SMEs must wake up and smell the coffee of impending financial distress
Research by Opus and the financial health monitoring specialists, Company Watch has revealed that over two thirds of business rescues attempted via the UK’s premier business rescue tool Administration fail. Our Business Risk Adviser, Nick Hood writes in Real Business on the need for business owners to recognise their financial problems and get specialist help early.
“The Opus & Company Watch research should prompt suppliers to get involved and to try to be supportive as soon as they pick up problems. Otherwise the outcome will a bad debt and a lost revenue stream. Those who run troubled businesses must get specialist help early, while there is still something to save.
After over twenty years’ experience of trying to save businesses, it’s clear that every month of extra rescue time is vital. It would be good to think that with concerted early action, the success rate for rescues might rise to 50 per cent or maybe even more.”