Keeping a Business Afloat During Hard Times

Many businesses, big and small, are facing difficult times right now. The Covid-19 pandemic has caused financial challenges, which business owners are having to figure out how to handle. Although every company is different, there are a few general guidelines for how your business can weather the storm:

● Examine Strengths and Weaknesses, Make Adjustments

During a crisis, it is very common for a business owner to put out the fires that are burning the brightest. However, it is also important to take a close look at what your business’s strengths and weaknesses are in order to discover what adjustments you need to make to your business model.

For example, many restaurants have added drive-through windows, curbside service or delivery services that they previously never offered. By looking at the services or products you offer considering the pandemic, adjustments can be made to make your business more accessible, convenient or even necessary to your customers or clients. Thinking outside the box can mean the difference between keeping your doors open or losing your business forever.

● Review Payroll

Although everyone hates the idea of letting employees go, during troubled times it is imperative to see that your money is well spent. When it is crunch time for your business, you need to keep the right people working for you that are performing their jobs effectively and efficiently. Because payroll costs are one of the most significant expenses for a business, it is imperative to examine each employee’s productivity and make changes to your staff where necessary.

● Financial Back-Up

During a crisis, it is vital for a small business owner to have access to money. Establishing a line of credit in advance is a smart move so you are prepared if you experience a temporary cash-flow issue. Even if you do not use the line of credit, forming a relationship with your banker is always a positive move. You should also consider other creative ways you might find access to cash, so you have a plan if, or when, one is needed.

● Details Matter

Although a business owner must always keep an eye on the larger picture, during hard times it is important to remember the details matter. What are the small issues that likely interfere with public access? Do you need to trim trees and bushes to make entry into your building easier? Do you need better signage? Is your store easy to maneuver and locate items for those customers who are in a rush? Anything you can to do help get customers through your door will have a positive impact on your bottom line.

With over 36 years of experience providing sophisticated legal advice on business matters and related litigation, Mailly Law is here to help. With our structure, you work with the same attorney who gets to know your culture and anticipates your legal needs. Contact us today to schedule your initial consultation.