March '19

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rv-pro.com March 2019 • RV PRO • 135 tressed inventory available from OEMs or other dealers. Larry McClain said it years ago (I can still hear his lilting Texas drawl): "If you have your inventory right and you have enough cash, you can advance your business during a downturn." Having your inventory right means having the right product at the right stocking levels with the right turns. Build Cash When You Can Having cash should be obvious, but it must be reaffirmed as a key. When you sell from fear, you make mistakes. When you have to borrow to cover debts, you're in trouble. If you don't have cash for payroll and taxes, you're toast! The best time to build cash reserves is when more cash is moving through the business. Less income necessarily makes it harder to build cash. Have More Than One Floorplan Source Meanwhile, be sure you have more than one lender for your floorplan line. During the Great Recession, many unfortunate dealers had to scramble to find another floorplan provider because their bank sud- denly decided the RV market was unlikely to support their business goals. It doesn't make sense to have only one product line. It doesn't make sense to have one floorplan lender, either. It's been 10 years since the last major downturn. While another big downturn may not be imminent, another downturn is inevitable. The best time to make deci- sions about inventory is when you aren't under pressure. Meanwhile, the best time to make the tough personnel changes is right now. It's always wise, as the coach, to deepen and strengthen the bench. If you know you can hire a better player, do it now. If you have an underachiever, cut them loose so they can work with the competition (and drag their team down instead of yours). The worst time to prepare for the inev- itable downturn is when you're staring it dead in the eyes. RV PRO Introduces Learn more & join today! network.rv-pro.com/join Questions? Call 800-870-0904 Choose your level! Select your business activities and interests. Submit! YOU'RE IN! "Why don't they do this at the manufacturer?" (#1 question we hear at RV shows across the country) Become an Authorized Applicator of the Original Lifetime NO LEAK Guarantee Roof REQUEST A DEALER PACKAGE CALL 904-814-2104 OR VISIT RVROOF.COM COSTS LESS THAN A TRADITIONAL RV ROOF SPRAYED ON • ANY STYLE RV • ANY TYPE ROOF INCREASE YOUR CUSTOMER BASE

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