As a small business accounting company in Chester, we work with a lot of small businesses on a daily basis. Unfortunately, these are unprecedented times and nation’s small businesses are facing a lot of economic disruption due to the coronavirus (COVID-19) outbreak.
Are you a small business struggling to stay afloat during the pandemic?
Currently, advice states that people should avoid unnecessary contact and gatherings. Small businesses are particularly concerned too as their customers are increasingly choosing to self isolate, after buying sprees at the larger supermarket chains. Now stocked up with enough supplies to weather the apocalypse, no one has any real need for many of the products offered by smaller businesses. Needless to say, with all the uncertainty and financial impact, there are many causes of concerns among small businesses.
Tapping into the government funding for covid relief is useful. However, like with everything else, small businesses need to stay strong and find a way to manage their business and finances through these times. More importantly, businesses need to learn how to adapt and overcome the challenges and make decisions to propel their growth into 2021.
Here are top 3 tips from our Accounting experts that small businesses should consider:
- Cut Your Costs Down: Take this time to analyse your business accounts, payroll, taxes and company overheads. It might be a good time to get rid of business expenses that are not particularly helping you in revenue growth or expenses that can be forfeited during lockdown. Find alternatives that are cheaper and more affordable. This can not only help you survive the pandemic but can also help businesses make a long term impact on their profitability and return on investment.
- Look For New Opportunities: The Covid-19 pandemic has forced all small businesses to adapt their service offerings. Many small businesses have now introduced new range of products and services that can be delivered remotely with minimum human contact. Add-on services within your business that can be delivered remotely, expanding your range with more products that are in demand and even switching your business offering to more promising products and services may be a good option to consider. Depending on your skill set and business offering, you could add products or services that are more in demand due to social distancing.
- Maximise From Existing Resources: Sadly, many small businesses have had to downsize and limit their resources and staffing to what is absolutely needed. While no company wants to make a decision as tough as this, if your business finances are tight; you may have to let go of some employees off your payroll just to save your company from going under.
At Prosper Bailey, we understand how difficult it is for you to stay afloat in these times and we wish you the very best. If you need financial advice and strategies to manage through Covid-19 pandemic, please do get in touch with our expert team of chartered management accountants in Chester. Contact us at 01244 421206 or email us at email@example.com