Respond to COVID-19 As A Small Business – The Novel Coronavirus COVID-19 pandemic as well as accompanying global economic crises have forced small businesses to shut down their operations. The last couple of weeks have been filled with more anxiety and stress for small businesses and also they have questions about the future as the nation responds to Coronavirus pandemic. Postponements, mass event cancellations, school closing, and social distancing have significantly challenged the small businesses across the nation and in between this it is imperative to know How Small Businesses Should Respond to COVID-19 Virus. Small business customers, clients, and employees are looking to the business owners for guidance and hence owner’s demeanor and attitude will make them feel worried or comfortable respectively. Let us find out how small businesses should respond to COVID-19 in this economic downtime.
Thinking From Customer’s Standpoint
Being the small business owners, it is necessary that you find out the ways to make your clients and customers happier and comfortable by conducting business with them in between self-isolation and also reducing the trips outside their home to stay safe. Prior to closing your business during lockdown weeks, you need to minimize the human contact points at your business by serving your customers remotely.
Everyone across the nation is experiencing the economic crisis and hence small businesses must be a part of it as well and be transparent about what the business is experiencing during this lockdown week. Customers are also required to empathize with the businesses that are facing the crisis by communicating with them online.
Doing Right Thing is Necessary for Long Run of Business
Respond to COVID-19 As A Small Business – The possibility of negative press, loss of business from the general public and more are possible for small business, especially those that are doing nothing or responding to the crisis gradually. Be it reimbursing the customers for canceled or missed services, offering gratitude and transitioning to the digital services, being the small business in the competitive environment offers the business with competitive edges and benefits for the long run and hence business must do the right things to benefit their business.
Go Digital
During the lockdown weeks when the stores and supermarkets are closed and shuttered across the world, workers are staying back at home in response to Novel Coronavirus. But the tech-savvy business owners are now shifting their sale strategy to social platforms, phone calls, and email to overcome the heavy losses incurred during the lockdown period.
If you are also planning to close your store during the lockdown weeks ensure to find ways to allow your employees to earn regularly by reaching out to the clients and selling products via social channels, email, phone calls and using video tools. This way business will maintain the sales and overcome the financial drought easily even during the lockdown.
Planning for Cash Flow Implications and Seeking Required Help
According to market experts, it is necessary for small businesses to create and plan for the situations that are likely to result from reduced or increased demand for services and products during the COVID-19 outbreak. Business owners are required to recognize the impact on finances of the business beforehand by using different possible situations as an example which may affect diverse services and product lines or the store location. Some of the helpful strategies that need to be implemented are:
- Recognize the essential and revenue critical workers and ensure that focus on business-critical jobs
- Eliminating and minimizing the nonbusiness critical expenses and tasks
- If reducing staffing level is important, you need to create the rotating working schedules to keep serving your customers
- Talk to the banks and suppliers for alternative payment arrangements. Suppliers must be asked to extend the payables and also discuss with the banks and loan departments for temporary low-interest payment arrangements. Governments of respective nations have asked banks to provide low-interest loans to small businesses as COVID-19 Small Business Relief during the period of economic crisis.
- Avoid generating excessive inventory for the generation of cash flow
- If the situation demands approach the banks and lenders to look out for SBA Economic Injury Disaster Recovery Loan Programs or other relief programs for small businesses.
Respond to COVID-19 As A Small Business – It is always beneficial for small business owners to consider their business income coverage and if situation demands and you need to opt for any relief program or disaster management loans ensure to negotiate payment plans with the lending agency always.
