GOERING CENTER NEWS Business Leaders are contending with a host of challenges in today’s dynamic economic environment. The labor market remains tight. Interest rates are staying high longer than many anticipated. Fast evolving tehcnologies are changing customer and employee expectations and putting pressure on companies to innovate quickly. Maintaining a focus on growth and profitability requires juggling numerous responsibilities and making wise decisions. Based on first-hand experience working with decision makers across industries, Commerce Bank reccomends five strategies for setting up a business for long-term financial success. Start with a Talent Strategy Long-term business success begins with having the right people on your team. A strong talent strategy goes beyond filling positions; it structures the business to allow human capital to focus on innovation and strategic thinking, not mundane tasks. Automating manual processes usch as writing checks and accepting payments, a business can free up employee time to work on the type of analysis that can drive the business forward. Cultivate a Growth Mindset The next key to long-term business success is to focus on growth. Throughout the year, business leaders should maintain a pulse on what they are experiencing, review their key metrics, and find ways to help ease any pain points as their businesses expand. Businesses should also continuously seek differentiators that set them apart from their competition and invest in innovation. Without this growth mindset, businesses can become stagnant and hinder future growth. 5 Financial Strategies to Help Businesses Acheive Long-Term Success Get Serious About Managing Cash Flow Understanding your business’s cash conversion cycle is critical — from the moment a client places an order to when the company receives payment. Automating these processes can help reduce manual tasks, improve operational efficiency, and provide clearer visibility into cash flow, ultimately freeing up capital for more effective operations. Strengthen Fraud Mitigation Measures In the digital age, the threat of fraud looms large over businesses. Businesses are far from immune, with fraudsters impersonating banks, government offices and other legitimate companies to trick employees into giving up sensitive information or incorrectly issuing payments. Business should implement fraud mitigation tools such as digital payments, enhanced security on check payments, PCI compliance and accounting automation. Make Succession Planning a Priority Business owners often overlook succession planning, including plans for a smooth transfer of wealth and changes in company management. Working with trusted advisors ensures a robust estate plan is in place. Business owners can further enhance their succession plans by creating an advisory board for the business. For individual owners, especially those with family involved, deciding who can best run the company can be challenging. An advisory board can help mentor business owners, and this can be beneficial for companies of any size. Terri Williams, Senior Treasury Management Officer, Commerce Bank 6