November 3

How to Be Smart About Small Business Debt

Taking on business debt can help small businesses meet expenses and finance growth. The key to making it work is knowing specifically what you will use the debt for, how it will generate a return on your debt investment and tracking, tracking, tracking.

If you need support with finding capital for your business and tracking the use of that capital, contact us -- we can help.

And, if you have not done a great job with this in the past and your debt gets too hard to manage, you may be faced with some difficult decisions.

With proper guidance, however, you can minimize the financial consequences and maximize the opportunity of taking on and managing your small business debt.

Two options when faced with unmanageable debt

Option one is to find a way to generate more revenue to pay back the debt. It may be that you are too close to your business emotionally to see your options. That’s where we can help you to see what you may not be able to see, and get into action, instead of wasting creative energy in a mindspin of fear and stress.

Option two is to look at how you can restructure your debt and your overall expenses, starting with contacting each of your creditors to inform them that you may need to stretch out payments, or even consolidate your debt load. Don’t do this alone. Instead get wise counsel, so you are having this conversations from a place of strength and surety.

In reality, the best way to manage debt is to seek financial guidance before you need it. We can help you plan for financial ups and downs and mitigate your financial risks and also help you decide what financial steps to take that will best meet your needs and help you make informed decisions if your debt becomes unmanageable.

We offer a complete spectrum of legal services for businesses and can help you make the wisest choices on how to deal with your business throughout life and in the event of your death. We also offer a LIFT Start-Up Session™ or a LIFT Audit for an ongoing business, which includes a review of all the legal, financial, and tax systems you need for your business. Call us today to schedule.


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