Reinventing Your Small Business to Survive Covid-19
There is a video of Simon Sinek and his team on YouTube where he talks to his team about pivoting their roles in his business. He talks about how COVID-19 is NOT unprecedented. That although very sudden and devastating, Covid-19 is not the first-time businesses have been challenged.
The Internet changed the way we shop, and when retailers didn’t respond, they closed.
Streaming services changed the way we watch movies, and when video stores didn’t respond, they closed.
Uber and Lift changed the way we get around town, and when cab and taxi companies didn’t respond, they suffered.
The businesses that did survive during those times, and many others, were businesses that were ready to respond and reinvent themselves. Uber didn’t kill taxi companies. Taxi companies did because they were unwilling to do business a different way.
This message is very relevant to our small businesses in Iowa. Businesses that start asking the question, “How are we going to change to get through this” instead of “how are we going to get through this “, are the businesses that will not only survive but will thrive and grow.
Since the middle of March our Iowa businesses have been in survival mode. They are applying for grants and frantically pulling financial information together.
It is time to start transitioning into reinvention mode and pivot your business to survive changes that are going to happen. We have seen many Iowa businesses already doing this. Restaurants are offering Family Meal options for pickup and delivery. Event planners are helping families plan online birthday parties and celebrations complete with drive by waves and present drop-offs. There are many other very creative ways businesses are reinventing themselves and thriving.
We are not certain what the future brings, but I think we can be certain that there is going to be a new normal and the path to that normal is not going to be fast. I think we also need to realize that this is not an unprecedented event that will not happen again. This or something else will happen again and we need to use this event as a lesson learned.
What should you be doing now? First and foremost, get your bookkeeping and financials up to date and devise a system to keep regular track of your bookkeeping. Software programs like QuickBooks Online (30% discount through SBDC) and Wavapps.com are great solutions.
Secondly, as a small business you need to be ready to pivot at each stage of this crisis. What are the problems that you as a business can solve now? What new markets have emerged that you can serve now. A regular analysis of your business model using tools like Canvas Business Model is essential to your resilience in any disaster or crisis.
Our America's SBDC Iowa state director, Lisa Shimkat, is leading our state SBDC to pivot to better serve our businesses and their reinvention. We are developing new programs and resources as we speak to serve our businesses in what will become our new normal.
The Iowa SBDC has 15 centers throughout the state, and we are working one-on-one with clients helping through various programs and also helping businesses re-strategize. You can reach out to the center serving your area here.