Feras Alhlou breaks down how the Silicon Valley Bank collapse affects consulting firms: your own cash could be stuck, your clients' money could be stuck, or a vendor you depend on fails. He offers a five-step response framework called the 5A: Assemble, Assess, Acknowledge, Act, and Announce.
For business founders, this may be the time you're called upon to demonstrate resourcefulness and exceptional leadership. Even with the FDIC intervention guaranteeing that all depositors will have access to their funds, we just got a big reminder that a crisis could happen at a moment's notice and that we have to be prepared. While the current SVB crisis may affect technology products more broadly, consulting companies also face 3 potential impacts in any combination. Your own company's money is tied up. Your client's money is tied up, impacting their ability to pay invoices. And a company whose product or platform you sell, implement, or support is compromised financially, putting their viability at risk. The following is the basic 5A framework that helped us make it through. Assemble. Assess. Acknowledge. Act. And announce.
