There is no doubt that the pandemic has had an economic impact on most small businesses. A lack of capital and cash flow remains one of the top challenges. Complicating matters more is that because most small businesses are broadly experiencing difficult times during COVID, this has equated to late payments or even non-payment for goods and services rendered. However, when looking at the bigger long-term picture, planning is imperative for a rebound.
10 Tips to Help Small Businesses Rebound
- Seek mentorship or connect with like-minded business owners for support and information. For example, to learn more about bolder decision-making with financial management.
- Keep a close eye on government announcements. There may be new grants or financial support you could be eligible for.
- Be organised and stay up-to-date with your finances so that as the economy improves, you are ready to seize the day.
- Set realistic, manageable goals and targets and stay focused on your purpose.
- Diversify and try to discover new markets to serve.
- Show resilience and adaptability towards change and challenges. Keep positive and look for unique opportunities.
- Continue to nurture your customer relationships and seek mutually beneficial outcomes.
- Review your suppliers to ensure efficiency and minimal operational disruption.
- Use targeted social media advertising. For example, Facebook offers look-alike audience targeting and is relatively low in cost.
- Most importantly, look at ways to improve your cash flow. For example, sending your invoices immediately for payment, incentives for early payments, accessing tax assistance such as the instant asset write-off, enquiring about non-traditional finance options such as invoice factoring which involves cash advances on pending sales invoices rather than acquiring lines of credit.
These tips can help you strengthen your chances of achieving long-term sustainability. Below we have provided some useful business support links.
Nova Cash Flow Finance offers a reputable recourse factoring facility and is committed to the growth of small and mid-sized businesses. If you have questions reach out to us for an obligation-free chat.