Six effective money moves that you better to follow as a business owner
This ongoing
time period is full of difficulties for everyone in the business field. This
article will reveal 6 effective money moves that a CFA and former bond trader follows
during this economic crisis. His business, “Student Loan Planner” has launched
in 2016 and built well during previous years.
The
followings are six effective money moves he uses for his business currently. He
recommends his plan to try during this crisis. As the country has faced a
health and economic crisis, to achieve the possible success you have to
encourage your employees according to him.
1). Request for government bail schemes.
This must be
the action you should give your first priority before doing the rest going to
mention in this article. According to the Paycheck Protection Program, funds
are granted to the employers with a maximum of 500 employees to settle eight
weeks of payroll and other similar expenses. That will help to encourage your
employees.
The US Small
Business Administration is willing to grant low-interest working capital loans
up to 2 million dollars. The aim of those loans is to support the small
businesses which are in danger due to the economic crisis that happened because
of the coronavirus pandemic.
Then search
about your state’s programs launched for businesses. For example, California
and Colorado have scheduled work-sharing programs to supply benefits.
Furthermore, you can contact the local SBA office or Chamber of Commerce in
your area for support.
2). Safeguard your employees though they have to bear
up a less paying for a period of time.
More than
6.6 million US employees applied for claims for unemployment benefits last
week. Therefore, if you can do anything than stopping the jobs of your
employees they will be happy. The speaker’s company is also keeping the
employees as much as they can. Sometimes the company has to cut their working
hours but they pay something to the employees. From that the company can save money.
But the company should try to console the psychological conflicts that happen
due to furloughing completely.
This helps
to develop the loyalty of the employees. Because they may keep in their mind
the way you treated them in this crisis. Though the financial crisis is huge,
try to keep the employees on the payroll. Then surely they will help you.
3). Fulfill the needs of the clients or customers.
Customers
and clients will remember the way you treated them for a long time. Even though
there is a loss in short time revenue, it is better to give priority to
customer service because they need it most.
Currently,
the speaker’s company doesn’t hope much income from the content products.
In
that case, you can help the customers by helping them to get the defaulted tax
refunds back, advising them about cutting their monthly payments, showing the
way to get loan forgiveness credit etc.
Customer
need your guidance mostly during this pandemic. By being with them during this
crisis, you can do the best advertising about your company.
4). If your company is financially strong enough then
think about long term effects.
Many
businesses that were at the foundation level with the start of this coronavirus
pandemic will not reopen most probably. According to the supply-demand curve
you studied in Economics, the supply curve will shift up and to the left after
this economic crisis because the least number of businesses will remain to buy
goods.
Therefore;
because of the reduced number of suppliers of goods and services, the price may
be higher. That means; if your company is able to survive through this
pandemic, you will earn more profit in the future as there may be few companies
to compete with you. So you can add this to your long term plan if your company
is in a good financial status right now.
5). Start an emergency savings fund already if you
don’t have one.
You will
have personal financial conflicts if you are an employer with a sense of
protecting the jobs of your employees. That is why you need the help of an
emergency fund.
Saving money
is the best solution for you right now as a businessman. You should do
emergency savings even borrowing the money.
6). Enjoy the life to get rid of the nervousness.
This is a
most important fact. Without relieving your nervousness, you can’t make
important financial decisions. You can’t take decisions in a clear mind by
sitting on a chair and thinking about it all day. Either you can watch a film
on Netflix or feel the nature by taking a walk to clear your mind. That will be
helpful to your business as well as your personal life too.
Six effective money moves that you better to follow as a business owner
Reviewed by ViralBlossom
on
July 12, 2020
Rating:

Post a Comment