When you’re job hunting, it’s easy to get caught up in the excitement of a new opportunity focussing on a new title, the culture, the career step-up. But there’s one thing too many candidates overlook or think about, which is the financial health and stability of the company they’re about to join.
The reality is, even the best sounding role can lose its shine if the business behind it starts to wobble. So how can you tell if a company might be on shaky ground? Here are five warning signs to watch for before you sign on the dotted line.
1. Constant Restructures or Layoffs
If you notice a pattern of “restructures,” “realignments,” or “new directions,” it might be more than just strategy. Frequent layoffs often point to declining revenue or unstable leadership. A quick scan of recent company news or LinkedIn updates can be surprisingly revealing.
2. Hiring Freezes or Slow Decision-Making
When hiring suddenly stalls or start dates keep getting pushed back, it can mean cash flow is tight. If managers seem vague about budgets or approval timelines, that’s another red flag, as stable companies general move forward confidently, presenting offers within reasonable timeframes.
3. High Leadership Turnover
If senior executives, especially in finance, sales, or operations are leaving one after another, it could signal internal issues or financial strain. Leadership changes happen, but too many too fast can indicate that there could be internal problems.
4. Silence Speaks Volumes
Healthy companies love to share good news, whether its new clients, new hires or new initiatives. If their social channels or press releases have gone quiet, it might mean there’s nothing positive to promote (or no budget left to promote it).
5. Evasive or Overly Positive Answers
When you ask about the company’s goals or financial outlook, pay attention to the response. If it’s vague, defensive, or full of buzzwords but light on substance, that’s worth noting. Transparency and communication builds trust, which means if you’re not getting it now, you probably won’t later.
Do Your Due Diligence
Before saying yes to an offer, take time to research the company by looking up recent industry information, social media posts or check out online review sites such as Glassdoor, where former employees can leave a review of their personal experience working at the company.
Overall, trust your instincts, because career moves are big decisions and the right opportunity isn’t just about the job, it’s about joining a business that’s built to last. Putting a little effort into research now could save you from disappointment later down the track.