7 ways to protect your small business or startup during the coronavirus pandemic

 

7 ways to protect your small business or startup during the coronavirus pandemic
    

1. Review your Business Plan

You are probably already creating a portable business plan. However, it is time to look at it again and see if it still works today. It is important to remember that because the epidemic limits are over in many areas, customers will still have health and safety issues and make informed purchasing decisions. Cafe programs, for example, may require additional resources to place online orders and a food delivery system. This means reviewing business terms, the employees you will hire, how you will set up an online program, and where you will earn extra money.

2. Invest in your people.

Fotak says coronavirus has created a liquidity problem, which usually subsides over months rather than years, such as banking operations or other financial problems.

Likewise, Ulbrich says people may be the only competitive advantage left for many small businesses now. Focus on that: "Go ahead by hiring the right qualifications, eliminating the bad ones, discarding your annual updates, building a 'visible bench' of potential top people, and creating a work ethic based on trust and accountability," Ulbrich said.

3. Stay informed.

The coalition government has approved a $ 2 trillion historic package, with Congress considering another small business. But understanding and accessing that help is easier said than done.

“A good start to the whole U.S. web site. Small Business Administration, which has a database of important information about available programs, including small business loans, debt relief grants and insurance protection insurance.

4. Be willing to adapt

COVID-19 is changing our lives in ways and ways we would never have imagined. The business plan you had in the last 90 days is not the same today. You need a plan to get used to and restructure your business at each stage of this problem. If it is a temporary problem, then cutting costs and other flexible spending like marketing, new employment, and travel can help you get over it.

If your business sees immediate impacts, look for ways to support your client's needs or diversify your products and services during this time. For example, dog companies keep their income flowing through creative means. Others help vulnerable clients and health groups by performing their diet work. Some find new customers among vulnerable groups or families with home-grown children who need a dog walker.

It is difficult to check and plan ahead. However, if the epidemic and lockdown closure lasts a few months to a year, then you need another emergency plan; one looking at re-negotiating fixed costs, reduced benefits, and even layoffs.

5. Examine your finances

Any emergency plan or emergencies must deal with financial risks and impact. Stay tuned and keep track of your cash flow forecast and look for opportunities to reduce unnecessary spending. Also, review your available accounts and check for any credit risks.

Do you have a safety net to use? Most business owners have savings that they can use. Another option is to protect the line of business debt before you need it, so you can get money in the event of a disaster or epidemic.

Or, consider small business financing programs to help you pay for business expenses similar to those managed by the Small Business Administration (SBA). Under the CARES Act, the SBA provides low interest-free disaster recovery loans of up to $ 2 million to businesses affected by the situation. These loans, which are sponsored by banks but SBA-certified, can be used to pay off fixed debts, overdrafts, overdue accounts and other loans. Long-term payments up to 30 years keep payments affordable.

The CARES Act also provides small business owners with a $ 10,000 Emergency Economic Disability (EIDL) loan loan that is not required to be repaid. The program offers loans of up to $ 200,000.

In addition to the SBA loan, the federal government also reduces the cost of sick leave paid to employers with employer tax credit, equivalent to 100% of the benefits paid. Self-employed people will also receive another $ 600 unemployment insurance for up to four months - which is an important safety net that they often do not qualify for.

Some provinces also used financial assistance for the self-employed. In Iowa, for example, sole proprietors and LLCs that can demonstrate the effect of COVID-19 may qualify for grants of between $ 5,000 and $ 10,000.

6. Stay on top of the rapidly changing compliance world

If you are using an LLC, keep an eye on dynamic developments at government level that directly affect your work such as filling out documents and changing times. Many of the Secretary-General's offices have removed emergency services, and some have removed or severely restricted counter service. Stay up to date with the availability of the Secretary of State and other implications on our COVID-19 resources page.

Having remote employees may also introduce new compliance requirements to be considered such as state pay and income tax filling, or the need to register to do business in a new country.

7. Spend time at home studying, studying, and studying — so that when things get out of hand, you can fly with whatever competition you have.

The most important thing you can do right now is to listen to medical professionals. Keep yourself healthy, make sure you get used to being away from people, and keep vulnerable people safe. Following all these guidelines may mean that you will stay home with more free time than before. Do not think of this as a backlash. Instead, view this division as an amazing opportunity to become more successful as an entrepreneur. Spend your time reading tips from experts, researching other businesses and entrepreneurs who have achieved what you want to do, and digging details to better understand your market and the competition you are facing. Take business training, their experts care about your business and want you to succeed in this epidemic. This is something you probably do anyway. For many successful entrepreneurs learning business, competitive research, and self-improvement is a full-time night job. Detention gives you the opportunity to summarize many of these in a short period of time. Use this to your advantage.

Many of your competitors will use this time as a control over damage and rest time. You should take the opportunity to move forward and make yourself the best entrepreneur you can be. If you can, use this opportunity so that when the ground starts to move as usual you can fly past the race.