California Business Services and Social Distancing
Due to the COVID-19 pandemic, many businesses in California are struggling with understanding which businesses are essential and which ones are not. While some cleaning services are considered to be essential, there have been debates about everything from landscaping to tree services. At the same time, since many businesses have closed, for the time being, business services are not as in demand.
In many cases, the debate is a question of what to do in the meantime. The lockdown, no how long it continues, will surely have an effect on nearly every business. So what should California Business Services do in this time of social distancing?
Reevaluate Your Business Services Strategy
Often when businesses are busy, they tend to be more reactive than proactive. When things are slower, whatever the reason, it is a great time to look at more proactive methods of developing new leads, clients and even long-term customers.
Remember, other businesses are doing the exact same thing, and those who have created internal departments to handle their needed business services may be once again considering outsourcing them. Laid-off workers who have potentially moved on can create both short- and long-term opportunities for business services providers.
Many formerly in-person activities may be moving to digital platforms, and some of the services you provide may be the same. This can be simple things like billing and client meetings to more complex things like actually moving services like client education to a fully online platform.
Get Your Business Services Books Together
With the tax deadline moved this year, you have more time to look at your business books and get them in order. Refresh your profit and loss statements, your cashflow worksheets, and even rework your projections for the year.
Companies large and small are doing this, and you should be too. It may be impossible at the moment to predict how your business will emerge from the current crisis, but there are probably some assumptions you can make.
It also may be a time to consider the new SBA loan policies and the CARES Act and examine opportunities to take on some debt and even get help with things you don’t have to pay back while that help is available and while interest rates on other items are historically low.
This can help with your cash flow and keep your business afloat even when others around you are struggling.
Get a Business Valuation
No matter what his happening with your business and whether you are considering selling it when the crisis is over, or you are simply looking at funding options and what the future might bring, it is important to know what your business is worth.
A business valuation may be a bit tricky at this time. We have a FREE tool that helps you get a general idea what your business is worth based on what you have done in the past. This may change with the current crisis and the aftermath.
A certified business broker can give you a much better idea about what your California based business services company is worth and can even help you prepare your business to sell if you decide to pursue that option.
Regardless of the next steps with your business and the economy, knowing what it is worth is extremely valuable.
The same is true of knowing what your equipment and the various assets of your business are worth. Many business brokers can help you with that too. This is a great time to know what you have, what it is worth, and to gather data that will help you make better decisions.
Use Your Time Wisely
Many companies are struggling and tightening budgets, even laying off workers and shrinking their staff. This is completely justifiable and for many people necessary during this crisis.
What you may have more of, even if you have a smaller budget, is time. This allows you to dedicate your hours to things like social media, growing your client list digitally for when the crisis is past, and other efforts. You can set up your future now by putting in sweat equity you may not have time for otherwise.
You may also have more time for maintenance and ensuring that all of your equipment is updated and ready for the future. This may include updates to your technology, software upgrades, and even simple tasks like deleting old files, cleaning out records, and streamlining your process.
This is also a great time to focus on you and your why. Why did you start your business in the first place? What do you still love about it? What would you change if you could?
It may be that you are nearing retirement, or that you are looking to sell your business for some other reason. You can use this time to prepare for that transition and get your business ready to sell.
Business services are often essential even in times of crisis. No matter how slow or busy things are for you at this time, take opportunities where you can find them, care for yourself, and care for others whenever possible.
If you need a business valuation or have any questions about selling your business and what that means right now, contact us at Rogerson Business Services. We’re here for you.
