Part 1 of a 3 part series

Warning Signs:

• Almost fully depreciated assets.
• Depreciation as a percent of sales significantly out of line with industry averages.
• Net sales to net fixed assets significantly out of line with industry averages.

Steps to Improve: SPACE

• Buy or rent "the bricks".
• Don't build the Taj Mahal.
• Space and location: Be sure both are right for your business.
• How much space do you really need? Do your customers visit?
• Sublet or share your unused space.
• Rent: Renegotiate your lease to reduce your occupancy costs..
• Rent: Renegotiate lease terms to mesh with business costs.
• Rent: Shift to short term leases to limit exposure.
• Use mail drops; business centers.