Table of Contents Show
- How Small Businesses Can Rebuild After COVID-19
- 5. Spend Time Reconnecting With Your Ideal Customers
The business fallout caused by the Coronavirus continues to take its toll, and its effects will be felt for years to come.
1.4 million to 2.1 million startups would have closed permanently if it weren’t for government intervention, but those that survived still struggle to rebuild after COVID.
How Small Businesses Can Rebuild After COVID-19
Bouncing back after a difficult period takes more than budgeting responsibly. It requires taking advantage of all the help you can find while committing to reducing turnover and overheads.
1. Assess the Financial Effects and Create a Recovery Plan
To start your path toward a better financial future, you need to know the current state of your business.
Examine your business’s full financial picture using available data from profit and loss statements, payroll spreadsheets, invoice receipts, and bankroll sheets displaying your debt.
Then, look at other areas affected. If you had to downsize, let go of staff, or lose customers, that counts as money lost.
With this information, you can make a business recovery plan that addresses these key areas. If you need capital to finance your recovery, look to government aid.
2. Make Sure You’re Claiming Any Benefits You’re Entitled To
The United States government put multiple protections in place to support businesses affected by the pandemic.
These includes the Employee Retention Credit, Paycheck Protection Program, Economic Injury Disaster Loans, and SBA Loan Forgiveness Program.
This SnackNation’s guide will walk you through how to apply for the Employee Retention Credit, which you can retroactively apply for in 2022.
If you can’t utilize these credits, benefits, or loans for your business, you can still get a traditional loan or sign up for local debt relief programs.
3. Improve Productivity Through Remote Work and Automation
A productive business is better at creating and selling products, but your staff is only as efficient as the tools they use. For example, automation tools can cut down on tedious tasks, which gives them more time to spend on more pressing matters, like customer retention.
If you can run most or all of your business out of the office, consider adopting a remote or hybrid work policy.
Remote and hybrid employees are more productive, motivated, and efficient than in-office staff, especially if you track performance based on output instead of hours worked.
4. Offer Better Benefits, Pay, and Opportunities to Employees
Employers aren’t just wrestling with a financial crisis stemming from the economy; they’re also losing employees for the same reason.
The cost of living is so high that low six figures is considered a living wage in the US for a family of four, which the majority of Americans don’t make alone.
If your turnover rate is high, consider offering better benefits, pay, and opportunities to your current and future employees.
Although taking this step can be costly, turnover is one of the most expensive parts of operating a business. Do what you can to keep your staff around.
5. Spend Time Reconnecting With Your Ideal Customers
Consumers aren’t buying like they used to, but it isn’t as drastic of a change as you might expect.
For example, while customers like to shop online (and even prefer it), many of them use online shopping portals to pick out items before buying them at a brick-and-mortar store.
If you pay attention to your customer’s shopping habits, you’ll be able to bounce back sooner. With that said, you may need to adjust your brand messaging or marketing materials to bring in the same crowd.
To understand what your ideal customer wants, issue surveys and use data.