How to Adapt Your Business Model After the COVID-19 Crisis
If you are preparing to open a new business, the shutdowns caused by the novel coronavirus are devastating roadblocks. However, this time does not have to be a waste. Instead, you can work on the following tasks to make sure that when you finally open your business, you are ready.
Contact Your Vendors
Almost every business needs to have professional relationships with other companies who provide them with materials or services such as custom machining. If you already had suppliers lined up before the crisis began, contact them again and let them know that your opening is delayed. Ask if they are still willing to sell their products to you at a later date and if their prices have changed. If you have not found suppliers yet, now is the perfect time to do so. Research all the different options thoroughly, since you are not in a rush. Consider supporting local businesses if you have the budget to do so.
Develop Your Brand
Entrepreneurs often neglect to fully develop their brands and rely on marketing teams to create their companies’ public images. However, given the state of the economy after the crisis ends, you may not be able to hire a marketing staff immediately, so you need to decide on your brand now. Ask yourself what causes matter to you and how these issues relate to your business. For example, if you are passionate about conservation and you sell reusable water bottles, your brand could incorporate the importance of eliminating single-use plastics. Once you decide which issues to highlight, create a mission statement, slogan and logo. Unless you are an artist, hire an experienced graphic designer to complete the last task.
Determine Your Budget
Even if you have already met with an accountant to set a budget for your first months of operation, that budget will probably have to change now. Your vendors’ prices may fluctuate, your rent may go up and, unless your business is in a high-demand industry, you will probably have fewer customers when you do open. Find ways to cut costs now, and then if the economic situation is better than you predicted, you can restore those parts of your original budget. For example, if you planned on having a receptionist, eliminate that position and answer the phones yourself until your economic position stabilizes.
This is a stressful time for everyone, but particularly entrepreneurs. Use the time to get your company ready for opening in a new economic situation.