The COVID-19 pandemic has completely suspended the normal way of doing business. Stay in place orders have caused different businesses to shut down. Other companies find themselves unable to fulfill shipments due to supply chain disruptions.
Even for companies that are remaining open, business is largely on the decline as more people try to stay home to mitigate the spread of COVID-19. Needless to say, it is a time of turmoil, especially for small and midsize businesses (SMBs) that don’t have the cash reserves of larger corporations.
Despite all the uncertainty going on during this time, however, there are still things you can do to keep your business afloat.
1. Keep your customers up to date: With so much uncertainty, your customers will be wondering what changes you are making in your operations Regardless of your operating changes, many people will be understandably worried about placing an order or coming into your store due to concerns about the virus. Hence make proactive communications regarding anychanges or preventative measures you’re taking.
2. Replace unavailable services: If you are no longer able to provide your traditional services to your customers, coming up with “replacement” products could prove key to maintaining a source of revenue.
Online coaching, courses and tutorials, video series and ebooks are just a few of the digital products you could offer to keep in touch with customers and drive revenue if you are unable to sell your typical products or services.
3. Shift your focus online as possible: Even if you are already offering products and services online, now is the time to be aware of how you can minimize in-person interactions. Many companies have shifted to using Zoom and other video calling tools so meetings that were formerly held in-person can be conducted digitally.
4. Be mindful of how you manage expenses: With revenue dropping for many businesses, managing cash flow has never been more of a concern. Business owners should give increased attention to inventory and project management, re-evaluating their current options and auditing fixed and variable costs.
An analysis from Deloitte recommends, “In times of uncertainty, it’s generally a good idea to swap fixed costs for variable costs wherever you can — preserving your core business while increasing your flexibility on the fringes. Selling assets and then leasing them back is one way to raise emergency cash. You might also want to consider expanding your use of practices such as contract manufacturing, transportation fleet leasing, and third-party warehousing.”
Currently, the world is slowly getting back to normal bu while the pandemic is still in the world. We should be adjusting to this “new normal,” and get equipped to be in a stronger position once the pandemic finally subsides.