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Entrepreneurship: Surviving the Covid-19 Economy

Johns Hopkins reported that over four million people have died because of the virus. They tempered the bad news by saying that millions are fully vaccinated.  It is comforting to know this piece of information. But we still have a long way to go.

Early this year, BBC published a report showing the economic loss brought by the pandemic. We, local blokes, may not understand the complicated mechanics of the stock market. But we can feel the Covid-19 induced financial downturn.

Small business owners took a big hit because of the pandemic. At the early stage of the Covid-19 crisis, the government reported that over three million small-scale enterprises. This catastrophe led to government intervention.

Entrepreneurs need more than financial aid to keep their companies afloat. They must strategically plan out all aspects of their operation. It will be a daunting task. But we are here to help.

Premises

If you are running a restaurant, you should consider renovating your premises. It will keep your staff and your customers safe. It will also attract more followers. Earlier this year, NBC reported that outdoor dining is a trend that will stay even after the pandemic ends.

You can capitalize on this trend. Before proceeding with the renovation, you need to consult an expert on what layout will work best. You may consider the following questions:

  • How can I make the current arrangement conducive to social distancing?
  • Would installing more windows lessen the concentration of viral aerosol?
  • If I were to build a semi-permanent structure for outdoor dining, should it have walls?

For other types of businesses, it is still an excellent time to renovate. Again, our aim here is to make your premises conducive to social distancing. Your secondary goal is to give your company a fresh face. You can put up customized signage to signal pedestrians of this. Other than that, you can also freshen up your store’s façade.

Product

You must work on the product while a contractor works on your premises. When working on this task, you should remember that you want to attract more customers. You can improve this by improving your product or your service.

People make the mistake of thinking that a brand is just a label. As this Forbes article said, it is more than that. It can be your biggest asset as it sets you apart from the competition. Your brand is what customers associate with excellent products or services.

Rebranding does not mean that you will create a new product. It can be simply making your merchandise the best in town. If you offer steaks, you can be the restaurant that offers the best side dishes. Or your customers can associate your brand with the restaurant that keeps crusty and succulent steaks.

Equipment

This goal is easier to achieve if you have the proper machinery. We are not only talking about physical equipment. But we also mean the tools that help your team respond to your customer’s needs efficiently. They may have different accounting treatments. But both are tangible and intangible assets.

Investing in these will help your operations run smoothly. It will also lessen employee frustration. The question is whether to purchase or lease them. If you are not sure what to do, here are a few questions to mull over:

  • How often will you be using this piece of machinery?
  • Is it vital in delivering excellent customer service?
  • Is there an alternative?
  • Am I eligible for equipment financing?
  • Would it be cheaper if I go for equipment leasing?

If you know that you will be using the equipment daily, it is wiser to purchase it. Doing this will allow you to recognize the piece of machinery as an asset. Let us say take the example earlier where you run a restaurant. In this case, purchasing an industrial-grade freezer is a wise move.

On the other hand, you do not need to buy a delivery van. Leasing this piece of machinery is a cheaper option. Not to mention the alternative, your customer can use GrubHub and UberEats to get their food. If you choose to lease this piece of equipment, kindly remember that you cannot recognize the van as an asset in your financial statements.

These steps will guide you throughout the business overhaul. They will make the process seamless and painless. Other than ensuring the success of the task, they can guarantee the survival of your company. If properly executed, they can also prevent employee dissatisfaction. Lastly, you can use these methods to expand your establishment.