b'ACCOUNTING COLUMNwill improve your ability to convert cashYouve worked hard to build your business.-Assess priorities, risks and impactsquickly, carry less inventory, maximizeThis or a similarly structured process willon your business;margins and ultimately minimize risk. help you stage it for sale and maximize the return on your investment.- ncorporate inflation into your ICash flow planning will be critical movingpricing models; andforward. Consider paying off your debtBE SELF-AWARE - as interest rates climb, starting with yourPay down debt.highest interest rate loans. Many businesses have enjoyed great returns over the past few years and areHave a rainy-day fund to ensure yourrunning on their current financials andbusiness survives a recession.SOME BLUE SKIES whats in the bank account. Theyre not scenario planning and asking questions In a recession, a prepared business mayFocus on returns. Review your be able to capture market share and growsuch as: What if input costs soar? What ifinventory, cash conversion, margin and through consolidation.sales drop? What if key employees quit? overhead, and be prepared to let go of burdensome products and services. As businesses emerge from periods ofBe proactive. Conduct an organization- Switch from a just-in-time to a just-in-economic uncertainty, there are oftenwide review with an independentcase approach to inventory.opportunities for those looking to grow orperformance improvement team. They exit through acquisitions. Those that arecan provide unbiased insights into whichFinally, always look ahead. World struggling may provide strategic mergerproducts and services provide the besteconomies are volatile. A business that opportunities at a discounted price.returns, where your prices could andanticipates and gauges challenges is more should be, and where opportunities lie. likely to overcome themandSimilarly, knowing other firms may beoutperform competitors.looking to acquire, this is a good time for those considering an exit to conduct aCONCLUSIONreadiness study to identify and inform aTake time to plan: For more information on how to prepare your business for a recession, contact Brian stepwise plan. This eliminates any valueLaveck, CPA, CA, Partner, Regional Leader, inhibitors prior to putting the business on-Review your business models withReal Estate & Construction Services for MNPthe market.senior staff; at 250-979-1731 or brian.laveck@mnp.ca.Recession-proofyour businessBuild condence and protability despite rising costs and an economic slowdown, with our help.Brian Laveck, Regional Leader, Real Estate and Construction Services250.979.1731 | brian.laveck@mnp.caMNP.caSICA CONSTRUCTION REVIEWSpring 202321'