Covid-19 has impacted the business across the world. It has slowed down the economies and decelerated the global markets. As per the reports, the pandemic has hit the global economy in the time when it was already facing economic headwinds (Global GDP growth declined by 13% from 2017-2019; Source: Accenture Research based on IMF DataMapper world economic outlook).
Thus, to meet the demands and survive in the hard times, the business ventures are mapping out plans and strategies. They are re-evaluating their business plan and creating better action plans to sail through the crisis situation.
In this post, we are sharing the survival strategies that could alleviate the risks and help startups, small ventures and large industries to cope up with the impact of Covid-19.
Strategies to Survive in The Covid-19 Crisis
Here are the effective ways through which you may help your business to grow and sustain during pandemic and post-pandemic.
- Track Business Expenses
During this pandemic, it’s essential to keep a record of your finances and assess your fixed and variable expenses. As an employer, you should be aware of where your company stands financially and how much funds it owns in case of an emergency or crisis. Tracking business expenses is helpful to manage the budget and identify the changes that could improve your company’s financial status.
- Revise Your Business Model
In the current disconcerted market, re-assessing your business model is of utmost importance. Take a step back and think of the feasibility of your business model in the present context. Also, check if your business is able to maintain its revenue and growth. Map out a better course of action and evaluate all the possibilities that may occur. Having financial tarot reading can help you to gain insights about foreseen financial opportunities.
- Create Your Action Plan
An action plan helps you to accomplish your goals and get the desired growth in a particular time frame. And, in this pandemic situation, you need to think of making better action plans and good decisions. Analyze your income resources, renegotiate your fixed expenses, prepare backup strategies and manage consistent growth. Do everything but step by step. Map out action plans for 3 months or 9 months and beyond. After completion of every time-period check where you stand financially and where did you lack. Find the loopholes of previous action plans and make sure you do not repeat the same mistakes. Also, revise action plans according to the market situations. Explore opportunities and find out upcoming challenges. And, for this, you may take help of a finance tarot reading app which offers accurate and precise financial insights.
- Maintain Transparency
Covid-19 has hit us all. So, stay transparent and let your customers know what you are upto and what you are going through. Tell them if your business is affected or there is any change in the policy or supply or manufacturing or conditions of marketing. Communicate with your customers and help them to understand the new changes in the market. It has been observed that companies that have stayed transparent to their customers have gained confidence and empathy for their customers.
- Be Patient with Funds
To grow and expand a business, funds play an important role. Without it, you cannot think of accomplishing your goals or survive in the cut-throat competition. A good capital is a need of business and in this pandemic situation, you need it essentially. But be patient, in current circumstances, new investors will be more vigilant. They will take time, thus, don’t panic. Instead, approach existing investors as they have stalk in the results, they will come out to help you.
- Focus on Employee Management
Managing a large workforce can be overwhelming for business but instead of laying off, think of cutting wages of high paid employees. Also, manage the employees that cannot afford to lose jobs or leave your company. Be a good employer and implement policies with empathy and compassion. Offer extra compensation when required and make sure your actions won’t affect employees’ morale negatively. Moreover, heed government directives and make sure you don’t violate any law to suffer a legal action.
- Engage the Team
Employees build a business and thus it is important that you take care of their needs and keep their morale high. In this lockdown of Covid-19, they may be surrounded by lots of fears and insecurities. They may be struggling with mental stress and living in deep anxiety and frustration. Thus, boost their morale and stay connected to them. Collaborate with them through Skype, Zoom or other digital applications so that they may feel inspired and motivated.
- Maintain Healthy Relationship
Maintaining a healthy relationship with vendors and suppliers might have not been this difficult. In the times of pandemic, it is very hard to pay out all your contracted parties. There may be some vendors who are the main resources of raw materials. Thus, communicate with them and be transparent about their payments and contracts. Do not hide any important information from your vendors or suppliers. Having transparency is the key to maintain a strong and healthy bond.
- Make Changes All at Once
Don’t delay making changes. If you want to survive in this economic downfall situation, redesign your business and implement your action plans now. Do not wait or make assumptions about the ending of the Covid-19 situation. This pandemic may or may not end but if you wait for a change in the situation, you might end up losing your business and finances. So, listen to this wake-up call and come out of your comfort zone. There are chances that you will make some painful decisions or take steps that are against your business model. But, still, take the chance and do the best you can, to survive in Covid-19 crisis.
Covid-19 is an unexpected situation that we have never faced before. With mental health and social distancing, there are lots of things that we need to take care of. In these tough times, do not lose your calm, instead, stay positive and patient. We all are in this together and as Andy Gilman, CEO of CommCore Consulting Group, said, “The secret of crisis management is not good vs bad; it’s preventing the bad from getting worse.” So, empower yourself and hold tight no matter what.