Large companies and corporations have resiliency plans to react to crisis. Do you think small businesses should have the same?
As a small business owner, can you afford not to consider having a resiliency plan in place? Recent business closures related Covid-19 crisis is a great example of the necessity of having a solid plan in case of crises. But what is the resiliency for small business?
Here are some helpful questions to create a resiliency plan for your small business:
In the past three months, many small business owners depended on government help to survive during this tough time. Some received SBA disaster loan and PPP loan and some did not. Without a question “PPP program” was a great to assist some employers with their payroll. But, are you sure you are going to have all your clients back when you re-open? what about employees’ work habits? Do you think all of your employees will perform the same when they come back to work after being paid for not working for three months?
If your business did not receive PPP, can you return back your old employees that you had to let go ?Do you have a plan to adjust the layout of your office to comply with the social distancing rules? Do you have enough saving to pay for your fixed and operation costs until your business regain its strength?
During this crisis, most small businesses did not enjoy the financial assistance from the government, because the initial funding was consumed by the mid to large corporations. While the large corporation have the strength not to pay their vendors, landlords, and suppliers, the small business owners do not have the same luxury. If they do not pay their rent, they are possibly facing eviction.
Now, let’s hope that this crisis comes to a swift end, and the businesses resume their operations. Majority of the businesses have consumed most of their hard-earned savings and they need people’s support to restart their operations.
With empowering the existing culture forcing people to buy and do business with big companies, small business was facing a lot of challenges in the past three decades. Covid-19 has exacerbated the challenges that small businesses are facing.
I was in Laguna Beach walking on the sidewalk last week. I noticed there was a big line in front of Starbucks (a large corporation store) when the other small coffee shops had no customer. Why weren’t the people supporting small businesses? Was a quality or another cultural influences? I went and got a cup of coffee at the small coffee shop. It was as good as Starbucks coffee, and less expensive. So, I concluded it was the issue of quality product—possibly just branding and marketing.
Decide to help your community by shopping at the local independent small businesses and stores. Small Businesses can not afford to have a crisis any longer .