Although dazed and confused, businesses are finally starting to emerge from the light at the end of the Covid-19 tunnel, however, the world they are entering is not quite the same. Since its official declaration as a global pandemic by the World Health Organisation on March 11, 2020, small to medium-sized businesses have taken some of the hardest hits. In order to recover from the impact and be successful in the ‘new normal, businesses can implement a number of strategies to adapt:
Focus On Staff Health and Wellbeing
First and foremost, concentrate on the health and wellbeing of your staff. Your team is a part of your business; you cannot have one without the other. Like any living thing, when your staff are nurtured and healthy, they will flourish and grow – and so will your business.
Place a focus on running your business with kindness and empathy. Provide the appropriate Personal Protective Equipment (PPE) and actively ensure that the work environment is safe. Consider reviewing holiday and sick leave allowances in staff contracts and encourage a work-life balance.
If Possible, Go Online
With some lockdowns in Australia so stringent that the military was deployed to enforce the rules, online shopping and remote services became the only option for many industries. Despite the easing of these restrictions, out of convenience or trepidation, it’s conceivable that some customers may prefer to continue shopping online in the future; so it’s important to ensure your business has an online presence. In addition to this, many businesses have already ‘gone live’ as a result of the lockdowns, so it’s vital to keep up with your competition.
Prioritise Cash Flow Management
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Poor cash flow was one of the biggest killers of small and medium-sized businesses during the height of the pandemic. Despite the Government’s multiple grants and relief packages, the economy was on life support with many businesses only kept alive by JobKeeper payments. Placing a focus on cash flow management will be key to survival as the stimulus packages come to an end.
Analyse your business’s financials; identify both regular and unexpected costs and income so you can establish a budget. From there, you will be able to more accurately forecast your cash flow and make adjustments accordingly. Using invoice factoring is an excellent strategy to negate the impact of slow-paying customers and access funds in advance. To learn more about improving your cash flow with invoice factoring, contact us here today!
Summary
Despite the severity of the pandemic, there are effective strategies businesses can implement now to adapt to the ‘new normal’ of a post-Covid world. Following prolific health issues (both physical and mental) as a result of the outbreak, placing a strong focus on the health and wellbeing of staff is sure to allow your business to heal as well. In addition to this, identifying areas to keep up with competition and as revive your cash flow will ensure your business succeeds.
References
- James, R. ‘Five Tips To Prepare Your Business For A Post-COVID World’, Inside Small Business, Online, 2021, https://insidesmallbusiness.com.au/latest-news/five-tips-to-prepare-your-business-for-a-post-covid-world (Accessed 21 June 2022)
- Pilon, A. ‘10 Tips For Adjusting To A Post-COVID Business World’, Small Business Trends, Online, 2021, https://smallbiztrends.com/2021/05/post-covid-business-world-advice.html (Accessed 21 June 2022)
- International Federation of Accountants, ‘Small Business Continuity Checklist – How To Survive And Thrive Post Covid-19’, ifac.org, online, 2020, https://www.ifac.org/system/files/publications/files/Small-Business-Survive-Post-COVID-19.pdf (Accessed 21 June 2022)
- McKinsey & Company. ‘Covid-19: Where We’ve Been, Where We Are And Where We’re Going’, mckinsey.com, online, [no date], https://www.mckinsey.com/featured-insights/coronavirus-leading-through-the-crisis/covid-19-where-weve-been-where-we-are-and-where-were-going (Accessed 21 June 2022)
