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The pressures of managing a business in our present precarious financial climate is stressful. Managing payroll, sorting out rent of closed offices, and protecting your financial future can be daunting. It can be easy to be rushed into hasty decisions. Quarantine and city shutdowns have put many small businesses so deep in the red they have had to close. But that doesn’t mean it’s time to give up. You may have to close your doors because of debt, or maybe, you’ve been edged out of the new market. But with things as they are, now is not the time to do the work. There is money hiding throughout your old business if you know where to look. So before you make hasty decisions here’s a few ways you can make strategic moves to recoup some cash before your business closure.

A good rule of thumb is to use your time wisely. It can be easy to just declare a fire sale and give everything away. But just because your business is closing does not mean that you are without options. Now, more than ever, is a time to put on your business owner hat and make strategic financial decisions for your employees, your organization, and yourself. The skills to negotiate, get a fair market value price, and solve problems are all skills you can still use…even if you may feel like you’re up against the wall. So once you’ve decided it’s time to close your doors, start to look at the price tag for everything so you can get a good price.

1.Debts

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As a small business, you can end up with large debts because you don’t have the bandwidth to go after some clients, customers, or former vendors. But if someone owes you a debt you have to consider your bottom line. In these crazy times, you may be more likely to see things from another person’s perspective. But you’ve also reached the point where you’ve had to close your business. Now is the time to go after those outstanding debts. If you can’t get them on your own you may want to consider a collection agency. If someone owes you outstanding payments that are in the 90 to 120 day past the due mark, it might be time to tap a collection agency. Many of these agencies work on a contingency basis, so they’re paid from the funds they collect, and motivated to get the highest price to retain their commission. You can also consider negotiating the debt directly with your debtees to see what amount of cash you can get upfront. This will help you settle your own debts. Also, don’t forget you can count some of these debts as business losses at tax time.

2. Your Office Equipment

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Everything in your business has value. It’s worth considering ways you can get money back for everything you put in. Sure, you may not turn a profit but things do not lose their value because your offices have closed. You can find ways to get the best price for your office equipment and furniture. If you have a large amount of office space that you need to close out you may want to consider a company like Equipnet that sells office furniture from desk chairs to cubicles. If you have a bit more time on your hands you can also consider selling them in your local market on apps like LetGo or OfferUp. This may seem time intensive but time is money. If you plan strategically you can spend your final few weeks or last month liquidating everything and this extra effort could mean a larger percentage that you recoup from your initial investment. Also, when in doubt Craigslist is still an option. While these are crazy times, there are still people building businesses and expanding their organizations. Plus, it’s highly likely that given our need to keep safe distances that cubicles may become a part of our new normal in non-traditional ways.

3. Your Technology

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Computers, copiers, and even printers are often some of your largest investments. And there are other valuable tech equipment like a square or cash register lying around. But if you are not using it, it can be sold to someone else. You’ll want to ensure they get scrubbed of any personal, business, and financial information. You can even offer them to employees at a discount. Or, you can utilize a company like Talented Technologies which can give you an estimate for the market value of your old tech and get you the fairest price. You can also consider trading in to upgrade your own device or to downsize because it may still be valuable to retain some element of your business while shutting down your factory, office, or premises.

4. Old Inventory

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One key element to remember is that your debt does not depreciate the value of your assets. It just may increase the urgency you have to sell or give someone buying it a bit of leverage. So now is the best time to be smart, strategic, and skillful in how you sell your old inventory. You can consider selling it to old competitors, offer it as a sale on your website or to your clients, or you can research who may be in the market for old inventory. Also, depending on what you are selling you may still be able to manage a severely downsized version of your business. You may still be able to honor old orders with a severely reduced staff. You also may be able to partner with another small business to burn through some of your old inventory which may help you retain the value of your brand or IP.

5. Your Contacts, Prospects & Email List

You have done the work. You have built up a client list and a group of people who like and support your business. This doesn’t mean you should just stop talking to them. This list of clients and potential clients is valuable. You don’t just want to shred this list and be done with it. There also may be some value in finding a way to transition this list to a competitor, similar business, or future venture of your own. How you handle this list can affect your future in business so you may not want to just sell this email list outright. But you can find a potential buyer or a way to use this list to help you with your goals. They may even be the clients for everything on this list. We are all struggling through the present social and economic crisis. So you never know how your client base may come to your rescue.

6. Your URL

This can be easy to write off as one more thing to cancel and manage. But your URL does have equity. It’s built up a reputation on the Internet. It’s not something you just want to toss out and deactivate. While the management and maintenance of your website is something you may no longer be in the market for you may be able to turn your old URL into a chunk of change. Before you click cancel pursue your options for both retaining and the market for selling your URL. You want to make sure you don’t toss out any money. Remember, that while your business is closing now is the time to double up your workload. You can rest when all of the pieces of your business have found a new home.

7. Your Idea/IP

Finally, it’s worth considering what elements of your business can potentially be sold. You may be able to sell the sum of your business to a competitor or someone looking to enter into the market. Someone in a similar industry may be able to take your client list, old inventory, and even your debt and turn it into another vertical for their business. So while it may feel like debt collectors are nipping at your heels you may find a way to salvage the best parts of your business and only find them a new home. This also may be able to spare you the mental anguish of letting go of some employees or letting your business completely dissolve.

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These are just a few of the valuable things that can get lost in the kerfuffle to pay off debt and stop hemorrhaging money. But remember, while you cannot control the market, society, or our future you can control your reaction. So with the same cool head, understanding of the market, and creative mind that took you into business you can turn some of your dead weight into a windfall that spares you debt, headache and heartache. After all, you were able to grow your business, there’s no reason to not give it the proper sendoff it deserves.

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Successful startups are about ideas. Sinking or swimming usually has nothing to do with an office full of fancy new equipment. And, since one of the biggest hurdles startups face is raising cash, you’d better be sure whatever cash you have to play with is spent wisely.

And, when you consider that e-waste is responsible for 70% of America’s toxic waste—using pre-owned tech is a terrific way to economize while doing something good for the environment.

If you’re super-conservative with the money you want to spend when launching your startup, you’re in good company. These are a few companies that started with a few bucks, and some rudimentary equipment:

• Hewlett Packard: $538 and a used drill press.
• Starbucks: $4,050 and a cup of coffee.
• Subway: $1,000 and an idea for a custom-made sub chain.
• Apple: $1,500 and a couple of clever tinkerers

When it comes to pre-owned tech, here on some tips on getting the best bang for your buck:

Used vs. refurbished

What’s the difference?

Pre-owned/used goods are products that someone has used and then sold.

Refurbished tech has been returned to the store or manufacturer. The items may be unwanted for whatever reason, sometimes having nothing to do with functionality.

Prior to resale, a refurbished item is checked by the retailer or manufacturer for functionality, and minor fixes or adjustments may be made. It may get new packaging or a new battery.

Refurbished electronics are the best of both worlds. The cost is lower than retail, and, if you know how to shop wisely, the risks are lower than purchasing used equipment.

Where to buy

Buying pre-owned electronics is a bit like shopping for a secondhand car: You should stick to a certified dealer.

And where can you find these certified dealers?

In our book, Apple is number one. They actually have their own online store which promises Guaranteed Apple quality on “like-new” products which are backed by a one-year warranty and the Apple Certified Refurbished promise.

For refurbished PCs, PCMag has its own reputable shop. Many of the featured PCs are a few years old and have seen some use, but they are heavily discounted and offer a lot of value. According to their site, every system in the list features an SSD with Windows 10 Pro pre-installed. These systems also come bundled with a keyboard and mouse. Each system will also support Wi-Fi via either a built-in wireless NIC or a bundled USB Wi-Fi adapter. Most systems also feature 16GB of RAM, and all of these computers come with a full one-year warranty, which means you can rest assured you are covered should anything go wrong.

If you have difficulty finding the products your business needs, try Refurb Tracker, a service that alerts you when a product you’re searching for becomes available. Refurb.me is another good locator tool.

Make sure your method of payment ensures protection

Why does this matter?

Should you find that you want your money refunded, take care with which purchase method you choose. Get out your magnifying glass and read the fine print on your credit card statement–many—including Amex and Visa Signature—don’t offer their typical purchase protection on used goods. Which means you may be out of luck chasing any kind of a refund.

The smarter choice may be PayPal on these purchases. Paypal policy is actually quite generous, as it provides a 180-day window for refund claims on defective items.

If you do choose used vs. refurbished, we recommend Swappa. With five Trustpilot stars, Swappa has an awesome reputation as a friendly community marketplace with the best prices and highest value. You can find gently used technology, including smartphones, cameras, tablets, laptops, electronics, and more.

Other money-saving tips:

Buy recycled printer cartridges and pay it forward

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Check Google for a local recycled printer cartridge supplier. Or if you want to mix your charitable instincts with your printing needs, visit www.lasermonks.com , a remanufactured printing supply company run by a group of monks in Wisconsin who, after business expenses are paid, donate their profits.

Get free software. Visit Download.com to try hundreds of free-to-try legal downloads. According to their site, they are a trusted, safe, and secure resource for software and mobile applications. With everything from PC starter kits to games, security patches, screensavers, and mobile apps, you can play with more than 150,000 free downloads. Features such as most-popular lists, editorial reviews, blogs, and how-to articles will help you find the software that is right for you.

Another tip: If you’re unable to find what you are looking for on sites like download.com, check out the manufacturer’s site. Many will offer free trial downloads.

One final note to consider, and that is:

Service and support

One of the reasons we like Apple for refurbished tech is because most Apple hardware comes with a one-year limited warranty and up to 90 days of complimentary technical support. You can get an expert on the phone right away, resolving most issues in a single call.

The legend of startups like Starbucks and Subway are exciting because a dollar and a dream (and a really good concept) can go a long way. And remember, the lessons you learn now in frugality lead to lifelong values of reducing and reusing consumption of electronics. Economizing–keeping your business in the black–will be the make-it or break-it factor for any successful business endeavor.

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Between Covid-19 closing down cities, property damage and the shift in the market, many small businesses have taken a hit. Many companies are seeking bailout money that may never come. Some businesses have had to close their doors due to debt, bankruptcy, or their uncertain future. But, before you close your doors for good there’s still ways to recoup some of your financial investment. And in a time when cash is king, your company’s old tech can be a treasure trove to help you bounce back.

Sadly, in our current climate, technology can be like a new car. It starts depreciating in value once you drive it off the lot. Or in this case, take your drive out of the box. When you factor in the pressure of newer, better, faster it can be easy to forget the intrinsic value of our technology. We can get so bogged down in our personal bottom line we forget the market at large. There is a market for someone who may need a server upgrade, copier, or some of your other office equipment and they are also a bit cash-strapped. Just because your equipment may not be worth the sticker price anymore does not mean you should ignore the potential financial benefits. Re-selling your office equipment and supplies can help you pay off outstanding debts, eliminate financial pressure, and clear some space.

It can be sad to think of your company as a liquidation sale. So… don’t think of it that way. Put on your accounting hat and figure out how best to get back in black. Managing a business can be like riding a wave. You cannot control the market, your customers, or the industry you are in. All you can control is your reaction. Sometimes, you grow quickly and sometimes you have to reign in some of that expansion. So look at your business objectively. By shifting a few things around and offloading excess you can give your business a shot in the arm or at least preserve your financial future.

Step 1: Take Stock

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Closing a business can be overwhelming and traumatic. But those feelings aren’t something you can do anything about. Channel them in doing the best you can for your future and your former employees. Take stock of all of the items of value, unsold inventory, and the other assets of your business. This can help you create a strategy for eliminating items and in getting the best price. The more clarity and care you give to this process the more effectively you can get the best price. You can also locate any licensing, warranty, and vital information about your equipment for the next owner.

Sell, Sell, Sell

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The idea of selling the pieces of your business can seem daunting or even depressing. But capitalize on the one resource you now have…time. Now that your workload may have dropped you can focus that energy to research, listing, and actively selling your old assets. Remember that your time is valuable, every time you try to dodge doing the work. Getting the most from your old computers, appliances, and even office supplies can be the most important business decision you make. It sets the tone for the next phase in your life and can help you eliminate debt. Investigate your options. Companies like Talented Technologies can purchase your servers, drives, and other technological equipment. You can also investigate selling them on your own. Remember, you’re still in charge.

Take it to the Taxes
Big ticket items like servers, copy machines, and other expensive tech equipment can be filed as an expense or claimed as an asset in your business taxes. If you claimed them as an asset, you can write off their depreciation each year. So, if you were to sell your existing technology equipment you may be able to break even because you included the depreciation in your taxes. By ascertaining the fair market value of items, not only can you properly write off the depreciation, you can also be sure you recoup the remaining amount by selling them at a fair price. You can also investigate the tax benefits if you end up donating any equipment. Closing your business will have tax ramifications so make sure you deal with them strategically rather than just learning on April 15th.

Closing your business can be a tough pill to swallow. But only you can decide if it’s medicinal or poisonous. With proper planning and strategy you could potentially downsize your operation or save your business. Or you can recoup a lot of costs, investments and potentially break even. The challenge is to do the research, work, and never forget the value of a dollar, your skills, and your time.