Challenges like this one are commonplace occurrences with businesses of all sizes. Without adequate operating capital, your ability to grow your business is limited. When this happens, you need a strategy that will either infuse your business with some quick cash or reduce your operating expenses.

Try one of these:

1. Hold a Sale. You reduce inventory while brining in some quick cash. Offer a discount or other incentive to customers who pay now.

2. Ask for Payment in Advance for Recurring Services. If you are offering web-hosting services, for example, offer one month free to customers who pay up front for 12 months hosting.

3. Lease Your Equipment. Purchasing equipment ties up large sums of money. By leasing, your money is freed up to be used for other purposes. Often it is possible to lease a variety of equipment -- including office equipment, computers, software, telecommunications equipment, vehicles and more.

4. Joint Venture with Another Business. Find a business offering services or products that are compatible with your own and offer to promote each other's business. For example, if you are selling health food products, offer to cross-promote with a business selling fitness products. You'll both enjoy increased sales.

Some business slumps are predictable. Every landscaping service expects a slump in landscaping jobs during winter months. Their usual strategy to maintain a flow of business in winter is to promote a different service such as snow removal. For most businesses, however, slumps occur without warning and for no apparent reason.

Some slumps occur when you're spending most time, money and effort on promoting business. When that happens, it's easy to panic and start replacing proven methods of promoting business with speculative ideas. This reaction is especially hazardous for a small business struggling to grow. I know a business owner who almost lost her business when she panicked and reacted to a slump in business by suddenly changing all of her proven advertising messages.

I've experienced many business slumps over years. Eventually I developed a simple procedure I can implement quickly to replace business lost during a slump. You can copy this same procedure to reverse your business slumps when they occur.

The first thing to do when a slump occurs is to accept it as part of a normal business pattern. It isn't signaling end of your business. Don't panic. But don't be complacent either. Give problem your immediate attention. Begin by taking following steps.

TRY TO IDENTIFY A CAUSE FOR THE SLUMP

Determine if you can identify something specific likely to be causing slump. For example:

** A recent change in your advertising or promotional activity.

** A direct competitor recently rolled out a huge new advertising campaign.

** A major news event had a negative impact on your industry... such as announcement of a government investigation of business practices in your industry.