- KredX Editorial Team
- 31 Jul 21
- Revenue Based Financing

Poor cash flow is a substantial contributor to the failure of small-scale businesses like start-ups and MSMEs in India. The situation becomes direly troublesome in the face of difficult economic scenarios and severe market competition.
Formulating a comprehensive and thoroughly analysed continuity plan along with a systematic cash flow forecast is, therefore, imperative to sustain against all odds.
Unfortunately, there is not any specific turnaround strategy or rulebook that can pave the way out of such a financial block. Every organisation needs to customise an individualised turnaround strategy per their business needs and consider the main cause of a crisis.
Having said that, there are some general rules business owners can follow to keep their business afloat amidst a severe cash crunch.
Six Essential Steps To Combat Cash Flow Crisis
-
Review Credits
-
Consider Borrowing Options Like Invoice Discounting
-
Formulate A Cash Flow Budget
-
Negotiate The Payables
-
Look For Raising Suitable Investors
-
Seek Out Options Like Revenue-based Financing