Getting your business back in the swing of things
With summer drawing to a close and the ease on commercial restrictions increasing, business are facing the 'new normal' once up and running again. Yet with so much disruption to business, it will require a diligent look at all operational and financial issues that arise from coming back to work, opening up for customers and fully engaging with your suppliers and partners again.
How well your organisation gets in to the swing of things may well depend on how well you've managed to 'pivot' up until this point and how well you adapt to the altered circumstances you find yourself in.
Operationally, what actions do you need to take to ensure that you and your team are ready?
With personnel getting their feet under a desk again, whether that be in the office, at home, or a combination of the two, flexibility will be key in the months ahead. If this duopoly is engaged with fully it may bring a whole host of benefits, not least the higher productivity and improved morale that comes from a better work-life balance.
So it will be wise to assess the financial implications of initiating different permutations of working practice for different members of staff. What staff do you need to help the business not only survive but thrive? What will it cost to reduce the workforce? What will it cost to cross-train personnel?
Additionally, consideration should be given as to whether you will be able to save money on previously provided benefits such as London Weighting, season ticket loans or subsidies? Will you be able to still take advantage of Government grants on national insurance or tax savings? And most importantly, how will the 'new normal' enable your organisation to plan financially and operationally for the future?
It always helps to look back a little to enable you to move forward. So consider the scenario planning you had in place prior to the pandemic. How did you cope? What do you have in place now to cater for any future recurrence should a second wave be more hard hitting for business? How long would you survive with your current rate of income and expenses?
All these and more should be a natural conversation for you and your accountant to have to plan ahead with greater confidence.
With the reopening of the economy, every business needs to reassess its strategy and operations to be properly positioned for a recovery. But is your current business model likely to still be as effective in the 'new normal'? What else might you need to adopt? Which customers are buying now? Why aren't others as engaged? Will customers be retained if you are necessarily operating in a different or altered manner? How will new customers be attracted if your marketing and/or distribution channels have been impacted? Have your competitors been swifter or slower to adapt than your business. If the latter, what can you do to capitalise on this?
So, financially, there are many questions you can pose, where your accountant, certainly if they are a true partner can advise, including assisting you with a financial health check. Not least your current and medium term cash flow position. While the economy may bounce back will you do likewise? What can you do to bring money into the business now? What can you do to ensure the long term future of the business?
Together, we can craft a plan which assesses your current needs and financials, determines what action needs to be taken now to not only stave-off further threats and survive, but whereby you can thrive within future quickly changing circumstances. Forecasting is a challenge in normal times, in the current environment it is particularly difficult. Even so, you should consider scenarios based in reality and a wide range of outcomes. And so with a clear vision for all stakeholders, not least for business partners, suppliers and customers, you can at the very least be reassured that you have covered all bases with GSM.
Call GSM today to arrange a free, no-obligation meeting with one of our Partners on 020 7935 3793