Getting Your Ducks In A Row Before The Summer Break
In just a week, the first Advent calendar seal will be broken and Michael Bublé will be out of an 11-month hiatus.. The festive season is right around the corner.
After a challenging year for many, the summer months are an opportunity for business owners and teams to pause, reflect, and recharge. But for that rest to truly feel restorative, loose ends must be tidied up and plans need to be made.
Holiday Exit Strategy
- Forecasting Slower Weeks & Managing Working Capital (AFL Specialty)
- Ongoing Credit Applications To Be Completed (AFL Specialty)
- Build a Cash Reserve
- Pre-loading Payments & Payroll
- Close communication loops on holiday shutdown dates
- Scenario planning and what-ifs
Past Client Wins in December
- Opportunistic Purchase with Delayed Principle PaymentsA fire-sale in December allowed an Auckland Finance client to pick up a truck for $60k below market value. Auckland Finance provided interest-only for the first two months of the term to account for a slower month in January and delay in revenue generated from the truck at the outset (RUCs and 30 day payment terms). With the broader construction industry ramping up later in January and truck demand lifting concurrently, this was a strong time to buy a truck.
- Funding to Alleviate Tight Cashflow PositionAn existing client had a two new transport runs starting in January. Secured by existing fleet, we funded RUCs in advance and further working capital to provide breathing room for the growth that was to follow.
- Construction Project Starting Immediately in the New YearConsents came through mid-December to commence a property development. Machinery finance was applied within days to have a used telehandler on site for the start of the new year.