Civil unrest and explosions locally and a global epidemic of COVID-19: 2020 will definitely go in history as a watershed year. Although we live in exciting times, most business owners aren’t particularly happy because they are faced with a plethora of problems. However, true entrepreneurs never give up, so here are the solutions to the business issues this year.
Less dependency on the founder
A common problem businesses are facing in 2020 is the absence of workers who have fallen ill. It only takes for one person infected with the new coronavirus to enter the premises and soon you’ll have tens of workers calling in sick. Even worse, the business owners could get infected as well, leave the company in the dry.
Ironically, such a scenario presents a great opportunity for the company to revise its dependency on the founder. Big businesses are not as affected as much because they have teams of managers rather than a single boss but small enterprises can take a huge hit. Appointing a temporary deputy to lead the company while the owner is recovering is the best solution but do this before a crisis strikes.
Postpone growing your business
The predicted 2020 global recession creates an atmosphere in which staying afloat financially becomes the main goal for most businesses. In order to grow your business, you have to make a sacrifice and invest in expanding business operations.
However, if your cash flow is dwindling right now, it might be wiser to postpone business growth. Instead of focusing on opening more stores or adding extra services, you should work on quality and try to expand your business in 2021, at the very least.
Diversify your clientele
Any good marketers will tell you that targeting a particular group of people as customers will boost your sales. Advertising to the general public is counterproductive if you’re selling vaping products or building sailboats which only a small group of people are interested in.
In 2020, diversifying your client base should become a top priority, as you need every dollar from sales. If you’re unable to allocate new clients, then partner up with other brands to expand your clients’ base. It will be a win-win situation for both enterprises.
Cash flow is essential for any business. If you wish to take out a loan to expand your business, the bank is not going to ask you how much money you are going to have in the future but how much money you have at your disposal right now. Because of global lockdowns, cash flow has become a problem for many companies.
Running out of cash or waiting months for debtors to pay is only reasonable if you hire a debt collection agency to pump extra cash into your business. Another solution is to get a second job. This will make it hard to focus on doing business but the extra work on the side will help you keep your main business venture solvent.
Protect your online assets
There is hardly an industry in which online shopping hasn’t seen a steep rise in figures. From food to cars, everything is getting delivered to the doorstep nowadays and you have probably jumped on the bandwagon when the time was right.
However, the more business is done online, the more vulnerable does your online shopping platform becomes. Small businesses are especially vulnerable to cyber-attacks, as a security break could result in a loss of trust on part of the customers.
Investing in online security (firewalls and anti-malware software) is more important now than ever, as you are probably holding online meetings due to the social distancing measures.
Shopping for a cause
Apart from distancing, social networks are full of calls for people to wear masks. The present-day is a time of various causes and your business should follow suit. If you can convince shoppers and partners that your enterprise has a clear cause, then you will gain their trust even before you start trading. Doing so, you will counter the problem of the unwillingness of consumers to spend money in a time of crisis.
Fatigue will get to you
Hopefully, the vast majority of businesses will recover from the crisis caused by the coronavirus pandemic but not without putting in a lot of effort. Everyone from top management to factory floor workers are under a lot of stress so fatigue is a real danger.
The long hours, constant cancellations, and the general hustling you need to surface eventually take their toll. Since you are working long hours and not getting enough sleep, you are more likely to make wrong decisions more frequently. Combating fatigue involves taking the weekend off an escaping into the serenity of the outdoors with your friends and/or family.
2020 is plagued by various problems when it comes to doing business. If you’re intuitive enough, you can overcome all of these issues by preparing for them and coming up with intuitive solutions that will do you good in the years to come as well.