WorldExecutivesDigest.com | Keep Your Business Afloat During Hard Times With These Five Tips | Every business falls on hard times at one point or another. Whether due to a bad location, increasing costs, or a global pandemic, knowing how to weather these storms is the key to keeping your doors open.
No matter what kind of business you own, these tips will help you weather the storm and come out on the other side stronger.
Look Into Business Interruption Insurance
If there’s a specific reason why you’re struggling that’s out of your control, it’s time to take a close look at your insurance policy. Business interruption insurance coverage has the potential to provide you with benefits that will undoubtedly help you keep your business open.
A few examples of losses that can be covered include:
- Rent, lease, and mortgage payments
- Employee payroll
- Loan payments
- Relocation costs
- Reduced revenue
Every policy is unique, so it’s important to look at the details of your particular policy. If you don’t have business interruption insurance, you won’t be able to get help right away, but it’s definitely something you should look into for the future. That way, if you experience more challenges, you will have a way to recoup some of those losses.
Find New Ways to Market Your Business
If you’re struggling to make ends meet during a hard time, marketing is a quick and easy way to save some cash. However, that doesn’t mean it’s a good idea.
Selling products and services is what keeps your business afloat, so it’s important to continue getting the word out about your business. You shouldn’t completely eliminate marketing your business, but you should consider ways to replace expensive marketing strategies with low- or no-cost options.
There are many creative ways to market that may require you to put in a little extra time, but they can pay off without costing you a dime. Just a few examples include:
- Start or maintain a blog
- Get more active on social media
- Post videos on YouTube
- Distribute press releases
- Revamp your website with SEO in mind
Focus on Making Your Existing Customers Happy
Finding new customers can be a great way to keep your business afloat, but it’s also difficult, especially if you’re scaling back your normal marketing efforts. Instead, spend a little bit more time focusing on making your existing customers happy.
There are many ways to do this that may take a little extra time, but they don’t necessarily cost a lot of money. For example, you may want to give your best existing clients a personal phone call or decrease the time it takes to respond to online emails and messages.
Consider getting creative with the products you offer. For example, create fun grab bags that enable existing customers to try products they haven’t tried before, or offer personalized service to help match customers up with the right products and services for them.
Keep Plenty of Cash Handy
Cash flow problems are nothing new to businesses, but the pinch is really felt when something goes wrong. Try to avoid using credit cards if you’re experiencing problems, as fees and interest rates can really add up. Tapping into a savings account is the best way to get the money you need, but if you do need to reach out, it’s better to seek new investors or a bank loan with lower rates. Liquidating some assets may also be an option.
When you’re going through a hard time, an unexpected bill can spell the beginning of the end for your business. By making sure you have access to some cash, you can face problems as they arrive.
Find a New Point of View
If you were putting in a lot of hours at work before, just wait until you’re worried about the future of your business. Although you may be tempted to work even harder, it’s actually much better to step away.
That doesn’t mean you’re giving up on your business! Instead, it means that you’re allowing yourself to develop a different point of view. Make time to meet with other businesses that are struggling and you may gain a new perspective, make time in the afternoons for a nap and a solution may come to you in a dream, and encourage coworkers to spend a little more time with their families so they can bring their refreshed attitudes to work and find new solutions.
Your business doesn’t have to sink during tough times! These tips can help keep you afloat through nearly any challenge.