What to do if your company suddenly closes its doors and cannot open them again?
Restaurants, cinemas, fitness centers… Well, the only thing you can do, is actually looking for other ways to keep your business going. Basically, there are only 2 possible solutions: to run or to hide. All those who stand still, are lost.
Three things are important in a company:
Relevance: Does your company matter? Do you offer an answer to the demand of your client? Does your client have an emotional connection to your product or service?
Differentiation: do you differ from other companies? Are you innovative, a trendsetter?
Availability: is your product or service available and can you deliver it quickly?
As long as your company keeps these three in mind, you can still make it. Being an entrepreneur means you see the opportunity! With some creativity, you can make it through this corona crisis
How can you remain financially fit during this crisis? This is obviously one of the main concerns for every entrepreneur.
What is the balance? What is the current situation of your finances? Calculate the total of fixed costs you have on a monthly basis and how much you still have in your bank account. Possibly some customers still need to pay invoices. Keep close track of them.
Make sure you have 3 scenarios: a best-case scenario, a worst-case scenario, and a normal case scenario. By doing so, you map exactly where you are today and what direction you can or cannot go. A continuous eye on your expenditure structure is more than ever necessary. Which are essential costs – and how many of the non-essential ones can you cut out?
Make an overview of what brings you the best margin and how you can increase or fine-tune these elements How is the market evolving and what do your competitors do?
Always take sufficient time to be creative and to think ‘out-of-the-box'. Especially now that we are all working from home, do not underestimate the power of stepping away from everything once in a while. Take a walk outside and come back with fresh ideas and new energy. This will enable you to look at the situation from a more neutral.
Whatever might be your situation: keep an open communication channel with your partners/clients/stakeholders. Nobody likes surprises in the financial field, so better talk openly about what is actually the state of play.
Also: try to find out and follow the measures and support systems your local and national government have worked out for you.
It is also interesting to look critically at your normal weekly schedule. Maybe there is room for improvement? Test it during these covid times. Maybe it is possible to organize your business and your own work scheme more efficiently.
There is a way to deal with things during covid times.
Find it, embrace it, apply it.