Planning for the future in uncertain times is always a challenge. However, if your company can adapt and refocus effectively, it should remain resilient in the post-COVID-19 world. The US government has ushered in a raft of funds and financial schemes to assist businesses during the crisis, so primarily it’s important to see what help you are entitled to before moving forward. You may be able to claim tax credits, debt relief or a community-backed loan to keep your company solvent, so visit the Arizona Commerce Authority soon to browse through the full list of financial resources.
Once you’ve claimed everything you’re entitled to, the hard work can begin. The liquidity of your company is likely to be at a drastically different level compared to where it was before lockdown, so your business plan should be revised to take into account the changing circumstances.
Consider your current position
To manage the repercussions of this pandemic, your company needs to establish the position it is starting from. Look at the current market situation and examine which trends could be relevant in the future. Your business will soon have to be restructured in response to changes in demand and its levels. This reorganization won’t happen overnight, but with a clear plan in mind, it’s easier to get the whole team moving in the right direction.
Anticipate more than one outcome
Once you have the facts on market trends in your industry, your financial plans will be simpler to model. However, as no one yet knows what the final outcomes will be in any given industry, it’s worth considering several possibilities. Optimistic and pessimistic predictions should be given equal consideration, as should the middle ground. Take into account how much sales have declined, which structural changes are needed and whether your current business model is still viable.
Invest in professional guidance
Being in the eye of the storm can sometimes cloud your judgement, so if you are having trouble negotiating your way through this stage, seek assistance. Capital Preservation Services can provide help with getting your finances in order and planning for the future. Furthermore, when it comes to submitting your yearly return, their experts can ensure your business is using the most advantageous tax strategies.
Follow the plan but be ready to modify your course
A carefully developed plan will always keep your business purposeful and strong, but when the unexpected happens, you should be confident enough to react. You may need to address issues around your suppliers, then pinpoint any risks they represent in terms of your supply chain and, therefore, your revenue. Escalating costs can also be an early sign of trouble, especially if you have not anticipated the increase, so monitor this closely and renegotiate contracts or payments if you are able. New initiatives may take time to bed in, so give employees time to cope with new working practices and activities rather than interpreting their reluctance as a problem.
Prioritize organizational strength over short-term profit
In the coming months, there will be inevitable struggles, but businesses that are willing and able to deal with threats will have the advantage. Part of your financial plan should involve detecting even the smallest problems before they can take hold, then putting a strategy in place to learn from them. This allows you to prevent similar issues from progressing rapidly in future and gives you more control. Ask your team and managers to be honest about the performance of their department and foster a culture of transparency, rather than pressuring people to always do better. Unfortunately, the economy remains volatile and this should be a major concern. If an employer only hears positive feedback, complacency can dull their reactions and leave the business vulnerable.
Capitalize on the expanded talent pool
Many highly skilled people have lost their jobs as a result of the pandemic, so it’s a good time to invest in recruiting new team members. Some job-seekers are looking to change their career path and will be enthusiastic about making a new start, whilst others have years of expertise to offer your organization. Bear in mind that remote working has become ever more popular with employers and employees. Small businesses can search for talent in a wide geographical area and take on more people without incurring the cost of providing extra office space.
The Coronavirus and the restrictions created to manage it have had substantial consequences for the global economy, but many businesses will recover. Companies are being helped through the recovery stage by a range of federal and state initiatives, but those with sound financial plans will make the best use of these. You may have to reset your objectives, but in the long run, your business could become more resilient and successful as a result.