In the wake of coronavirus across different countries and a slumping economy, the prospect of starting a new business or thriving the existing business has become a challenging task for many people.
As this pandemic is turning out to be an international economic crisis, the industries and markets are facing ramifications similar to the 2008 crisis. This deadly virus has not halted activities of small businesses; even big firms are also facing challenges to manage their organizations and employees.
As a famous adage, “every cloud has a silver lining,” so the same goes for this crisis. Startups are known for their flexibility and creativity and are rapidly looking for new opportunities to improve their exponential growth curve. If you are also looking for helpful tips to survive your business during the COVID-19 crisis, we share this article’s information.
Let’s read the helpful and informative tips to not only survive in the marketplace but also scale up your business.
Helpful Tip 1: Do Careful Cash Management
The first and foremost tip for surviving your business in the spread of a deadly virus is managing your capital and equity. One of the biggest challenges most startups face is cash management. How to manage it properly to be used for further investment and scale up the business?
It has estimated that it will take time until the vaccine gets introduced and approved in the market. Therefore, now companies need to prepare themselves for further sanctioned regulations and lockdowns. You never know when this deadly disease is going to end. So, preserving cash during this period is quite essential.
Since the valuations’ graph is shifting shown, many businesses are not getting enough funds to run their business. So, if you want to play safe and sound, you should keep your money deposit and use it on the essential services or products to help your business survive.
Helpful Tip 2: Transforming Valuations
The second helpful tip for surviving your business in the marketplace is transforming values so that you can meet the existing customer’s core values. Since the stock
market and other industries have crashed and can only go further down, business founders need to have realistic goals and objectives to be achieved. Nowadays, startup valuations have become conservative, so it has become even harder to attract funds and raise money.
But there is one twist in crisis times; the expected returns are often coming much higher than in normal times for many startups. But this is not true for every company. If you think your business can really increase the value, you should start investing. Otherwise, it would be advisable to wait until the market cleared the pandemic’s impact before asking for any raise.
Helpful Tip 3: Leadership Challenges
Another helpful tip for surviving your startup during COVID-19 is building a relationship with the customers and employees. The concept of leadership has become more complex. In order to increase the momentum of your business, you have to start building, establishing, and deepening trust, transparency, and honesty between employees and management.
The more reliable and trustworthy administration of your business will be, the easier it is for you to stay connected and thrive in the marketplace. Your employees and internal management should be aware of your values and vision of the company. Being a leader, you have the double responsibility to ensure that your employees are happy, and customers are satisfied with your team members.
If your employees are not satisfied with your leadership skills, you should ask and invite them to understand and coach them. Coaching can contribute to well-being, prompt self-reflection for business leaders, and help in making balanced decisions.
To be honest, the crisis is turning out the economy of every company. In this scenario, laying off your top talented employees will drain your chances of successfully setting up the business. This is another reason for startups to act strategically and patiently to thrive in their business during COVID-19.
Helpful Tip 4: Turning your Business Space Needs
A fourth helpful tip that can help you survive in the competitive marketplace is turning down your business space requirements. Many businesses are bidding for co-working spaces and incubators as compared to physical workspaces. In this way, they are saving a lot of traveling time and business building expenditure. However, this new invention is creating a halt of social interaction.
But with the availability of the virtual calls and virtual meeting tools, startups can also stimulate creativity and communications among employees proficiently. This way, they will remain connected and also spontaneous encountering opportunities for respective startups’ growth.
Helpful Tip 5: Consider Pivoting
The next helpful tip for keeping your business updated and stand still in the economic crisis is to consider pivoting. Pivot has become a buzzword in the marketplace, which significantly defines a significant business change ranging from mild to dramatic. Nowadays, many startup firms are changing their way of offering values and products to different customer segment bases.
This way, you can overcome your competition while simultaneously exploring a new entrepreneurial world. Think of keeping your existing customers loyal to your business. Start looking for new ways to attract new customers towards your business is a different yet amazing key to success.
Well, you can also think of collaborating with your complementary rivals to launch new products or scale up the business in a different zone. For instance, a 3D based printer company collaborated with the companies which usually reuse protective equipment and distilleries producing hand sanitizers. It has become even more important for the companies to initiate responsible practices and stakeholder treatments to quickly, transparently, and equitably go a long way.
Helpful Tip 6: Business Development and Marketing
Business development and marketing have become an important tool for sustaining your business standstill against your rivals. The more developed and updated your business operation will be, the more advanced your business will stay in the marketplace.
Business development and marketing need to be more effective and proficient to make everything run smoothly. This is the high time for business people to look for various opportunities that are actually attracting customer’s attention worldwide. Now, founders have a golden chance to leverage entrepreneurial communities’ power by meeting potential clients from around the world who understand your business.
Now, tech-savvy entrepreneurs help medical people scale up their business activities and be reachable to everyone. This is a time of high synergy!
Helpful Tip: 7 Embark into New Markets
Finally, the helpful tip that can help business founders survive and grow during COVID-19 is to start embarking into new markets. Try to explore new opportunities and ideas so that you can stay in the competition. Start brainstorming new solutions with your employees, investors, and partners. During this time, you can’t lose anything. It’s high time to enter into infrastructure that holds the capability to scale up. With your grit and hustle, you should invest in firms with the capability to scale up. This is the time to explore!
This article is all about the important 7 helpful tips for startup founders to survive COVID-19. We hope you have now better ideas and tips for surviving in the economic crisis. Every business is dealing with the slumping economy and spread of COVID-19 issues. If you want to stay ahead of your competition, it is always advisable to think out of the box and look for those opportunities which can help you stand in the marketplace and also give you a way to explore new opportunities. Good Luck and Stay Healthy!