What To Do When A Slow Month Hits Your Business During An Expansion Period

Expanding a business is a lot different to starting one. Of course, you’ve done most of the hard work already – you’ve got a well established company and a sound reputation to show for it. But now comes a period of growth, and that can be a case of two steps forward, one step back. 

Never will that be more true than when it comes to today’s topic: hitting a slow month. Every business goes through a few during the average year, but they can vary depending on many market factors. Because of that, they can be hard to predict and strike when you least expect it. 

So, when a slow month hits right in the middle of an expansion period, your capital can quickly dry up and your cash flow will veer towards the red faster than you’ve ever seen it before. At a time like this, you need to act fast. Here’s what to do.

Target Existing Customers

You’ve already got a healthy customer base. Leverage them at a time like this to gain repeat custom. You can entice them back in with exclusive discounts, or set up a referral program that’s exciting enough for them to recommend you to their friends and family. 

For example, they could receive a free product or high value coupon if someone enters the code you sent them at the checkout. 

You can also use your existing customers as a free form of marketing. Look into user generated content at a time like this and prioritize encouraging and sharing it. 

You’ll want good reviews most of all, but these aren’t the only content type worth investing in right now. Once again, you will want to look into offering a small incentive here to appeal to your customers; convincing them to leave a review when they haven’t already will need a bit of muscle. 

You should also start tracking a hashtag your customers commonly use on social media and start engaging with the content they put out that’s directed at you. 

Look into Flexible Loans

Flexible loans tend to be short term, with a variable payment schedule that can be quite rapid and demanding. However, they’re also one of the best ways to access some cash within the hour. 

That could ensure you have the funds you need to cover this months’ company expenses, on top of keeping the grind going to fulfil your expansion dreams. 

Indeed, taking out an Unsecured Working Capital loan is a fix for a problem like this. Before you do, however, be sure you look into the fine print before signing on the dotted line. With a loan like this, you get the cash you need without having to put your assets at risk. 

You still need to be assured that your cash flow is strong enough to keep the payments going back, but that’s something to work out with your accountant. 

If a slow month hits at exactly the wrong time, follow these tips.

This is a contributed post.