The COVID-19 crisis is an unforgettable experience for many business owners. It gets to show that anything can happen in business, placing you at a disadvantage. After leading to a massive economic downturn, the pandemic has put many businesses big and small to the test.
According to a report on yelp, 60 percent of closed businesses may never reopen again.
As a small business owner, how do you ensure that your investment does not go to waste when such events happen? To survive during hard times, you need more than determination and a never quitting attitude.
You need to make smart business decisions that can ensure your survival in the cut-throat market.
Here are some tips that can prove useful in your business survival.
Focus more on retaining your existing customers
Your current customers are the lifeline of your business. When sales diminish, put more emphasis on ensuring that your products and services satisfy your current customers. Only then can you guarantee a stable revenue stream.
Keeping your customers is a lot cheaper than acquiring a new one. When the economic situation is unstable, it is only right to minimize your spending.
Some practices that can help you keep your customers include offering additional features and services, giving discounts, or creating a loyalty program that can relieve some financial strain from your clients.
Protect your Assets
No one starts a business with the thought of having to go through a lawsuit. But the market is merciless, and anything can happen. When a major event leaves you vulnerable, your competitors can use that as an opportunity to attack you with a lawsuit.
Transferring your business assets to a family member may subject you to scrutiny under the fraudulent transfer laws. The Court may disregard or reverse such transfers, and you may end up paying a hefty penalty.
You can get help from a media lawyer to secure your assets, even if things go awry after a lawsuit.
Be ready to Adapt
How adaptable is your business model? Can your business capitalize on changes and recover from any unforeseen events? No one saw the pandemic coming. Many businesses that were not ready to change to the new normal that came alongside it died.
Only those that could adapt to the social-distancing guidelines are still operational. Going forward, be ready to adapt to any situation that arises. Whether it is in your normal business operations or how you engage your clients, be ready to follow the direction the market is heading, but be creative about it.
Keep Your Employees Motivated
Your employees are the backbone of your business. Without them, you may not have the success you are currently enjoying. You may find it tempting to revisit your human resources when things are tough to cut on your expenses.
Instead, they could become your most valuable assets during a crisis. Motivate them and listen to their ideas as they can provide you with solutions that you may not have thought of.
By ensuring your employees are happy, they will, in turn, do a good job of ensuring your clients are happy, thus playing a big role in your business survival.
Summing Up
Ensuring your business survival during a crisis requires an excellent strategy and a healthy outlook. You did not get your business off the ground only for it to crumble down when faced with challenges.
You need to protect your business by implementing the above measures immediately after you start a new business.
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