Today the only certainty is uncertainty. The pandemic paralyzes the economy. Many SMEs, which like to reinvent or create a new business model, force them to adapt to new consumption habits and post- Covid-19 social relationships.
You must act now to reduce its effects!
Start investigating and detecting new problems arising from the pandemic, looking for solutions, modifying, or creating your SME structure to cope with the crisis and prepare for the day after.
The coronavirus created new opportunities
As an entrepreneur, you must lead change, mark the way and transmit clarity to your collaborators, clients, and suppliers. In a crisis, people always watch the leader.
Amid the situation created by the corona virus, you must ask yourself, what can I restructure, change or develop to adapt to the new needs of my clients? Is it possible to reorient my SME to serve new markets? Should I start from scratch?
Indeed, it will not be easy for many SMEs to reconvert their business model, and they may have to start from scratch. It is a difficult decision, but reality forces us to think about the new scenarios. It’s time to pivot and leverage accumulated experience and resources for a fresh start.
It may sound commonplace, but crises are opportunities. These are occasions that a good -entrepreneur- would not miss because new ideas and needs arise. Some SMEs meet the demands of education or remote work, geolocation, telemedicine, management software, video, calls or administrative, attention to people, security, virtual wallets, purchases from retailers, and agrotech.
The turnaround consulting companies suggest people think about how they will see themselves in the next three months, the estimated time of the stoppage, and what we can do to face in the best possible way what is to come.
As the objective is to plan and act to reduce the impact of the coronavirus, I share some steps to reformulate or create a new business model.
Audit the situation
There is an excess of information and scaremongering. It is time to have a cool head and sit down, via virtual, with your team or partners to evaluate all the variables that affect and will affect your company.
It is essential to audit your value proposition, services, products, logistics, and suppliers to understand the magnitude of the changes you must face.
Hire a Professional Turnaround Consultant
They will help you in SWOT analysis (Strengths – Opportunities – Weaknesses – Threats). It is essential to put the magnifying glass on the areas of your SME and the national or regional context to analyze the present and focus on the future. This analysis will allow us to answer the question: What is the current situation of my SME?
Adapt your offer or think of new proposals
Their analyzes will make it possible to draw the road map. If your SME is a restaurant, gym, or hairdresser, you should study how to reformulate your business based on social distance.
Think about creating new business hours, activate and improve online sales and assistance. It offers differential and complimentary services that generate more income.