A struggling company depends on its people more than ever, yet they are often the last to be told what is going on. Handling the team well is part of the recovery.
Communicate honestly, without alarm
Tell staff enough to be respected and trusted, without dumping every worry on them. People generally cope better with honest information than with a vacuum they fill with rumour.
Involve them in solutions
Front-line staff often see savings and improvements management misses. Inviting practical ideas both helps the business and gives the team a sense of agency in a hard time.
Look after wellbeing
Money worries — the company's and their own — weigh on people. Signposting support and keeping the atmosphere calm protects both morale and the productivity you are relying on.
A steady, well-led team is one of your biggest assets in a turnaround.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS.
See also: Managing the stress of running a struggling business, What happens to employees if a company cannot pay?, Building a recovery plan after a difficult period.