In the current economic climate, many businesses are facing extreme financial difficulty. The main thing is to try and do whatever it takes to stay in the game. Things will get better, so if your business has a future, do whatever it takes to keep trading.

This may necessitate short-term emergency finance. Generally speaking, this type of funding is best avoided. By its very nature, emergency finance is more expensive than other more constructive forms of longer term finance, so it's always best to seek expert advice in plenty of time before problems arise and become financial crises.

There is a vast array of finance options available to businesses. Your own input is vital to this process, but only with expert external advice can you make the best decision about financing your company.

Most businesses fail because they run out of cash. But there's a lot you can do to prevent cash-flow problems provided you act in plenty of time before the problems become acute.

It's crucial to communicate with creditors; they are more likely to co-operate with you if they have a thorough understanding of your unique circumstances. Remember, they usually have a vested interest in helping you survive.

A business overdraft can be an excellent and very flexible form of short-term finance for business but only if it used correctly.

Alternatively, if sales are healthy but cash-flow isn't, factoring can be a wise option. With factoring you can realise up to 90% against unpaid sales invoices.

Releasing cash from assets can also provide finance quickly - particularly if you have an up-to-date independent and professional valuation of the assets in question, such as property, plant or ong term debtors.

Unsecured business finance is another option. This type of loan doesn't call for property or capital equipment as collateral which can be ideal for business people who don't wish to use their homes to meet any loan obligation. If the business doesn't eventually work out, you shouldn't be liable to pay back anything as long as the agreement has been set up properly.

With all forms of finance, it's better to act sooner rather than later in seeking expert advice from professionals with many years' experience in raising finance for businesses.