Most Affected Business During Pandemic
As the name of the article suggests, the most affected business during a pandemic is that of the Small Business. In this recent Corona Virus pandemic, there have been a number of companies that have either closed or downsized. The most affected business during a pandemic may be that of the small company owner. Small business owners who have not been keeping up on the latest news are caught off guard by the fact that they suddenly find themselves having to deal with a pandemic.
In addition to being forced to deal with an outbreak, a small business owner is also faced with the problem of paying the employees. Normally, when an outbreak occurs, the cost of hiring new employees, plus any payroll taxes, insurance claims, etc., would take up most of the small business’s operating budget. If the small business owner is forced to hire temporary employees, this cost will increase expenses even further. Because of all these factors, a lot of times, the owner is forced to cut back on some of their non-business related expenses such as vacations and gifts for the staff.
Another challenge faced by a lot of small business owners is the issue of waste disposal. Before the outbreak, it used to be common practice for businesses to dispose of used needles and other medical products in a sanitary way. Now, because of the increased use of disposable medical equipment, it is necessary to segregate these materials and dispose of them properly. Having to implement special waste disposal protocols can greatly increase operating costs.
As mentioned before, companies are also faced with the expense of transportation, lodging, and accommodations for their employees during a pandemic. This, obviously, will increase travel costs. Add to this, and there is the cost of meals. How much more if you have a few business partners who come over to help out? This will multiply the expenses. The best-case scenario is to stay put, at least till the outbreak subsides.
Another problem faced by a lot of businesses is the loss of productivity due to reduced productivity. If employees are absent, there is less work for the customers. There may be no customers available to sell products at all. The best thing to do to minimize the loss of revenue is to ensure that there is sufficient staff, working on the day shifts.
Even though a business owner has a good number of staff, there are still chances of work-related accidents and illnesses. For one, some of them may have received the virus which will automatically cause illness. On another hand, their colleagues may have been uninfected but have become ill themselves. All this leads to a waste of money and productivity.
The worst possible scenario for any business is to close down. That would mean a huge financial loss. Not only does close down incur a lot of expenses, but it also halts the flow of new customers. Hence, it is important to ensure that your business is able to operate normally well even when hit by a catastrophe.
The key to surviving the most infected period is a steady recovery that starts well in advance of the outbreak. If you start building your supply line early, you can increase your customer base in no time at all. The best way to do this is to create a customer loyalty program. Offer customers special deals, discounts, or cashback if they purchase from your business within a specific period. This will not only help you survive the most infected phase, but it will also help you gain a firm foothold in the normal business cycle. This will result in more sales, more customers, and ultimately, a more stable business.