4 Ways Small Business Owners Can Prepare for Success in Uncertain Times
Small business owners are juggling a lot—pricing pressures, supply-chain hiccups, and a tight labor market, to name a few. Any one of these can disrupt operations, and when one shows up, others often follow. These challenges can hit under-resourced and minority-owned businesses especially hard.
The good news: with a few proactive moves, you can steady your business now and set it up for long-term success. Here are four steps every small to mid-sized business can take.
Don’t have time to read? Here’s a snapshot:
With so much uncertainty, we want to provide small to medium-sized business owners with some tactical steps they can take to plan for future success in an uncertain market.
- Step 1: Establish a relationship with your bank and a banker to ensure you have access to the resources you need.
- Step 2: Reevaluate your vendors and see if you can reduce or adjust your current fees and rates.
- Step 3: Keep all your financial statements in order, accurate, and up-to-date so you can make sound business decisions.
- Step 4: Work with your bank to assess your true need for borrowing money – and ask them to assist you with selecting the appropriate lending product for your situation.
1. Establish a Relationship with Your Bank
A strong banking relationship pays off—especially when conditions are unpredictable. A banker who understands your cash cycle, seasonality, and growth plans can:
Recommend the right accounts, treasury tools, and fraud protection.
Help you compare lending options (term loans, lines of credit, SBA, equipment financing) and structure them well.
In addition, banks have an established network that you can use to your advantage.
Your bank can refer you to outside resources that serve a more advisory capacity to your business. For example, the Small Business and Technology Development Center in Durham, NC, is committed to providing startup and existing entrepreneurs with the information and tools needed to develop business ideas to become viable, sustainable, profitable, and successful. Other examples include the Small Business Center at Durham Tech, Infinity Bridges, and the Carolina Small Business Development Fund.
Why a community bank?
Community banks pair market knowledge with local connections—helping you protect your bottom line and find opportunities even when conditions aren’t ideal.
What to look for in a bank:
Trustworthy, dependable, and proactive support that expands your access to resources beyond standard accounts. Look for a community-focused bank that knows your market and is accessible when you need them. Treat your banker like a strategic partner, not just a service provider.
Quick win: Put a quarterly check-in on the calendar with your banker to review cash flow, seasonality, upcoming purchases, and credit needs.
2. Evaluate Your Terms (and Relationships) with Vendors
Reducing costs often starts with examining the contracts you already have. Review and renegotiate where you can; if not, compare alternatives. Check what similar vendors in your market—and increasingly online—charge for comparable services.
Don’t forget: your bank is a vendor, too.
Ask about ways to lower account fees and improve rates on new lines and loans.
Where to look for savings:
Payment processing and banking fees
Shipping/logistics surcharges and timing
SaaS licenses you don’t use or can consolidate
Insurance coverage vs. premiums
Utilities and telecom plans at renewal
Quick win: Build a simple vendor scorecard (Cost, Reliability, Terms, Service) and rebid low-scoring relationships.
3. Get Your Financial Statements in Order
Accurate, up-to-date books are essential for understanding your position now and planning for what’s next. Your financial statements should capture revenue, expenses, assets, and debts, and you should clearly document cash flow in and out of the business.
Maintain these, consistently:
Profit & Loss (monthly) to monitor margin and expense trends
Balance Sheet for cash, AR/AP aging, inventory, and debt
Cash-Flow Statement and a rolling 13-week cash-flow forecast for visibility
Quick win: Close the books within 10 business days of month-end.
4. Assess the Need for Borrowing
A strong banking relationship is even more important when financing enters the picture. There are many reasons to borrow; your banker can help you choose the right product for your situation.
Common use cases:
Equipment acquisition: consider term loans or equipment financing
Working capital: consider a line of credit to smooth timing gaps
What a good banker will do:
Work closely with you to match the loan product to the purpose, explain fees and covenants, and align payment schedules with cash flow.
Learn More About Local Resources to Help You Navigate Economic Uncertainty
With the right bank on your side, you won’t be alone. You’ll have a trusted partner to help you navigate local economic conditions and understand the impact of the larger economy on your day-to-day.
Looking for more information and resources for small to medium sized businesses? Reach out to us today if you have any questions.