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Coping with COVID-19 crisis: What small businesses can do to survive


As you all know, the outbreak of the coronavirus disease (COVID-19) is changing the way we live and work, and has added a whole new dimension to crisis preparedness and response as far as organizations are concerned. Needless to say, the impact is more on small businesses. However, it is possible to mitigate the effects it has on your business by following these measures.

Communication is key
In a situation such as the one we find ourselves in, you can never over communicate. Therefore, be transparent as much as you can and have an honest conversation with your employees about the measures you have adopted to keep them on the payroll, and explain why these measures are important and unavoidable.

Brainstorm ideas
These are unprecedented times for everyone and even more so for businesses. You may not have a response strategy in place but there is nothing wrong in brainstorming with your employees. Some of your employees may have ideas about how you can better adapt to the situation. So, it makes sense to welcome ideas from them as it also helps them feel heard and included.

Study your reserves & insurance
Discuss with your accounting team about your cash flow and reserves and how they can be used. Don’t forget to check your insurance policy to see if there is anything that can be covered in terms of lost income.

Work from home
The implementation of a remote work system is easier for some businesses and not so easy for some others, depending on the nature of their business. But according to experts, this pandemic crisis could be a game changer in the area of remote work as well. It begins with the realization that trust in the workplace is a fundamental building block of any organization. Trusting your workforce enhances speed and efficiency and hence reduced costs, not to forget that trust is important in keeping up employee morale and loyalty as well.

Engage with your suppliers & lenders
Last, but not the least, talk to your suppliers and landlords about stretching payments. It is important to be open and flexible in these discussions. In addition, talk to your lenders to check the availability of funds, as banks are now rising up to the situation.