“Corporate Resiliency: How to Ensure Financial Health Ahead of an Economic Downturn,” The Bankruptcy Strategist

Articles / Publications

Derek Meek authored an article for the July 2020 issue of The Bankruptcy Strategist, a monthly newsletter from American Lawyer Media, discussing strategies for businesses to ensure their financial health – particularly as we face the economic downturn stemming from COVID-19.

As businesses look to weathering a crisis, a good starting point is to review the business’ annual budget and plan, and adjust that plan based on information and projections related to the crisis’ impact (e.g. drops in revenue). As part of that financial planning, “cash is king” in a crisis, so it is important to assess options to secure and conserve capital, including through expanded credit lines or budget cuts. Budget cuts could include adjusted relationships, such as renegotiating or ending contracts with vendors or reducing staff.

Finally, with these financial issues assessed to ensure resilience through the crisis, it is important to prepare a plan for transitioning out of the downturn. This includes planning for increased revenues when customer spending returns and identifying which business decisions made in response to the crisis could be beneficial in the long term.

The full article is available online here.

Burr
Jump to Page

Contact Us

About Burr & Forman Cybersecurity & Data Privacy Law

Burr & Forman's experienced team helps clients navigate the complex cybersecurity and data privacy landscape with strategies designed to assess current risks, develop a corrective action plan, implement best practices, and provide immediate and appropriate responses to a cybersecurity breach.

We use cookies to improve your website experience, provide additional security, and remember you when you return to the website. This website does not respond to "Do Not Track" signals. By clicking "Accept," you agree to our use of cookies. To learn more about how we use cookies, please see our Privacy Policy.

Necessary Cookies

Necessary cookies enable core functionality such as security, network management, and accessibility. These cookies may only be disabled by changing your browser settings, but this may affect how the website functions.


Analytical Cookies

Analytical cookies help us improve our website by collecting and reporting information on its usage. We access and process information from these cookies at an aggregate level.