Business Resolutions for 2023
*This post is from CMB partner Essex Lease. Visit them for flexible lending solutions.
2023 is here; what do you hope to accomplish for your business this year?
While the economic forecast remains bumpy, business owners have many tools for building sustainability and resiliency into their business plans. Making business resolutions for the new year is one way you can take stock of current challenges and set goals for growth.
If you’re thinking about where you want your business to go in 2023, we’ve put together some advice from the financing experts at Essex Lease on the business resolutions you should be pursuing.
Resolve to Invest in Growth
The world is constantly evolving, and businesses need to keep up. The ability to secure financing or raise working capital can be a game-changer when it comes to taking your business to the next level.
Whether that’s embracing new trends in technology, investing in equipment upgrades or diversifying products and services, business owners should be aiming for sustainable growth.
Working with a lender that considers the potential behind an investment or equipment acquisition will help you respond to changing market conditions and seize new opportunities.
Resolve to Control Cash
While investing for growth is essential, reducing unnecessary costs can be equally important. With rising interest rates, debt is likely only going to get more expensive in 2023, so getting control of existing debt is a must.
Business owners should:
- Address any credit card debt. This is usually the most expensive debt your business is carrying. If you’re paying for expenses on your credit card at 22% interest, that’s costing you, and there are more effective ways to manage your debt.
- Leverage the power of blind equity. You won’t hear this term at a traditional bank, so if you’re unsure of what we’re talking about and want to learn more, pick up the phone and call us for further details.
- Sell under-utilized equipment. Selling equipment that isn’t contributing to your bottom line is an easy step to quickly freeing up your debt obligations.
- Finance major equipment repairs. Where possible, financing major equipment repairs rather than buying new equipment at an inflated price is a smart way to save money and improve cash flow.
- Match your debt obligations to your business. Ensure that any debt obligations you do have include terms that match your business cycles, seasonality and equipment lifespan. At Essex, we have a mandate to ensure we always tailor financing to your business cycles and how you will use the equipment.
Resolve to Get the Right Financing Model in Place
The wrong financing model can cause even the most solid business to struggle. Add in considerable economic uncertainty and an unprecedented period of interest rate hikes, and your financial plan becomes even more important – it can make or break your business.
Why? A strong financing model will take the stress off your cash flow, and that gives you flexibility. You won’t be forced to take on limited contracts just to get cash in the door, you’ll have breathing room to make smarter business decisions, and you’ll be better positioned to negotiate for a higher margin.
Businesses with a tailored financing plan will be far more likely to thrive in an uncertain economy. If it’s been a long time since you took a hard look at the financing model your financial partners have created for you, it may be time to seek advice on a plan that best matches your needs.
Resolve to Get More Involved in Your Local Community
Giving back to the communities you work in is essential to building a strong business. It allows you to develop better relationships with your stakeholders, keeps you connected to your employees and community, and demonstrates your commitment to responsible business practices.
At Essex Lease Financial, our company has raised and donated over $222,000 for Kids Cancer Care and other community initiatives and local charities in just two years! Not only has it allowed us to support incredibly important causes, but it has also helped us strengthen our workplace culture and given us a fantastic opportunity to spend more time with our business partners and clients. That’s what we call a win-win!
Wherever your business is headed in 2023, opportunities and challenges are ahead. Now is the time to make a plan and put it in motion.
For more than 35 years, Essex Lease Financial has been helping business owners in Canada access working capital, finance equipment, restructure debt, and plan for growth.
We’re not a bank; we’re a personalized, flexible lending and financing partner and our approach is never one-size-fits-all. Whatever your goals for 2023 are, we’re here to listen to your needs and make a plan that works for you.
Get in touch with us today to learn more or get started.