News that the new Job Support Scheme from HM Government offers 22% of the cost of employing staff, down from 100% at the start of Furlough scheme in April 2020, means that Government employment support is less generous and is unfortunately starting to wind down. Helpfully, support in the form of Bounce-back Loans and CBILS has been extended at least and payments for VAT have been delayed.
With overall financial support decreased it is likely your business should be looking at managing overheads and changing strategy in how to deliver products and services to try and increase sales. Fixed costs may be difficult to manage down, but landlords have generally been very supportive we find towards good businesses.
Fundamentally it is up to the directors to manage the costs and steer the business into the uncertain future.
Understandably, you will need to start answering difficult questions and making even more difficult decisions on the future of your business. How will the business perform if you cannot make cost savings, is it viable? Who do you turn to?
As experienced business turnaround advisors KSA Group has experts that can advise you on your options. Call now to speak to one of our turnaround directors and managers. Crucial things to be aware of are;
- We can assess if the business is viable, and so build a turnaround plan.
- We can help plan for cost reductions
- We can deal with the bank and secured lenders, do you need moral and expert support?
- There are ways of getting the government to pay for any necessary redundancies
- It IS possible to vacate premises and end contracts at NIL cash cost.
In these hugely stressful times for company directors, why not speak to seasoned business experts who have helped many firms through your situation over decades. You may find that we lift an emotional burden off your shoulders and help you to refocus on the core of your business. The common phrase we hear, “Ok thank you so much for your help, I do wish that I had called you 6 months ago”!
Check out our free and hugely informative website www.companyrescue.co.uk we can assist you through online chat functions, telephone or Zoom calls or email. Initial consultations are free; 0800 9700539