2019 looks to be another volatile year for SMEs.
The small to medium enterprise (SME) always has a plethora of factors impacting the bottom line. Certainly, the economy heavily impacts these organizations, just like their larger counterparts, but when consumer debt rises, SMEs have tighter margins to weather past due A/R. Too, SMEs are uniquely vulnerable to digital disruptions favoring larger competitors that can afford to conduct their own version of “digital transformation.”
But what are some of the other factors impacting SMEs in 2019? How can a debt collection firm like TSI help SMEs stay ahead of the game next year?
2019 and Your Business
We had a lot to be thankful for in 2018 because a strong economy and job growth dominated. There was a softening of regulations and increased tax incentives that eased some of the tariff burdens for SMEs. While a plethora of market trends abound from a variety of sources, here are a few that we believe will have a real impact for the SME.
Vistage has some predictions for 2019 that SMEs should take note of:
- They point out the struggles of brick and mortar retail; 8,600 stores were closed in 2018. SMEs with e-commerce sites will likely fare better next year over traditional storefronts. Globally, e-commerce sites are expected to increase by 20% next year.
- Healthcare costs are rising around the world, but particularly in the United States, as the Baby Boomer population ages. As insurance premiums skyrocket, SMEs will continue to struggle with the costs associated with providing their employees this benefit.
- Technology will continue to impact all sectors, with increasing automation impacting business workflows, competition, and the job market.
Vistage’s final prediction is a particular concern for SMEs. They say, “While the global economy is stable, and the U.S. is the strongest it has been in some time, volatility has become the norm. From natural disasters to terrorism, from Brexit to high debt loads in Asia/South America, to political uncertainty in the U.S., there are many flashpoints that could upset the apple cart at any moment.”
SMEs are particularly vulnerable to these fluctuations because they have less cash on hand. Could a partnership with a debt collection firm like TSI help SMEs face an uncertain future with a stronger chance of coming out in the black at the end of 2019?
2019 and Debt Collections
SMEs have a lot to worry about in 2019. But partnering with a debt collection firm like TSI can help companies improve cash on hand and accounts receivables while freeing up internal teams to focus on key strategic revenue generating goals. We generally know that SMEs should closely watch debt levels as well as maintaining a delicate balancing act between too much and too little inventory.
TSI offers services designed specifically for the SME. Our next-generation technology, coupled with our comprehensive debt collection solutions, make our partnerships particularly effective for SMEs seeking to improve their bottom line in 2019. TSI can help SMEs:
- Maximize debt collection.
- Streamline accounts receivables management.
- Enhance customer relationships.
- Reduce administrative burdens.
TSI is your partner for 2019 revenue growth.
2019 will require new strategies for SMEs to thrive in competitive markets. Make TSI part of your New Year’s resolution to improve. Contact us today to learn more.