Resilience planning improves long-term outcomes by filling gaps left by risk management and continuity planning, yet is often overlooked by small businesses.
January 4, 2024, Houston, Texas—Leading invoice funding company Charter Capital says millions of small businesses across the country may be exposing themselves to unnecessary risks by failing to perform resilience planning and audits. Additional coverage of the topic can be found in “4 Key Areas Your Resilient Business Model Must Address,” now live on charcap.com.
While many businesses are actively engaged in risk management and continuity planning, especially in light of recent economic shifts, Gregory Brown, Co-founder and Executive Manager at Charter Capital, says these activities can still leave gaps. Resilience planning fills them to ensure the business remains agile and can give companies a significant competitive advantage.
A resilient business model includes risk management strategies, Brown explains. However, it delves deeper than mitigation and empowers businesses to find the upside in challenging situations. It also incorporates aspects of business continuity planning but is more concerned with how the business will operate in multiple potential futures rather than restoring normal operations after an incident.
Those hoping to develop a more resilient business model should address critical areas such as revenue stability, operational strength, organizational preparedness, and digital transformation. Regular audits are also crucial, as they allow the business to identify and fortify areas that might otherwise create issues or slow business growth.
“Business resilience may seem intangible, but it can and should be measured,” Brown contends. “Financial stability is a strong ongoing indicator, while recovery time after an incident can provide insights, too.”
He says that businesses with a small number of revenue streams are more vulnerable to shifts. However, simple strategies, such as developing subscription-based options or adding new products and services, help ensure the business remains strong even if something disrupts the primary revenue stream.
“Being prepared with a source of funding like invoice factoring is essential, too,” Brown adds. “Because you can leverage it on demand, it’s ideal for bridging cash flow gaps, navigating slumps, and addressing emergencies.”
Those interested in learning more about invoice factoring or who would like to request a complimentary quote may do so by calling 1-877-960-1818 or visiting charcap.com.
About Charter Capital
Headquartered in Houston, Texas, Charter Capital has been a leading provider of flexible funding solutions for the B2B sector for more than 20 years. Competitive rates, a fast approval process, and same-day funding help businesses across various industries secure the working capital necessary to manage daily needs and grow. To learn more, visit charcap.com or call 1-877-960-1818.