your cash reserves, now used to support the negative cash flow. That is when you are officially insolvent and ready to crash and burn.

So why wait until then when you are at your weakest?

Why not acknowledge what you now know that you will erode all your available income by that date, and begin your workout strategy now, while you still have some firing power, some ammo?

We call it a preemptive workout, it has its own challenges, but it s a powerful place to come from, and a place which preserves your opportunities while reducing your debt.

Even if your determination is to kill the business as it is no longer viable, better to prepare yourself before you crash and burn, than after.

A workout cannot be done without spending money. It is not free. The only time our strategies fail is when our clients business fails, unable to afford doing business even without debt or unable to afford the cost of the workout.

I talk to many defaulting borrowers, or soon to be defaulting borrowers who want to wait and see what will happen, preferring to walk the plank and ask for help when in the water rather than before they are forced over the edge.

Call us when you see the handwriting on the wall. It is never too early to plan and implement your debt workout but, frequently, it can be too late. Norman @ 413-584-2581 Ex: 101