engage magazine issue 003 \\\\\\\\\\\\\\\'07 - Page 45

FINANCE 45 Success or Failure Ready or not? The months have passed and you find yourself staring at a completed business plan wondering what next. It’s one thing putting in the hard work and getting the plan written but implementing your business plan is when the real adventure starts. Depending on the sector you are in and the level of experience you have, that start could be painstakingly slow or over in a flash. Hopefully if your plan is well-written with very good guidance for you to follow it should be your road map to success. In the early days of a start-up (business) what people often don’t appreciate is that too much success can lead to failure. I often have new entrepreneurs coming to me asking for help to finance a deal that was too good to pass up. Picture the scene: a huge contract becomes available. You happen to be in the right place at the right time talking to the right person. Now the race is on to get your business up-to-speed quick enough to be able to exploit the opportunity. If it was a boxing competition then it would be called punching above your weight. Stepping into the ring for a competition like this, however lucrative it may seem, has its problems as well. You may need to buy supplies, machinery, or employ new staff to fulfil the contract (all of which were not in your original plan). Your business is not in a position to finance the initial stages of the contract. Welcome to the world of turnover and cash flow. Are you really ready to finance that deal, asks Chatsworth Consultancy Chances are [HYYܜ[ۙ^K\H\وܜ[[ۙ^HܝH۝X8&\[YO\[\\Y\[^Hۈ[YO][[\[\Y\ܝXX[Hݙ\[X\وH[\K\[Z[H[\HXݙH]Y\[ۜ\H]]K[[HY]H\\Hܝ[HۙK[HYY\]Y\ܙY]X[]Y\ݙ\[XݙH[H[HX^H[XYH]K[[\[ \X[H[܈\\Hو[[H[H[Z[\]\]و[[[H]\[\^\[H[[XYH]HH\ܞH]H[ˈ^XH\YݚYHڙX[ۜ\\\Y[[ۋ]\[^[Y[H[[ۈH\Y\ۘ[HX\[YH[H[[H[H؝Z[[ٝ[K[X[Y\\H[X[[[[\[\\YHX[Y\[YH[H]HۙH[\Y]ܚ[[YH]H[[H[[XH[\\[\ܛ[H\H[Z[HHX[Y ۙH^H؝Z[[\ݙY\[ ܈YXHH\[\\[\\^Y\\]H[XHXܚ[ˈXܚ[[[\[HXY]H[Έ[[][ۈHH\وHۋ\^[Y[ ܈[[YYX]H\ ]\[Z][܈H\Y\^JK܈ \\[[]\][[\\[\[\Y[ܝ[]Y\[\\[HU[^\Y\\H[[\ܝ[ۜY\][ۜˈ[ۙ^H\H H][ۋ\XH[\ۘ[[[H^\[]]܈و8&H[ۙ^HY\\&K^\Έ8'H[وH^\\H\[X\HYH[[Z[و[ۙ^K]]\HXH^HH[\X\[H[YX[[ٝ[8'KX˂]ܝۜ[[H\H\[\ۜ[[Hٙ\[\[\YXKX[[Y[ܚ[\[\Yܚ][YXH܈X[\[\\[\]Y\ˈ܈\\[ܛX][ۈ[\ۙH LH ̌ ܈[XZ[]ܝۜ[[ BTQHQH [YHZ‚