Cashflow key to saving BlackBerry from near-death
A BlackBerry was once considered among the prized possessions of any serious business person. There were no alternatives. It led the way connecting us through arguably the first form of communication that never slept – email, in a device that never left our side – the mobile phone.
Now many generations of smart phones have passed. The online world is always connected via a variety of platforms from social media to sharing files in the cloud. BlackBerry was overtaken and left to stare death in the face.
And then there was a vision.
The strength of BlackBerry was not as a manufacturer of smart phones. It was a specialist provider of enterprise grade software. In November 2013 then new CEO John Chen had the task of executing this vision while knocking on death’s door.
Cashflow was the answer to buy enough time. BlackBerry pulled on its Cash Levers.
- Reduce payroll by ruthlessly culling senior management
- Shut down loss making manufacturing parts of the business and turn to outsourcing
- Sell the ‘non-core’ assets held in real estate
The market responded to this new war chest of cash with a 40% increase in the share price. Time will now tell if enough has been done for BlackBerry to survive.
At AddCash we recognise that Cashflow is vitally important. We’ve put together a list of BIG Business Cash Levers that you can pull on to inject cash into your business if facing a crisis. Contact us to find out more about these and our fast business finance solutions.