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Revitalization Partners, an international specialty management and business advisory firm headquartered in Seattle, has in a range of industries--from technology to retail to manufacturing--who usually seek out help from the company's partners with a common problem: Financial distress and stunted sales growth.
"Often corporate leaders and managers can't see the forest for the trees," said Bill Lawrence, Revitalization Partner principal. "Because of this they have a difficult time recognizing warning signs that point to immediate or future trouble. When, finally, they are no longer able to ignore issues or rely on hope to see them through, bankruptcy may seem like the only solution. With the new bankruptcy laws that are set to take effect later this month, this option, instead of helping to solve some of their problems, will likely create new headaches and may lead to the end of the company."
"In short, corporate leaders must do everything in their power to avoid bankruptcy and this means being pro-active in recognizing potential problems and having plans in place to deal with issues should they arise."
According to Lawrence, there are some simple steps that can be taken by corporate leaders and managers to reduce the risk of the financial stresses that could lead to bankruptcy:
* Forecast cash flow. Having a definitive annual cash ...