Four ways a business owner can bounce back from a bad financial record

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The past few years did not only see many consumers end up with a bad financial record, but also many small businesses.

After the difficulty of the past few years, very few companies can say that they did not hit a financial bump in the road at least once.

For example, a small business owner who runs a profitable company might choose to help a friend to start their own venture by providing surety and then by no fault of their own, the new business may fail and the business owner might be left in a position where they have to honour the suretyship or face a judgement for bad debt.

“Before this process even begins, it is vital to have a frank discussion with the lender and disclose any relevant issues to date. If the lender finds anything untoward when they do their investigations, chances are they will simply walk away from any future engagement.” Realise that ignorance is not a defence

 

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