COVID-19 Crisis Survival Kit for SMEs and Startups
For any business to survive any turmoil, it must be quick to respond to its changing environment. Failing to address the vulnerable areas and making necessary adjustments in a timely manner can create substantial damage, from which you may never recover.
Shane Perry, small business expert at Maxfunding says,” The #1 thing to master in business is timing. It accounts for around $40 of the difference between triumph and failure. Teamwork and execution are in the second place, and then followed by ideas and their uniqueness.”
Re-evaluate Your Marketing Strategy
During crisis, small businesses have the tendency to shrink the marketing budget. While it can reduce expenses, it is not always the correct move. Actually, crisis is the time when you should work harder on re-assuring your customers that you won’t go anywhere. Initiatives and social media content that aim to share facts, encourage compassion, and community involvement.
According to a Twitter survey earlier this year, 77% of the participants felt more positive towards brands supporting the society in this difficult time.
Consumer behavior is constantly changing and let them know you’re riding the waves.
Establish New Partnerships & Alliances with Other Small Businesses
Search for small businesses and startups that share your values and identify and considering working with them. The global impact of the pandemic has brought people closer than even as demand patterns are extensively disrupted.
SMEs and startups can navigate through this crisis by complementing each other to form a stronger business unit that can accommodate the new market demands. This can prolong liquidity and help smaller communities.
For example: X owns a bakeshop owns a coffeeshop, and Z owns a bike rental. The three of them can partner to offer a “breakfast-at-home-cafés-style” package, which can be delivered by Z’s bikers.
Adjust Daily Operations
The world we’re living in today is very different than what it was 6 months ago. There’s no promise that things will go back to normal soon. And businesses must adjust accordingly. It’s practical to start reimagining your workplace now so you can reduce expenses.
Numerous businesses have started collaborating through digital channels while ensuring that values are still preserved. Others have got rid of unnecessary space and used the same rooms for dual purposes.
If the work can be done remotely, do it remotely. For jobs that require physical presence, determine how much space is needed for them.
Communicate with Your People
The dissatisfaction of employees may resound to their performance at work and behavior towards customers. In a time of global crisis, entrepreneurs should keep an active and transparent communication between employees, partners, and investors. Set a weekly discussion between groups to:
- check on their health and safety and productivity
- exchange valuable information
- share victories and uncertainties
- monitor productivity
Theories are readily available. However, survival and success rely on carefully tailored plan and proper and timely execution. In a crisis or not, it’s best to work with a professional firm that specializes on funds management and capital solutions.
Do you need a small business loan?
Are you unsure how to manage funds in times of crisis?
Max Funding has the network and experience to help you navigate through COVID-19 crisis!