The World Bank predicts the global economy will decline by more than 5.5% in 2020. Unemployment is at staggering levels.
And, new packages are regularly rolled out to save businesses from bankruptcy. However, you want to launch a startup.
Are you mad? That’s what your inner voice is telling you, as well as your family and friends, and anybody who catches a whiff of the notion. But, the truth is, creating a company in a crisis isn’t a nail in the coffin. Airbnb and Uber did it in 2008/9 during the peak of the housing crash.
If you’re going to do it, you need to cover the following bases.
Work From Home
Obviously, after all, almost 50% of the UK’s workforce was based in their bedrooms, kitchens, and living rooms in April. With a second spike likely, the last thing you want to do is waste money on office space. Still, you shouldn’t sit back and revel in your victory. In a crisis, trust is more important than ever, which is why a residential address and contact details won’t cut the mustard. Your first investment should be in affordable virtual mailbox services since they make your small business appear bigger. Remember that, at a time when big companies are failing, the smaller ones are susceptible to peoples’ perceptions, rightly or wrongly.
Plug A New Gap
Several firms have begun life in the Coronavirus pandemic because the health crisis created the perfect opportunity for their business. It’s not nice to think about, not when people are losing their jobs and lives, yet COVID-19 has opened avenues that didn’t exist before, such as plugging gaps in the PPE sector. If you have heavy machinery assets and links with global manufacturers, you might find that it’s easy to swivel to a new business plan for the time being to take advantage.
Utilize Telecommunication Tech
There’s nowhere for business meetings to take place anymore, so you must transition from face-to-face interactions to digital ones. It will be critical to your success since inadequate WiFi coverage and glitchy internet connection are factors that turn-off potential customers and clients. After all, your digital presence reflects your brand, and if you don’t make an excellent first impression, neither will your company. A tip – check the house for blind spots. A basic booster will improve the signal to let you work from anywhere at any time of the day.
COVID might be an opportunity, but it doesn’t guarantee success. Most SMEs fail within the first couple of years, and the stats are bound to be worse once the 2020 and 2021 figures are added to the mix. Management consultant expert, Markus Berger-de León, has a piece of advice – move as fast as possible, and don’t forget about your resources. Securing capital could be tough, which is why it’s essential to evaluate whether you want to be spending your last pound. If you do, you can funnel your resources to this area. If you don’t, you should scale back and reconsider your next move.
How do you launch a business in a crisis? With a can-do attitude and a large slice of luck!