Economic downturns and recessions are cyclical and part of doing business. CCG has some tips on how to be prepared for any business cycle, especially if you own construction equipment, transportation equipment, waste hauling equipment or manufacturing equipment. 1. Evaluate your balance sheet. When the economy tightens, many customers pay more slowly. This puts pressure on your ability to pay your bills, thus affecting your balance sheet. If you notice your accounts receivables amount growing, this is a sign of a slowdown. 2. Evaluate your cash flow Ideally your cash flow should be enough to cover to your long-term plus current maturities. 3. Build a cash cushion You can do this in two ways: 1) refinance your long-term debt to reduce monthly payments; 2) evaluate the equity in your asset-generating equipment. You can leverage the equipment equity to refinance to lower monthly payments &/or provide working capital. Keep in mind that the further we get from one recession, the closer we get to the next recession. It's not too late to brace for the impact of an economic downturn. And if you need assistance evaluating the equity in your construction equipment, transportation equipment, waste hauling equipment or manufacturing equipment, CCG is happy to help. Want to learn more about preparing for an economic downturn, read the full blog post, https://www.commercialcreditgroup.com/blog/brace-for-impact www.commercialcreditgroup.com #equipmentfinance #economicrecession #equipmentrefinance