If you’re a business owner, you should be prepared to face a lot of risks and challenges. Businesses are battling the adverse effects of COVID-19 — from decrease in sales to lesser manpower. At times like these, you should still find ways on how to drive growth for your company; one of which is through unlocking liquidity.

There are several ways where you can amplify your business’ liquidity — or its ability to settle current liabilities through cash or their current assets (e.g. Cash equivalents, accounts receivable, marketable securities) — from applying for business loans to trying out third-party trading platforms like Nth Round (who, by the way, offers free tools for business owners and investors).

In this article, we’re discussing why boosting your business’ liquidity during a crucial time (i.e. Facing COVID-19 pandemic) can help you cope.

Getting A Good Grasp Of Your Business’ Financial Health

It is inevitable for businesses to take a hit when a pandemic strikes. After all, the consumers are prompted to reassess their financial situation and focus their resources on what is essential.

If you’re a business that wants to survive the pandemic by unlocking liquidity, you have to do this first: Get a clear picture of your company’s financial health. How much are your current liabilities? Do you have enough cash or current assets to be able to pay off debts during and after the pandemic? How are your sales numbers? What’s your projected cash flow for the next few months?

By answering these questions, you can determine how much you have — or lack — and how much you’d need in order to sustain your business and better, help it further grow.

Ways Of Boosting Your Business’ Liquidity

If there’s a fundamental skill a business owner should have, it is knowing the gripes of unlocking liquidity. While the world is facing a pandemic, here’s how you can keep your business going — and thriving:

Increase your sales. This is actually one of the simplest ways of increasing your liquidity — because once you increase your sales, you are also increasing the amount of cash flowing into your business. Come up with a marketing plan that can boost your sales and convince consumers that the products or services you provide are needed especially during the pandemic.

Apply for a business loan. In the U.S., small business owners can apply for low-interest loans that can help them finance their expenses — from payroll, rent, mortgage interest, to utility payments.

Try digital securities. Compared with the traditional securities market, their digital counterparts are traded in online platforms like Nth Round in a more efficient manner. By checking out the free tools offered by these platforms, you can boost your liquidity by having wider investment opportunities and incurring lower trading costs.

Refinance your debt. Liquidity, as mentioned, is about current liabilities. One trick you can do to boost your liquidity is to refinance your debt and turn it into a long-term one.

At Nth Round, we offer powerful solutions and free tools to help you in unlocking liquidity. Visit our website today and learn more about what we can offer you.