By: Hibbah Butt, Contributing Author
Within the course of a few months, the Coronavirus outbreak has completely altered the world. The entire globe is experiencing a sudden halt in activities that is affecting individuals in every regard. While the outbreak has caused global economies to rapidly deteriorate, these times are especially detrimental for small businesses. However, with that being said, it is possible for businesses of all sizes to survive the pandemic if careful steps are taken.
To begin, it is important to acknowledge that things are just not the same as before and expecting your clients to behave just like they did before the outbreak is impractical and will lead to unnecessary stress. Understanding that things may not return to normal for a while prepares you for the worst and allows the creation of a long-term plan to help deal with the situation better.
Secondly, you will need to come up with a physical plan. Gather your team and strategize ways to work through barriers and overcome obstacles throughout these hard times. It is important to understand that the way you ran your business yesterday has no value today. You need to start fresh with a clean slate and figure out ways you can keep your business from sinking. Make sure the plan includes a new budget, predictions of cash flow, etc. An Article by Business Town offers a six-part survival plan you can use as a template for assistance:
“#1. Strategy – Develop a short one-page description of the temporary design of the business for the crisis period, with an emphasis on ensuring survival of the business.
#2. Bill Prioritization – Create a ranked list of the bills that will be paid as funds are available.
#3. New Budget – Create a new monthly budget for the crisis period.
#4. Projected Income Statements – Create projected profit and loss statements for each month of the crisis period.
#5. Projected Balance Sheets – Create projected balance sheets for each month of the crisis period.
#6. Projected Cash Flow – Create projected cash flow for each month of the crisis period.” (2020)
Finally, clear, transparent and ongoing communication with your customers is essential. Let them know that you have them in mind and are working hard to cater to their needs. Inform them of ways the business will operate differently and how that may affect them. It is essential that your clients understand that you are taking the necessary steps to ensure their safety and health.
“Small Business Survival Plan for COVID-19 – BusinessTown.” Business Town, 3 Apr. 2020, businesstown.com/small-business-survival-plan-covid-19/.