A zombie company has just enough money to continue operating and perhaps service debt but is unable to pay off debt. That means the business is just scraping by meeting overheads such as wages and rent and interest payments but has no excess capital or income to pay off old debt or invest in growth.
Does this sound like you?
Even before Covid 19 your business may have been getting by, phone calls and letters from the ATO pressure to meet superannuation and if you could get out of this deadlock then you could have a really great business, but right now you feel that you will keep struggling forward and keep going.
And then along came Covid-19 and the government stimulus package.
The tax department took their foot off the accelerator for chasing debt and started to do the reverse handing money out through JobKeeper and cash booster, and the pressure was off. You kept your business going and with the stimulus package you have managed to keep staff and keep what is potentially a good business going.
But with the end of the stimulus package coming up, or already arrived, you may need to do something now about your zombie company.
Bring that monster back to life and join the rest of us. Your Business Angels will be able to help you find a formula to negotiate, or restructure but at least we will get your business going without the pressures of the past so that all your hard work in keeping the company going in the market you have, can stay intact and you can trade forward to a better future.
Your Business Angels can help you go from just getting by, to really going forward
The team at Your Business Angels will recommend the Your Business Angels SafeHarbour program that promotes a cultural change, planned reform in your business thatreinvigorates a company and helps the stakeholders move on a new path ofentrepreneurship. It also settles the business’s debts, creates a compliant and profitable business, and buildsor rebuilds a business to […]
Are you going back to normal? What was normal, anyway? I just Googled “COVID normal”. It’s one of those times where a modern phrase or term hasn’t been defined in a blog, website, or article to appear on a Google search. I thought it would. I couldn’t get an organisation or an individual’s definition of […]
As this blog is about a prediction for the above dates. My predictions come from my personal and business experience, as well as operating Your Business Angels through downturns and calamities other global downturns that we seemed to miss for reasons such as a mining boom and often just luck. It has been a long […]