Building a Business in Times of Hardship

The last two years have had a significant impact on businesses and professionals around the world. As the COVID-19 pandemic continues, businesses have been forced to re-examine how they can continue to function. In addition to the struggles that current businesses have faced, new and up-and-coming businesses have also felt the impact of the pandemic. Not only has it become more difficult to build a new business in the current economy, but it can be difficult finding employees to fill vital roles.

As a business owner or entrepreneur, you should always keep a contingency plan in place that will help you adapt your business model for downturns in the economy. If you stay prepared, you can train your team to easily shift into "emergency mode" anytime a hardship does affect your business. By keeping your team focused on productivity, you can ensure your business will still grow in hard economic times. The following tips have been helpful for other businesses facing a similar situation.

Prepare For Difficult Times

While it is impossible to see every curveball that a new business may face, it can be extremely beneficial for them to put plans in place. Work with your leadership team to examine and analyze the more common issues that new businesses face, and what the options are in response. This can not only help reduce the negative impact of a given situation, but can also help streamline your business for long-term success. When planning this out, it is important to examine the most common issues that similar businesses face in your industry. Determine what worked and did not work for other businesses, and use that to guide the plans that you put in place.

Don't Be Afraid to Ask for Help

When an economic downturn does hit your local economy, no one expects you to manage those negative changes on your own. If you're just starting your business, seek help from the people you know or start an online crowdfunding campaign. If you own an established small business, find out what government programs are designed to offer you help. Take advantage of any resources that will help your business survive bad times or build a stronger business.

Focus on Employee Morale

It's important to recognize that your team will know when things aren't going well. As a result, they will worry about their personal financial situations in addition to feeling concerned about your business's future. This can bring down morale and affect your organization's productivity and customer service. You can combat this cycle of negativity by doing things to boost morale. Host contests, start a new employee recognition program, or host weekly meetings to update everyone on the progress of the company.

Involve Your Team

You'll also improve the company culture while helping your business grow by encouraging employee involvement. Ask your team for ideas about improving the company's reach or growth. You might consider offering a prize for the top three ideas. Even if the prize is just one extra day of PTO, this will be a great incentive for encouraging participation and creative brainstorming.

You should also take note of the lessons that severe downturns in the economy have taught you. This can help you weather such changes better in the future while also giving you a wealth of knowledge to pass on to other up-and-coming entrepreneurs. By helping others grow their own startups, you can do your part in building a stronger economy that won't be as deeply affected by natural disasters, disease, or political upheaval. Additionally, these experiences will be incredibly helpful in building out your skills that can be used in the future.