With everything that’s going on, things appear to be more than a little rough for the small business owner right now. However, if we peel back the emotion and look at the facts, there are reasons to be cheerful.
- As a sole proprietor or small business owner, our overheads are often much lower than that of larger businesses. Not only are they lower but we have much more control over what we need/want to be spending on. We can adapt our cash flow much easier than those who have a lot of fixed costs or higher payroll expenses.
Now would be a good time to review what expenses you have and where are you getting good value for money (Zoom stocks anyone??) and where it may make sense to cut back. When we at CNBN realized what was happening we immediately realised, now more than ever, our members are going to need our help. With financial planning, with restructuring your workflow and most importantly with emotional support. Look out for some hypnosis recordings to help with your relaxation and sleep. We will be offering many more resources to our members in the coming weeks and months.
- Your business can continue from your home “thanks to the wizardry of modern technology.” Rarely does anything in your business require you have physical contact with your customers/suppliers. (Clearly some do…… massage therapists, nail technicians etc.) However many more of us are realizing that an in-person meeting is not so important after all. Fortunately for us smaller businesses, it will become clear that having a large office does not make anyone smarter or more experienced. Freelancers and Sole Proprietors have known this for years. Now the rest of the world can catch up to our way of thinking.
Now would be the opportune time to review your branding strategy. All of those big businesses have to move their marketing and operations to an online platform. You are already ahead of the curve. Make sure you are optimized for online growth!!
- By keeping your business going during these major economic shifts you are already in a much stronger position as we pull out of the downturn and into the upswing. Yes people have bills to pay and food to put on the table….. However, there is a lot of funding (with very little barrier to entry) going out to small businesses.
Take advantage of those funds and then make sure you are investing it wisely. On the flip side, be the wise investment other business owners will be happy to pay for. Of course, it goes without saying: if you are taking on extra debt (which probably makes sense right now) have a clear plan for paying it back. Yes, that means having your cash flow projections mapped out!!
Donna is the CFO of Connect Now Business Network, a fourth-generation entrepreneur and financial consultant. She has worked with money or cash management for most of her career. What started out collecting fines for the legal system or collecting debts for private enterprise progressed into bookkeeping with an accounting firm. This gave her a solid understanding of what you need to run your business and what you accountant needs to prepare your year-end financials and tax returns. After many years in this field and 2 children later it was time to set up her consulting company Beyond Balanced Books. Donna has a passion for helping business owners understand their financials and how best to utilize their money to grow their business in the quickest way possible. Her unique approach focuses on not only the business cash flow but how personal cash flow affects the business growth as well. She has a way of explaining numbers that makes them less scary. Donna delivers her advice with humourous flare backed up with solid accounting practices.