It’s not every month that the global population enters into a realm of turmoil and uncertainty. The world has literally been turned upside down with the outbreak of Covid 19 so it’s understandable that businesses are having to make adaptations to keep up. Unless you’ve been living in a bubble you’ll be aware that social distancing and lockdown limitations have been enforced which has further changed the way companies are operating.
If you’re worried about how you can prepare for the implications you may face as a business owner, don’t panic. Continue reading to find out what steps you can take to ensure you’re ready for anything that’s thrown your way.
It’s not everyday that $130 billion cash injections are made into the economy by the government. When there’s that much money on the line, you know that there’s something serious occuring. Initiatives such as the jobkeeper scheme, one off payments and economic support payments have been developed to support Australian businesses to retain their employees and stay afloat. Jobkeeper subsidy payments could save millions of jobs with fortnightly payments of $1500 being made to employees who work for companies who have lost 30% or more revenue due to the pandemic. Researching your options and exploring all avenues of government support is the first step you should take to securing your finances.
If it’s possible for your staff to work remotely then, quick, get working on a home working policy! The best way to keep your employees safe from this extremely contagious virus is to reduce the amount of individuals within your workplace, or even better, eliminate it altogether. You’ll want to create a policy that outlines expectations and control measures so your team clearly understands what “remote working” entails. FYI- midday snacking, afternoon naps and meetings in your pjs aren’t included. Explore remote working solutions that will effectively manage team meeting and client relations so productivity and streamlined processes don’t unravel. Studies have found that the majority of employees are more productive when working from home, maybe all clouds do have a silver lining.
If your business has seen a decrease in traffic and revenue since the outbreak then you’re not alone. So many business owners have had to close their doors altogether to the public in the last two weeks so if you’re still trading, thank your lucky stars. This doesn’t, however, mean that you’re having an easy ride. A loss in revenue can put pressure on bosses, especially when it comes to paying salaries. Many people are opting to spread the cost cutting by reducing hours across the board rather than terminating employment for one individual. For example, reducing the number of hours from 40 per week to 32 for all your staff members can save you the same monthly salary cost as cutting one person permanently. You’ll need to assess workload and viability but it’s something to think about.
The worst thing you can do at this moment in time is bury your head in the sand. This is your opportunity to rise to the challenge, weather the storm and come out the other end a more experienced business owner; if you can get through a global pandemic you can get through anything. Taking advantage of the government support you’re eligible for, creating a remote working policy and thinking creatively about your decrease in cash flow is the best place to start.