As we emerge slowly from lockdown, now is a good time to take stock of things and look ahead to how we can run our businesses with the “New Normal” environment we face.
What is clear is that some form of social distancing will remain, and many businesses are adopting new ways of working within the rules.
Here are some key points for your business right now:
- Stay healthy, follow the Government guidelines for you, your family, co-workers, employees and community. Work from home where you can manage administration.
- Plan – what will your business look like in six months’ time? The best way to predict your future is to create it.
- So, take time to look at your business, Strengths, Weaknesses. Opportunities and Threats. Make notes, involve everyone. Brainstorm. Draft a written plan.
- Work out your expenses (including salaries) for the next six months.
- Estimate your cash flow over the next six months.
- If you need help in doing these calculations talk to us – we can talk you through these for you. Without the figures you cannot make clear decisions.
- Once you have a grasp on your figures and you consider you have a “viable” business (can you survive for the next six months?):
- Get your members of staff involved in a discussion of likely trading conditions and get their input on reducing costs and maintaining revenues.
- Review your list of products and services and eliminate those that are unprofitable or not core products/services.
- Get rid of won’t pay customers.
- Review your debtors list and chase up overdue invoices
- Offer existing debtors extended payment terms and/or discounts.
- Agree extended payment terms with all suppliers in advance.
- Put extra effort into making sure your relationships with your better customers are solid.
- If your business is not viable – talk to us and we will run through the options.
How Alan Patient can help
We have been helping many clients with bank loans and VAT deferral so please contact us about the loans available if you have not already done so.
Many businesses are re-purposing or pivoting their operations and are adapting to the new ways of doing things. We are helping them with digital bookkeeping and forecasting with “What if” scenarios so they can look at all angles of their businesses. Please contact us
Above all stay strong! Remember your health and welfare is more important than anything else just now. We will help you every step of the way. Together we will get through this!