How To Deal With Economic Crisis: Tips For New Entrepreneurs

If you are just getting started in business, it would feel like the world has capsized on you right now because of the impact of the pandemic. It’s a pity your business started just when a major crisis hit the world. But, you don’t have to bury your face in your hands and feel helpless. There’s always a ray of light in the darkest tunnel – you have to discover that light. So, what do you do?

Tip #1: Aim for Profit and Prepare for Losses

For many businesses right now, it’s a mixture of the good and the ugly. There would be profits as well as losses. For instance, you may have to sell off some of your products at little profits or even losses just to recover some of your money. Especially if you sell items that are time bound and may expire soon, it’s better to recover some money than lose everything.

In essence, if you have to offer hot deals that may hurt your profit just to sell off, don’t hesitate to do so. You may be able to generate profits from other products that are not time-bound or have extended expiry date. The message is simple; just do what you can to still stay in business and also ensure your business does not phase out with the crisis.

Tip #2: Think Outside of the Box

It comes down to innovation. Becoming innovative and proactive is important for survival this season. As mentioned in a previous article titled “What are the Best Business Survival Tips During and After the Covid-19 Crisis?”, you should research current trends and see how you can adapt your current offers to the present situation.

For instance, can your present product or service meet some of the needs in the healthcare sector right now? If you have just started a local restaurant business, how can you innovate your business to meet people’s needs in their locked down situation? For a food business, it’s time to go digital if you haven’t already.

Let your existing and potential customers know how they can order food and how you can deliver the food safely to their doorsteps. In this case, you need to use digital channels such as blog, social media and a website to promote your food business online. You can also list your food business or restaurant in popular websites that advertise local businesses in your area. It’s important you focus on location-based online promotion when you promote your local restaurant online.

Tip #3: Use Remote Workers

Right now, many businesses are keeping up remotely. The few workers not yet laid off are working from home to stay safe. As a new business owner, you should save more by contracting out your administrative tasks to offshore outsourcing partners. So, when you feel like taking a break from their services, you can cancel the contract, hence the service fees.

Finally, you should automate most tasks to help you beat the competition now and after the crisis.

Daven Michaels is a New York Times Best Selling Author and CEO of premiere global outsourcing company, 123Employee. The company employs hundreds of young bright individuals on three continents. His International event, Beyond Marketing Live! Inspires entrepreneurs to build & grow their business with revolutionary new theories and systems allowing them to design the business and personal lifestyle of their dreams.