In these volatile times, anxiety is everywhere. We are all feeling the impact of the coronavirus pandemic. Owners of small to mid-sized businesses are worried about the future of their business and if they will be able to survive during this situation.
Are you having conversations about business continuity planning?
Concerns Impacting Businesses in the Wake of COVID-19
While business interruption insurance can help, there is the more practical problem of the week to week payroll, payable run and cash receipts. Have customers stopped orders or withheld payments? Will you be able to meet next week’s or next month’s payroll? Should you withhold payments to vendors? Almost all companies are faced with employees working remotely, as well as being impacted by current legislation providing paid leave for child care and illness related to COVID-19.
Questions to Ask
It’s hard to know how to navigate in this uncertainty. Here are a few questions to consider:
Cash flow projections
Other strategic consulting
Consider further lending sources
Consider discussing with your bank an increase to your line of credit or look into the new SBA Economic Injury Disaster Loans. These loans have up to $2M in loans available for qualifying small businesses.
Accounting and Financial Records
While personnel cuts may impact your organization, the importance of having solid financials remains. It’s important to have accurate bookkeeping and finances as you make plans to keep your business afloat and sustain it long-term.
There are also several delays, provisions and guidance to consider that will impact your organization’s finances. Having a trained financial professional, whether internally or outsourced, will be vital to your operation.
As we continue to experience uncertainty for weeks and months to come, it’s important to make informed decisions. Having frank and honest conversations, even during times of uncertainty, can help you game plan for the months ahead.
Need to discuss the state of your business in the wake of COVID-19? We are offering free 30-minute calls to help you make sense of it all.