​When “Good Enough” Isn’t: Preventing Financial Disasters

“If it ain’t broke, don’t fix it.”

Many business leaders are familiar with that phrase. If you have something that works, don’t tinker with it.

That’s all well and good, but we know there are situations where you can’t wait until something is broken to act on it. You don’t wait for your engine to blow before you decide to check the oil. Instead, we check the oil regularly — as well as tire pressure, alignment, and a host of other things. It’s worth our time and money to fix processes before they result in a royal pain or catastrophic failure. Being proactive saves money in the long run.

We run into many business leaders who don’t use the same logic when it comes to their finances and financial processes! Their bookkeeper handles the day-to-day and that’s been good enough for the past many years, so why change now? Unfortunately, your company may need a financial tune-up, or it runs the risk of financial disaster.

Can you afford not to know what is around the next corner?

If you can, congratulations!  One must have significant capital to be safe from uncertainty.

For the rest of us, the uncertainty in the world in which we live and do business can throw us curve-balls, create major obstacles, and at times result in catastrophe.

Uncertainty is a fact of life and cannot be eliminated, but successful business leaders take steps to reduce uncertainty and to plan for contingencies.  Most “surprises” are not total surprises and are not entirely unpredictable.  Many can be anticipated – to a point.  The secret is to plan accordingly for the possibilities – good ones, and bad ones.

High quality financial help can enable you to reduce the risk of uncertainty.  A financial partner who understands your business can work with you to model potential effects of various events and circumstances.

Don’t wait until the last minute.

Great advice from my mother, and likely yours!  Good advice for life in general often applies in business too.

Elapsed time is the enemy when solving problems.  The longer one waits to address a problem, frequently, the fewer alternatives remain and the more difficult the problem becomes.  Similarly, the more time one has to address an opportunity, the more alternatives one has from which to choose.

Good, professional, financial talent can help you to anticipate, generate, quantify, and select alternatives – alternatives to address both problems and opportunities.  The best time to upgrade your company’s financial acumen is well-before you need to address problems and opportunities.  Don’t wait until the hands of time limit your choices for you, anticipate and address issues as soon as possible with the assistance of high-caliber financial talent.

Contact us for information on how a part time CFO could be just the solution your company needs to prevent financial disasters and reduce the risk of uncertainty. Kessler Consulting’s team-based approach provides businesses with the expertise of our entire staff on a flexible and reliable basis.