- November 17, 2020
Had anyone told you, at your end-year party in 2019, that the world would be dealing with a pandemic for the entire 2020, throwing businesses and entire economies off course, you would probably have laughed them off. Yet, here we are. Businesses, both big and small, have had to find new ways to reach their customers, package their service and product offering as well as facilitate their growth.
There are a few key things that woman-owned businesses can do to adapt and stay on track in these volatile times.
- Pay attention to market insights
Making the right financial decisions at the right time could be the difference between weathering the storm or being swallowed by it. Stanbic Bank has been instrumental in providing market insights in a manner that can easily be understood through the PMI report, issued monthly.
2. Budget and be frugal
The uncertainty of the period requires less spending and more planning. Just as we are told to do with our personal finances, the same applies to businesses. This is the time to tighten those areas where money gets lost. Set a budget and stick to it. It is also wise to reduce unnecessary spending as much as you possibly can. We could all use fewer out-of-office meetings. After all, it’s a pandemic.
3. Have a rainy day kitty
As you come up with your budget, it is wise to set aside an amount that regularly goes into building your emergency cash reserves. These could come in handy when income streams run on a trickle. With this, you are able to keep covering your costs like utilities, salaries and supplier fees.
4. Always be on time
Always remember to pay outstanding bills, taxes and loans on time. If you need to set a reminder, do so. This ensures that you avoid penalties or delays that could get you into debt. This also builds your trustworthiness in the event that you may need to get financial assistance from any institution. At the same time, a good track record builds relationships that can be leveraged later on.
5. Keep your business and personal expenses separate!
A huge mistake that many businesses, especially small ones, make is having personal and personal finances cross and affect the company’s liquidity. It is advisable to pay yourself a sum to avoid using your business account as your personal wallet. This way, you can have separate budgets that are easier to manage.
6. Have a loan? Take advantage of the tax holiday
With the prevailing difficult business environment, we have extended loan repayment holidays to SMEs banking with us. Should you need to boost your liquidity or restructure your loan, these services are available to you. Simply reach out to your Relationship Manager to get the process started.
7. Have a growth plan and invest in it
It may not be the first thing people in business think about in uncertain times but one thing to remember is that we can only grow if we are competitive and offer an edge. Take those courses, attend those workshops, grow the skill sets that positively impact your business.
While it is increasingly difficult to navigate business in a pandemic, it is possible to make the moves that ensure you thrive. DADA by Stanbic Bank is your partner for growth, connecting you to other business women for trade and networking while offering the financial support you would need along the way. You can contact us on 0711068888 to find out how DADA by Stanbic can support you and your business.