Here Is How Small Businesses Can Be More Resilient In 2021

The ongoing pandemic has caused major issues for a lot of businesses, with some of them forced to shut their doors for good. It seems like no companies are immune, especially smaller businesses that must become resilient to survive. Many small business owners may even feel as though everything about this is simply beyond their control. That’s why we’ve compiled the below list of survival tips, so you have the best chance of making it through to the other side.

Monitor cash flow

Planning ahead with your cash flow is always essential at the best of times, but especially during uncertain times like these. By identifying any potential financial issues ahead that may cause slimmer profit margins, forecasting your cash flow will ensure you have a plan for taking evasive action as early as possible, rather than getting caught at the last minute. 

Small businesses should plan at least three months ahead to ensure sufficient capital is available for all future operations, including inventory purchases, rent payments, debt servicing, and even acquisition of assets. All possible future possibilities need to be anticipated, so discuss your cash flow with your accountant so you can be sure that you know exactly what position your finances are in.

Engage with employees

Employees are one of the most valuable assets of any business, so engaging with your staff is definitely important. Involve your staff with your decision-making process and always ensure they are in the loop. Simply by remaining open and honest with them about the current situation, they’ll be far more comfortable with everything and they may even help find new business opportunities for your survival. 

Remember too that no service or product can be sold without their help, so make sure you look after them. That way your staff will surely be available whenever your business operations resume again at full strength, which hopefully will be as soon as possible.

Pivot your marketing

Despite revenues being down for many businesses, keeping up with marketing is essential to ensure your customers stick by you through hard times. Working out the most applicable and affordable marketing strategy during the downtimes will also allow you to connect with potential customers by convincing them you provide them with genuine value.

While some may need to reduce their budget for marketing during bad times, it’s always important to continue using some marketing components as they might produce the positive results you need to survive. And because marketing is such an integral part of any small business, your marketing strategy should then be updated whenever things start improving again.

Increase digital strategies

Small businesses have been pivoting towards digital and online strategies ever since well before the pandemic first began. Then afterward, adapting to this new normal of online workflows suddenly became imperative for many businesses to survive. 

Now that more businesses have taken the plunge into the world of digital and remote work online, there will likely be more onboarding over the coming year with broader access to training, and other aspects of eCommerce. 

Additionally, businesses have been able to access digital technology such as AI, machine learning, and big data which will assist with structural flexibility and market studies that ensure they remain competitive. In an ever-changing digital landscape, it’s important that small businesses don’t get left behind, so they understand all of the possibilities of the future extensively.

Final thoughts 

Times have been tough lately, with many small businesses struggling to stay afloat. Things have certainly changed since the pandemic hit, but it’s important to remember that they always change. 

There’s some light shining at the end of this tunnel, and you’ll come out much stronger once you make it through to the other side. But it’s up to you to ensure you consider all aspects of your business, you remain relevant to your customer base, learn some survival techniques, and find new ways to thrive in what will become the new normal.