While there is every reason to believe that business will begin to pick up in 2009, there is little doubt that the coming year will be a tough one for many small firms. With this is mind, the following top tips have been put together to help your business survive, and even propser in 2009.

1. Trim your Overheads

Make sure you are only paying for things that are essential for your business' survival. But be careful not to cut back on the things that give you a competitive edge.

2. Chase Outstanding Accounts

Be professional, but be firm with clients who are late paying. During difficult times, steady cashflow is the lifeblood of day to day business. Don't leave it too late to chase outstanding accounts - the longer an account is left unpaid, the more likely it is to remain unpaid.

3. Review your Bank

Your bank could play a vital role in getting you through the hard times. Foster a good relationship to increase your chances of success. Make sure you are getting the most from your accounts and are not paying excessive charges. If you are thinking about changing banks then always read the small print.

4. Make your money work for you

Make your money work for you by always getting a competitive rate of interest on monies held on deposit. Don't leave too much money in your current account - most banks allow you to transfer funds quickly between current and deposit accounts allowing you to earn as much interest as possible.

5. Manage your debts

If the business is falling behind on its liabilities, never ever ignore the situation. Go back to your budget and work out a plan of action. Get help if you need it, for instance there's lots of free advice available online.

6. Hoard Cash

Too many businesses fail because of a lack of cash, not profitability. Review cashflow regularly, and carefully balance any credit given to customers against your suppliers' terms. Getting the right balance between investing in the business' future and surviving can be difficult. Be extra careful when evaluating investment opportunities in a downturn.

7. Pay off Credit Cards

The interest payable on Credit Card debts is around eight times higher than you are likely to earn in the bank - so pay them off but not at the expense of your cashflow. If this cash is scarce, switch outstanding balances to a 0% deal for as long as possible and work out a repayment plan.

8. Avoid penalties and fees

Bank and credit card penalties and fees waste money. Work out a system that reminds you when bills are due, and control your cashflow. Reclaim unfair penalties - guidance is available online to help. If possible, increase your current account overdraft to a level you plan never to use. This will help buffer cashflow, and avoid paying unnecessary fees. But be disciplined. This is not an excuse to spend money you don't have.

9. Shop around

Apathy is your finance's worse enemy and your suppliers' best friend. Make sure you are getting the best value for money but don't forget to check that the product/service meets your needs - cheapest isn't always the best.

10. Have a sharp focus

Strictly speaking not a financial tip, but so important it must be included. Focus on what your business is all about, excel at it and market it. Now is the time to fight for survival.

For further information, please go to www.jfsolutions.co.uk