Business Turnaround podcast

At the heart of every company’s success lies its profit core. Think of it as the engine that keeps your business moving forward, even in challenging times. It’s not just about where you make money, but how you make it—and how you can keep that engine running efficiently and consistently.

When a business faces challenges, cash becomes king. In fact, it’s not just a cliché—it’s reality. Cash flow isn’t just another metric to glance at once a month; it’s the lifeblood that determines how long your company can weather storms, make changes, and emerge stronger on the other side. That’s why understanding and calculating your cash runway is one of the most important steps in any turnaround.

Running a business comes with a constant balancing act: you’re always weighing costs, managing resources, and trying to keep growth on track. But what happens when the tide turns—when revenue dips, margins shrink, and cash flow becomes a trickle? That’s when the tough decisions come into play. It’s not easy, but finding where to cut isn’t about simply slashing expenses indiscriminately. It’s a disciplined, strategic process that lays the foundation for recovery and future success. 

No company is immune to trouble. Whether you’re running a blue-collar SME or managing a larger enterprise, the first sign of distress is often liquidity issues—not enough cash to cover your bills. This is the moment when decisive action is needed, and as a turnaround expert, I’ve seen firsthand how these four steps can help steady the ship.

For many business owners, the numbers side of the business feels like a foreign language. Maybe it’s overwhelming, or maybe it feels like something you’d rather leave to the accountant. But here’s the truth: understanding your financials isn’t just a nice-to-have—it’s essential, especially during a turnaround. Your profit and loss statements, balance sheet, and cash flow reports are the compass that tells you where your business stands and how to move forward.

When we talk about turning around a struggling business, it’s easy to focus on immediate fixes like cutting costs or boosting sales. But a long-term turnaround isn’t just about survival—it’s about building a business that can with-stand future challenges. And that starts with your balance sheet. Let's talk about your fortress balance sheet.

Letting employees go isn’t just a financial decision—it’s a deeply personal and emotional one. People are the heart of your company, and having to say goodbye to some of them can feel like you’re tearing apart that heart. But when your business is in survival mode, tough decisions are inevitable. The key is to approach this process with clarity, fairness, and humanity—balancing the needs of the business with respect for the people involved.

Imagine you’re in the middle of a battle, facing a fire-breathing dragon. The heat is unbearable, the flames are closing in, and all you can see is the monster in front of you. That dragon represents the immediate crisis your business is facing—whether it’s a cash flow problem, mounting debt, or plummeting sales. It’s easy to become so fixated on the monster that you lose sight of everything else around you. SWOT analysis can help you fight the dragon of business distress and come out on top.

Running a business in crisis is not just a test of strategy or execution—it’s a test of emotional resilience. The highs can be euphoric, like landing a critical deal or seeing cash flow improve. But the lows—missing payroll, dealing with tough employee decisions, or facing criticism—can feel like the weight of the world on your shoulders. Let’s talk about how to navigate the highs and lows effectively.

Raising money during a turnaround is different than raising money in a growth phase. Investors are wary, and you’ll need to prove that your business has the potential to recover and thrive. Can you raise money during a turnaround? Yes. Is it easy? No. But with the right strategy and focus, it’s absolutely possible.