With so much focus on large and small businesses, those that fall somewhere in between are often left out of the conversation. This is a vast oversight, as middle market businesses make up around ⅓ of the United States’ GDP.
One such topic that often gets overlooked is how mid-sized businesses can develop a strong asset management strategy. Here are some tips to consider when developing your comprehensive asset management plan.
Embrace Data and Analytics
Data-driven solutions are key for an effective asset management strategy. Database management solutions help with tracking key metrics like maintenance costs, inventory levels and lease expiration dates. Analytics can also help with making predictions, such as what the future demand for a product will be.
Create a Business-Wide Asset Management Mindset
Not every organization is asset management-conscious, but it is crucial that every employee be trained this way. Even if an employee’s duties operate outside of assets and finances, keeping everyone informed is key to a strong business development strategy.
One way to do this is through a culture of accountability. All employees can identify ways to save money and resources, manage assets and drive continuous improvement. Something as simple as a quick training refresher on how your business’ assets are acquired, deployed and retired can have a monumental impact on how employees talk, think about and manage funds.
Understand the Legal Landscape
Misinterpreting legal documents as they pertain to your business can have a devastating impact, resulting in higher costs and lost assets. By staying updated on zoning laws, ADA compliance, building codes, lease agreement terms and more, you can strengthen your asset management strategy and keep your company out of hot water.
By partnering with the right lease abstraction team, you can navigate legal minefields with ease.
Optimize Your Lease Portfolio
Leasing equipment, real estate and other assets is common for mid-sized businesses, as it can lower upfront costs and provide more flexibility compared to purchasing. However, it does not guarantee you are getting the best terms and rates.
Review your existing leases to refine your asset management strategy. Look for opportunities to renegotiate, consolidate or terminate unfavorable lease agreements. When entering into new leases, evaluate the terms and conditions to ensure that you are getting the most value. Consider factors like lease length, renewal options, maintenance responsibilities and exit clauses.
Level Up Your Business Development Strategy with Scribcor
A comprehensive business development and asset management strategy means knowing your lease portfolio backward and forward. That’s where Scribcor excels. Whether you need help navigating complex legal jargon, adopting a data-focused mindset or unlocking new ways to save money on leases, we’re here to help.
Contact us today to take your mid-sized business to the next level.