Help Your Business Survive The Implications of COVID-19

By Ken Matthews, Managing Director, Matthews Steer.

At a time when COVID-19 presents an undeniable threat, both to our health and our businesses, it’s only natural to feel helpless, rudderless or overwhelmed. And, while survival has to be the No.1 priority in the unprecedented times we are living through, there are some simple actions you can take to prepare your business for the impact of COVID-19 now, and into the future.

Let’s face it, as business owners, how often do we have the opportunity to truly hit pause, take time to think about what our businesses could look like, and strategise?

It’s clear now that the way businesses have operated in the past will continue to change radically far beyond the coming weeks and months. So, ask yourself: 

• ‘How can I rise to the challenge and re-engineer my business for the future?’ 
• ‘How can I simplify our structure to make it more efficient, profitable and agile?’ 

The impacts and challenges posed by COVID-19 are going to be felt for quite some time, but this situation also presents what is possibly a once in a lifetime opportunity to streamline business practices, seek cost savings, and refine working from home processes, all of which stand to change our lives for the better. 

This is a time for leadership, not a time for wobbly knees. This virus – and this health, social and economic situation - will pass. You have to do everything in your power to survive it and, if you can, to take the opportunity to reengineer your business to come out the other side for the better. 

Tips to help your business survive the implications of COVID-19

1. Think about the best businesses, how they operate, and how you can emulate them.
    
2. Learn about the newly-introduced government support and incentives available to your business. You can find a summary of government support and incentives here. 
    
3. Update your financial projections, estimate financial impacts and develop mitigation strategies:

• know your break-even point.
• plan for different scenarios – a drop in sales, delayed debtor collections, difficulty obtaining supplies, availability of workforce
• speak to a member of the Matthews Steer team if you would like to undertake a 'business health check'.

4. Understand your employees' entitlements.
    
5. Act now to improve your cashflow:
   • contact your debtors.
   • talk to your suppliers.
   • talk to your landlords.
6. Speak to your bank for an update on what support they will provide to you. You can find links to the four major banks’ dedicated support pages below:

• CBA
• Westpac
• NAB
• ANZ

7. Protect your personal assets:
   • understand your personal obligations as a director. 
   • undertake a review of what directors guarantees you have provided.
   • secure the money you have lent to your business.
8. Understand your entitlements to state and federal government grants that will help you fund the changes you need to make.
    

And remember, we're on hand to assist you and your business over the coming months. Our office remains open and we will be working physically and/or remotely to support you, so please don’t hesitate to contact the Matthews Steer team.