You may have noticed the dollar you spend doesn’t purchase as much as it used to. At the same time, you might’ve noticed the cost of operating your small business is rising.
You’re not alone – many small businesses face the challenges of record high inflation.
In this article, learn how inflation impacts businesses and what you can do to strategically pivot to steadily grow your business, gain a competitive edge, and secure your liquidity with equipment financing.
In this article…
- How inflation impact businesses
- How growing your business is achievable during high inflation
- Avoiding a liquidity crunch
- Key Takeaways
How Inflation Impacts Businesses
Inflation is a time where cost of supplies, equipment, and services become more expensive. It occurs when there’s a high consumer demand, lack of supplies, and a large amount of cash in the economy.
As inflation rises, more expensive goods and services puts a tighter strain on businesses to operate, purchase supplies, and pay employees. As inflation rises, the value of the dollar diminishes and businesses begin to lose their purchasing power, ultimately making it harder to save cash and keep profits.
If a small business can’t keep enough cash resources to stay liquid, it puts your small business at significant risk of failing.
How Growing Your Business Is Achievable During High Inflation
As costs across the board continue to rise, conserving your cash reserves is vital for keeping your doors open. At the same time, growing your business is important.
How Do You Get Equipment When Prices Are Rising?
If your business is in growth mode and you’re in the market for buying equipment – tow trucks, boom trucks, septic pumper trucks, or decorated apparel equipment – it might be harder to get what you need while keeping your cash.
By leveraging equipment financing, you can get the equipment your business needs while conserving your cash.
Go a step further and get pre-approved for equipment financing and get equipment when you need it. Save time and expand your businesses with an affordable payment plan that suits your business goals.
Still worried about your chances? Talk with an equipment financing expert today and see which option is right for you.
Avoiding a Liquidity Crunch
Here are some options your business has for keeping your cash.
Inject cash into your business by unlocking the value of your equipment’s equity through a sale-leaseback.
It’s as simple as leveraging equipment already in your business. Sell your equipment to Beacon Funding and allow us to lease it back to you over an agreed period. This allows you to free up cash for ongoing operational expenses.
Working Capital Loan
Leverage financial lenders who are willing to pump additional cash into your businesses within a day!
Partnering with us will allow you to get approved for the funds within 24 hours and receive funds in your account the same day you apply.
- U.S. inflation is at a 40-year-record high.
- Operational costs of small businesses continue to rise. In a short amount of time, gasoline prices spiked while cost of labor jumped moderately.
- Keeping cash reserves is vital to business health, besting competition, and future expansion.
- Equipment financing can help you conserve cash. The right financing option makes it easier to spread cost of needed equipment with low monthly payments.