It seems that we are in a decade of unprecedented times. As the world emerges from the COVID-19 pandemic, issues in the global supply chain and war in Ukraine have caused major disruptions on the road to economic recovery. As entrepreneurs, we need to remain cautious and tread carefully in the coming months; it’s necessary to our survival. Although times may be tough, there are steps we can take that can help us weather the ongoing storm.
Prepare for the Unexpected
The big lesson that the pandemic taught us was expect the unexpected. At a moment’s notice, our lives can be upended, and we shouldn’t rely on anything to be certain. As we return to normality, you should carry this lesson with you. The best way to fireproof your business from the next crisis is to prepare. Manage your cash flow wisely. When times are good, make sure you put a bit aside for the next rainy day. It will help your business stay afloat during periods of turbulence. This will also help with solutions for poor operational efficiency in your business. While fire drills are never ideal, they definitely serve as wonderful lessons as to what is working and what is not.
Avail of Financial Supports
The last couple of years have been uneasy for many businesses. As a result, many governments have extended financial supports to ease pressure on struggling companies. Look into government schemes that are available to enterprises as your company may still be eligible to receive some aid. If you still need an injection of cash, you should consider taking out a small business loan. Some banks will be happy to offer you a loan of any size, big or small. Many of these loans allow for great flexibility in repayment schedules, giving you the freedom to set your own pace. With some lenders, you can also avail of personalized coaching and support networks that will help you connect with other entrepreneurs.
Due to staff shortages, we have seen a major disruption to global supply chains. This can cause a headache for many small businesses, as they struggle to source essential materials. If you find yourself in a similar position, you should consider purchasing from suppliers in your locality. This way, you can help avoid delays to your operations and save on shipping costs, all while supporting the local economy.
Settle Your Accounts
Even in tough times, you need to be on top of things. Review all your invoices and settle any payments that are outstanding. Resolve as many accounts as possible, and don’t shy away from taking a firm stance on clients who are late on payments. It’s important that you have everything in perfect order, so that your foundations can remain strong. If there is a lot to settle, perhaps hiring an accountant will save you time and money, despite having an initial cost investment.
As a small business owner, you are at the helm of your ship, and it can be a lot of pressure. Don’t forget to take time out for yourself. Set healthy boundaries between your work life and your personal life. Looking after your mental health is important and you can’t keep a company going if you are overworked. Keep a level head by exercising and making time for family and friends.