These are unprecedented times, and you may need some lockdown support. Many businesses are temporarily closing or relocating their team to work from home. Now is a good opportunity to consider the next steps for your business. Working positively with your customers and suppliers will impact how you work together in the future. At BAS Associates we are no different. We have ensured that we keep in regular contact with everyone associated with the business, from team members, through clients and providers. We realise that we’re all in this together and now is a time for empathy, communication and collaboration to get the best outcomes for all.
Maintaining strong customer relationships
Keeping in touch is vital communicate with clients and customers and keep them up to date, informing them of any changes to working patterns or disruption, particularly if you are still operating in a different way to your normal hours and conditions.
Cashflow for some customers may be troublesome so consider some flexibility in payment for work, but always with the consideration that this shouldn’t be to the detriment of your cash flow or the existence of your business. Be sure to agree expectations before providing your products or services. You may be able to share lockdown support.
The engagement of your customers is just as important if you are unable to operate. Keep up to date on your social media feeds, which will capture attention. Video is a great way to keep followers’ interest, whether customers or a wider audience, and utilise all of the media channels possible. For example, a tradesperson may share some tips and techniques about their specific work, showing how to do some interesting part of their trade. Or a restaurant may share a delightful topical recipe, aimed particularly at kids. A retailer may start doing product reviews or a hair stylist may share a gallery on some of their incredible work.
Now may be perfect for completing the selling online project which you’d thought about. It may be a game-changer as we feel that it may be some time before that normal shopping experience returns. Work on this while it’s quieter, and there could be huge benefits while the economy recovers.
Working with your suppliers
Keep in contact with each of your suppliers to understand how they are impacted by the current conditions. They will be key to your success as lockdown is slowly lifted and we get back to pre-covid trading conditions. You may be able to share some lockdown support.
Work to discover how their supply chain may affect their business and what measures they are taking to keep their business going. You don’t want any unexpected shocks as your business recovers. If you have a supplier contract with some of them, review the terms and conditions to understand fully both your and their obligations, and details about any cancellation policy. There may even be clauses which change the contract in times of crisis. It may be the case that extended credit terms have been given to you, but these may now be reigned ingoing forward, affecting your cash flow, needing lockdown support.
Keep your honesty intact if you haven’t got the cash flow currently, explain that to any affected supplier as soon as possible.. Renegotiating contracts and agreements is worth considering, particularly if that may affect the viability of your business failure is not in the interest of either party.
This should be a key focus right now. Read the key steps below to manage your cashflow.
- Review all internal procedures which relate to your purchase and sales accounts departments. Amend anything that isn’t working
- Update your cashflow forecast for the next 12 months to fully understand how your business may be impacted.
- Keep in contact with your bank and other financiers to discover how they can help with your cashflow. There may be repayment holidays available, extra overdraft opportunities and similar schemes. The Government may be offering grants and loans, and these are changing by the day, so keep yourself informed through the official pages here and here
- BAS Associates are specialists at workflows and processes and have a wealth of experience to guide you through these financial areas. Also, contact us to discuss further tax relief options that may be open to you as well as the pitfalls of using any grant or loan for some personal use.
For a complimentary Discovery Call to discuss the most appropriate level of support on a wider basis, a personalised quote and a guarantee of our best possible service, please complete the form below and one of our senior advisors will contact you.
Or if you prefer, please call 01296 681341 for our Wingrave Bucks Accountants office.