If your business is struggling to stay afloat but you don’t want to declare bankruptcy, start by staying on top of your taxes, even if it means tightening finances in other areas. If you don’t, the penalties will add up and you could soon find yourself in even worse shape. Shop around for short-term loans with favorable rates to help you ride out the storm, and look around for expendable assets that you can sell to raise extra cash. If you have employees, consider cutting salaries anywhere from 5 percent to 10 percent, and stop paying yourself until the business begins to rebound. Some final options include approaching wealthy relatives (if you have them) for a 0 percent loan, and seeking out angel investors.
For more on bankruptcy, be sure to read What Debts Are Discharged by Bankruptcy?