12 Ways to Grow and Build Your Business During a Global Crisis
We recognize how challenging today’s situation is. However, now is not the time to freak out or become anxious. When you’re in a panic, it’s impossible to make a wise choice for your company. Now is the time to maintain your composure.
First of all, disregard your 12-month growth strategy and start over.
Consider your professional career as the Titanic. The intended route was from England to New York, but about halfway there, you ran into an iceberg.
The current worldwide crisis you are experiencing is the tip of this iceberg. You need to adjust because your plans have changed. We need to survive in order to thrive, after all.
Whether you like it or not, you have to be prepared to make difficult choices if you want to navigate these choppy waters.
We are here to assist you if you are up for the challenge.
1. Stop all unnecessary spending
You shouldn’t take any risks or make any significant investments at this time.
Stability must be your top priority if you want to survive.
Analyze each and every expense you have to start.
Sort the necessary tasks from the ones you may skip right now.
Put a halt to all of your elaborate plans that involve spending money.
The next step is to examine your own spending to take this a step further.
Forget about it if you want to purchase a car or take a trip.
That should not be done at this time.
You need as much money as you can to keep your company afloat.
You must prioritize your business over your needs as an individual.
Consider the repercussions of starting a dangerous project at this time: you will be placing your business, staff, and assets at risk for a result that is out of your control.
The path to take is not this. Instead, focus on positioning your business to ensure safety during these challenging times.
2. Terminate all cash-intensive projects.
Which of the projects you wish to do costs the most money, take a moment to consider. It’s imperative that you stop any financially demanding initiatives.
A three-step checklist is provided below for your reference:
1. Examine each project on an individual basis
Don’t organize your work into categories or even one large category. Instead, consider every one individually.
2. Calculate the Required Capital
It’s always a good idea to estimate the amount of money needed to finish a job too high. Set the parameters of what is appropriate for your company from there.
3. Calculate the Amount of Risk.
Although your projects may have appeal, you shouldn’t dismiss the risks.
In these circumstances, taking a big risk does not guarantee a large gain.
After reviewing your projects, you’ll see that while some of them might have seemed promising three to six months ago, others don’t.
You want to set these projects aside.
You can save money and allocate it wisely by using these business growth and development suggestions.
3. Get rid of any inactive assets.
Most firms undergo significant adjustments as a result of this global pandemic.
For instance, you might give value or treat your consumers differently in such a situation.
Unfortunately, not every company can survive this recession.
This may be the appropriate time to turn the key and go if you are observing it without emotion.
Three things to think about are as follows:
1. Your Company Won’t Ever Be the Same
Your business will never be the same, even if the economy recovers.
Imagine it like an earthquake: after it passes, the city will return to normal, but its surrounds will be permanently damaged.
2. You Can’t Put a Dead Horse to Work
Many small enterprises lack the money necessary to survive an international crisis.
It serves no purpose to try to save your company if it has reached the point of no return.
A dead horse is a dead horse, after all.
3. There Will Be New Opportunities
A clear sky follows the storm.
There will be new trends and possibilities after this worldwide pandemic has passed.
You might not be able to benefit from these trends if you hang onto your company.
Once you’ve been so entangled in your business, whether it’s because of the emotional or financial involvement, it’s difficult to go out.
You must be able to discern when to defend your company and when to go on.
4. Digitize your company's operations.
Imagine that you are offering your clients an actual item.
Is it possible to digitize your workflow so you can offer the same service online?
If you write novels and sell them on Amazon, for instance, you might spend the time to write an eBook.
It’s easy to do and doesn’t call for a significant financial commitment.
Your audience can now download your goods instead of having it mailed to them as a result of this adjustment.
Your delivery expenses will be down, and a completely new market will be accessible.
If you haven’t started digitizing your company, it’s possible that your outcomes haven’t been what you were hoping for.
You can modify your strategy and quicken your sales by using these advice to establish and expand your firm.
The success of your business depends on you taking the time to digitize certain components of it.
If you’re ever unclear of where to begin, consider whether you could modify the way you communicate information about your good or service.
5. Streamline Tasks in Your Business
Are there any processes or procedures you might systematize to make it less reliant on people and more reliant on technology?
In your company, you should try to minimize the human factor.
The answer is straightforward: you can automate some of the key procedures using software or code.
You don’t want your company to be overly dependent on people when there is a global catastrophe.
When you are short on cash, these ideas and methods are meant to assist you in starting and expanding your business.
The following are some advantages of systematizing company processes:
- Cost savings: If a machine can execute a task without human assistance, you can take advantage of this to do so.
- Heightened effectiveness: Computers can work continuously.
You can leave them running continuously because of this.
- Improved performance: Compared to humans, computers perform more accurately.
They can also complete routine chores much more quickly.
- Communication is improved since computers can record and time-stamped each activity they do.
This provides you with points of reference in case something goes wrong.
- More free time: By handing off some duties to computers, you’ll have more time to concentrate on managing your company.
6. Make Your Business Virtual
The cutting-edge technology of virtualization enables businesses to operate more profitably.
Now, companies of all sizes are adopting this new pattern.
For instance, Toastmasters is a live event-hosting organization for public speaking.
They show people how to develop their leadership abilities and communication skills.
Due to the crisis, they were forced to test out novel approaches to provide value to and engage their audience.
Today, Toastmasters offers live webinars that students can access from the convenience of their home.
A lot of companies provide virtual seminars, trade exhibitions, and product debuts in addition to live webinars.
They are able to reach more people for a lot less money by doing this.
Here are some further suggestions to help you expand and build your business during a worldwide crisis if you want to go one step further.
If you have a Facebook account, Instagram profile, or YouTube channel.
Consider how you can use these platforms to expand your reach.
You can take the recording of a live virtual event and post it on your social media channels when it has concluded.
By doing this, you can help people who were unable to attend the event and persuade them to work with you.
Additionally, you may utilize social media to advertise your upcoming live event and offer rewards to those who share your content.
Ask yourself: Can I virtualize any area of my business? if you’re ever unsure of what course your company should be pursuing during a recession.
7. Make a Cash Estimate
Any firm that wants to exist must have money.
You must therefore manage your financial flow very carefully.
Once a week, spend some time reviewing your cash flow statement and examining where money is coming in and leaving out.
This is the opportunity to address any differences that you find.
These business building and expansion suggestions only function if you are careful with your money.
After all, during these trying times, money is king.
So you might be asking yourself, “How can I stop differences from occurring?”
To achieve this, simply promote communication among your team members.
The last thing you want to do in these uncertain times is to remain silent.
Check each department’s daily reports.
Each week, discuss what is working and what isn’t with the managers.
The only time you will experience financial failure is when you run out of money.
You must therefore be careful with every single dollar, as a result.
It’s challenging to manage your finances on your own.
Because of this, you ought to rely on your team for updates and assistance.
8. Accrue as much money as you can
You want to gather as much cash as you can during this global pandemic.
Take a look at your accounts receivable and make a list of the people you owe money to.
A customer will pay you later; this is referred to as having accounts receivable.
The issue is that you require the funds immediately.
To maintain your business operations and get through these difficult times, you need finance.
How to cut down on your receivables:
1. When possible, collect payment in advance
Always urge customers to pay you in full up front.
You can accomplish this by offering them a perk for complying.
2. Establish Reminders to Contact Your Customers
Keeping track of your clientele will speed up payment.
Call them up and politely remind them of the debt they owe you.
3. Think about altering the terms of payment
Don’t give up if your client can’t afford to pay you.
See if you can rephrase your payment terms in cooperation with them.
Slow payments can significantly harm a small business owner’s ability to make a living.
Determine the cause of any late payments and take proactive steps to find a solution.
The least amount of accounts receivable is what you want.
No one should owe you money in a perfect world.
9. Save money when you can
You want to increase your accounts payable while while reducing your accounts receivable.
Consider that you owe a third party contractor $500.
After 30 days, you promised to give them the money.
Is it possible for you to change the payment terms?
Can you negotiate 45 or 60 days if the payment period is 30 days?
Can you split it up into several installments spread out over time?
Frequently, all you need to do is ask, it turns out.
During a worldwide crisis, other businesses experience a comparable circumstance.
They will therefore be accommodating with regard to payment terms.
In actuality, nobody is certain of when we will recover.
How long this will go on for is unknown.
But it makes no difference; as long as you have money, everything will be OK.
You can weather this storm by doing everything you can to save money.
You may prioritize your tasks and save money by using these business growth and development tips.
After all, cash is your company’s lifeblood.
You are unable to proceed without it.
Don’t undervalue the importance of this phase because it will make or break your success.
10. Revitalize your current clientele
Your customers are probably going through identical feelings and difficulties.
Additionally, they could be unsure of what to do.
What can you do to support and comfort them amid all of this?
Can you offer them anything else of worth, please?
Can you help them with any of their issues?
Asking your current clients how things are doing is a quick and easy technique to accomplish this.
Do you want any assistance from me?
Consider this scenario: What would you do if you couldn’t acquire any new clients for the ensuing 12 months?
It makes sense for you to concentrate on your current clients.
They have already done business with you, after all.
All you have to do is let them know you are willing to assist.
You will be able to continue providing services to customers through these unsure times by using these advice on how to develop and grow your business.
11. Re-activate any existing customers.
Do you have any former clients who used to purchase from you but do not any longer?
If that’s the case, how can you contact them to restart your relationship?
These clients most likely haven’t bought from you in a long time.
Even though they may have stopped communicating with you, they still think about you.
It might be wise to get in touch with them at this point and see if there is anything you can do to assist.
It’s also really beneficial because it doesn’t cost you anything.
However, a straightforward email won’t do.
Pick up the phone and use your closing techniques.
Email communication involves a lot of back and forth motion.
Before making a choice, your clients may have questions, objections, or concerns that need to be addressed.
You might not receive a definitive response for several hours or even days.
You can address these concerns right away over the phone and receive a response the same day.
This has a significant impact on the closure procedure.
12. Keep Your Current Clientele
You might not have the means to promote your goods and services during a major world crisis.
So what do you need to do?
Instead, consider what you can do over the following 30 days to keep your current clients.
You must do every effort to keep customers if one of them decides to leave because of the worldwide crisis.
Three methods are provided below:
1. Interview Your Clients
Ask your consumers why they are no longer making purchases from you by taking the time to conduct a poll of them.
Is there anything you can do to help them more effectively?
2. Hold Meaningful Discussions
Customers can feel ashamed to acknowledge when they are having financial difficulties.
Make sure they are aware of your support and your flexibility throughout this period.
3. Provide a Discount on Your Goods or Services
Although it is not advisable, it is preferable to offer your customer a service at a lower cost than to lose them entirely.
If it doesn’t cost you a lot to provide your services, this won’t harm your business.
During a worldwide crisis, customer retention is crucial since you cannot afford to lose any clients.
Perhaps one or two of these business growth and development suggestions struck out to you; whatever they were, consider how you can use them going forward.