Your enquiry list may be lying to you.
In the run-up to the Budget, the airwaves have been full of stories of economic gloom.
Businesses shelving big decisions. Investors losing appetite for the UK. Owners quietly relocating overseas.
I wish I could say it was all overblown.
But it echoes what we’re seeing day-to-day.
Across several sectors, the pressure is now more intense than anything we witnessed during the pandemic.
Companies are trimming headcount, revenues are softening, and trading conditions feel tight.
Project-based businesses are being hit hardest. Because they rely on a steady flow of new work to replace completed projects, even a small slowdown leaves them exposed. And right now, that slowdown isn’t small.
Take one business we work with. Their enquiry list is as long as your arm — on paper, demand looks fantastic.
But the companies they’re quoting simply won’t make decisions. Conversion rates have fallen off a cliff.
And although they’re doing everything right — speaking to the right prospects, keeping their marketing alive — they’re starting to worry about cashflow, especially with a payroll to meet.
So what should you do in conditions like these?
Even if you’re not feeling the pressure yet, you’re still vulnerable when the wider environment is this tough.
The key is to stay exceptionally close to the numbers — and even closer to early indicators that something may be shifting beneath the surface.
For example:
• Track your conversion rates.
If quotes are taking longer to turn into signed work, or fewer opportunities are landing, you’ll spot the trend early enough to take action — whether that’s adjusting pricing, refining your pipeline strategy or stepping up your business development.
• Monitor your gross margins.
Falling margins can be an early warning sign that costs are creeping up, scope is expanding, or pricing discipline is slipping — all of which can erode profitability long before you see cashflow tightening.
• Watch customer and supplier behaviour.
Are clients taking longer to pay? Are repeat customers going quiet? Are key suppliers suddenly changing terms or slowing fulfilment?
These can signal financial strain elsewhere in your ecosystem — which often hits your business next.
Exactly which metrics matter most will vary from business to business. And they may be very different today than they were even a year ago.
So even if you already monitor a dashboard of KPIs, this is a good moment to review whether you’re still tracking the right ones — the ones that will give you genuine early warning in this market.
This is exactly where Insight Associates can make a difference.
When we manage your finances through our outsourced finance department, we help you identify the metrics that matter — the ones that give you early warning if conditions start to shift.
That way, if the market turns, you’re not caught off guard. You have time to prepare, plan and protect your business.
Beyond that, we work closely with you to build a financially intelligent plan that addresses any emerging issues…
…and strengthens your business while things are still moving in the right direction — improving profitability, supporting growth and giving you real confidence in the road ahead.
Because when we partner with you, we operate with the same commitment and involvement as an in-house team.
You get clear, timely numbers. A deep, forward-looking understanding of your financial position. And support to make sharper, more financially sound decisions about your future.
If that’s the kind of relationship you want with your finance function, let’s talk. Simply email garry@insightassociates.co.uk or call us on 01279 647 447 to arrange a no-obligation consultation with me or one of our specialists.
Yours,
Garry
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