Realistically speaking, the COVID-19 breakout almost shut down almost all industries worldwide. And sadly, its effects on the economy are still pretty apparent two years later.
The global pandemic has hit several countries right by the chest, causing their economies to fall apart one by one. But if there’s one thing to be thankful for is the existence of the internet. It allowed people to stay connected, work at home, and communicate with colleagues.
While other businesses have greatly suffered, including travel and entertainment, many small businesses took advantage of the internet and used it as the main platform to reach their target market.
Here are some strategies to keep your business thriving despite a pandemic.
Control your cash flow.
Whether you like it or not, cash is the king of all businesses. For enterprises like hotels, restaurants, cafes, and bars, it’s more common to receive physical cash than online payments. Keep track of your expenses and receivables. From there, determine if your business can survive in the next three months. If records show that you don’t have enough funds for the next 90 days, it’s time to generate extra income somewhere else to make up for the lack of funds.
Inform your suppliers if you need to pay installments.
During times of crisis, paying your suppliers in straight cash can be challenging. If you’re having a hard time making both ends meet and keeping your business functional, ask your suppliers if it’s possible to make partial payments. Be honest, and don’t leave them clueless in the dark. Most entrepreneurs understand that this is a challenging situation, and helping each other is the best way to survive together.
Assess your staff.
It is indeed heartbreaking to lay off a few of your people. Because no matter how we look at it, people need jobs, and your employees need their income to survive. Laying off people is one of the most challenging decisions you ever have to make as a business owner.
However, you need to think of the bigger picture and prioritize what’s best for your company. If some of your employee’s tasks are repetitive or can be replaced by a machine, talk to them nicely and explain why you need to make such a decision.
Create a survival plan.
A business plan is different from a survival plan. You need to create a plan to ensure that your business can overcome all the obstacles brought by the pandemic. Make sure to involve your employees in the plans you create and ask for their inputs.
It would also be wiser to consider fraud detection solutions to protect your company from scams and online criminals. Sometimes, all it takes is the occurrence of one security breach for a business to shut down. Don’t let this happen to you.
Understand your customer’s needs.
Starting a business isn’t just about selling. It’s also about selling what your target customer needs. At the same time, you have to understand that consumers require more than what they purchase from you. For instance, providing excellent customer service is a great way to retain your loyal consumers and attract new ones.
Establish revenue solutions.
One of the common causes of business failure is wasting money on things you don’t even need. You may be an enterprise, but it’s crucial to save funds as much as possible, ensuring that you’re not wasting money.
How are you going to do this? By coming up with solutions where you can offer your services to customers without spending too much money. Let’s use restaurants as an example. They can avoid wasting money by taking online reservations and asking their customers for the meals they want to order. By doing so, they’ll know exactly what ingredients to buy for a specific date as orders were taken beforehand.
Reassess your current services and make improvements.
There is always room for improvement. And businesses should always look for new ways to offer better services to their customers. However, re-inventing your employment requirements and your entire business need thorough discussion, especially if the changes are significant.
Pay off your loans.
Business loans are not uncommon. And if you have one, it’s essential to manage your loans properly to ensure that interests don’t go high. If your business isn’t in its best shape as of the moment, making it hard for you to pay off your monthly bills, talk to your loan provider. As if they give you an extension where you can pay a lower amount every month. Loan companies often consider these situations, especially if the borrower has a good loan history.
Keep in mind that business problems do happen. And when they do, it’s crucial to have a contingency plan. Always consider what’s best for your company, and don’t let personal feelings get in the way of your decisions.
