The COVID-19 (Coronavirus) pandemic has caused a range of unforeseen challenges and jeopardised the survival of many businesses. To ensure the survival of your business, below are some actions you should take:
Revising strategy and reviewing financial statements
With the pandemic impacting many businesses and the economy as whole, your business strategy, forecasts and budgets will be impacted. To ensure you make informed decisions to prepare for unforeseen challenges, it is important to update your financial statements and maintain a regular budget and business plan.
Maintaining positive cash flow
Cash flow is critical for the short and long term survival of your business. Your usual business cash flows may become disrupted, so you need to carefully manage this process to keep your cashflow positive. You may need to decrease or defer unnecessary expenditure.
You should keep clear communication channels open with all stakeholders including your customers, your suppliers and your staff. Some examples of how you can achieve clear communication are outlined below:
- Keep your customers informed of any business changes through social media, website or other communication channels.
- Keep your suppliers informed through weekly or fortnightly updates or check-ins.
- Regularly engage and communicate with your employees to boost morale.
We understand that financial instability can be a daunting time for you and your company in the midst of a pandemic. If you would like to learn more about the options available to reduce financial distress to your company then please speak to ISA for free and confidential advice on our 24/7 toll-free hotline on 1800 003 883.