Indebtedness is still a problem that affects many companies in our country. In fact, according to a recent economic bulletin of the Bank of Spain, between 2008 and 2012 about 35 and 40% of companies have maintained or increased their indebtedness with the banking sector.
The report also includes the notable reduction of this type of financing in certain sectors such as construction, real estate activities or energy. In the first two cases they are related to a decrease in the dynamism of these branches of activity during the crisis and, in the case of the energy sector, it is rather a sharp cut in debt due to the reduction of renewable energy projects. Hence, financing and indebtedness are often related to the growth of a sector. The key is that this financing is sustained.
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And how is this possible? Well, at the time of requesting financing in the first place, it is necessary to be very clear about what we are going to use it for and if this will allow us to recover good levels of production and sales. And it is that this financing has to allow us to obtain benefits in a certain period, enough to be able to face the debt and not have to go chaining and accumulating debts and debts.
Once we have clear the purpose of our financing, we must choose the one that best suits our objective. If we often have liquidity problems because our clients are slow to pay us the bills, factoring or discounting of promissory notes will be very useful. But if what we want is liquidity to buy certain assets that allow us to increase productivity, in that case, we will need a loan for investment.
On the other hand, we can also be very useful instruments such as leasing or renting for the use and financing of certain assets, such as for example company cars.
Tips to manage debts
However, if our company has already reached excessive levels of debt, we have to act before it is too late and the solution, in this case, is not to increase financing.
The first option is obvious, to cut as much as possible in expenses to be able to face our debts. Many times, analyzing carefully the structure of our company we can be surprised with the expenses that we have that really are not essential to carry out our activity.
Two other options that have become very fashionable during the crisis are negotiation and debt consolidation. The first one is to talk to the creditors with whom we have debts to try to negotiate them. With regard to debt consolidation at https://consolidationnow.com/ , it is about combining all the debts that we have pending in a single loan.