Do a financial scan of your business to help diagnose the financial strength of your business. Before performing a scan ask yourself:
1. What information will the test give you?
2. How will the results guide your next steps to treat any found problems?
3. What are the risks and benefits of the treatment?
Now, determine if your revenues are tied to industries which have suffered major decline due to the pandemic, such as: travel, hotel, entertainment, oil, and gas, restaurant, airline to name a few.
If the answer is yes, how will you adapt/modify/review your business model to lessen your firm’s dependency of this industry?
Can you switch to other products/services that are now in demand? For manufacturing companies, it may involve product development and manufacturing of hyper sterile products. For service companies, can you provide hands-on training for companies on online technologies? Can you create apps to secure online platforms/websites from hackers and disrupters?
Second, take the pulse of your expenses:
What expenses can you eliminate immediately without major business impacts? Contact key vendors to structure new payment terms and explore deferral options. Now, it may be time to investigate other vendor sources who may be open to more favorable terms.
Third- what is the emotional wellbeing of your employees? Are you coming out of the pandemic with disgruntled, unhappy employees? Did your leadership style affirm or dismiss the concerns of your employees about the impact of the coronavirus on their health and the health of their families?
There are no magic pills to take to erase the effects of the pandemic. Companies who want to survive must perform a comprehensive , targeted analysis of their business.