The tours and experiences group has kicked off quickly with several questions thrown in from members. There’s so much turmoil in that part of our industry. And in breaking news: we’ve created an events group! Join our Fleurieu Peninsula Events Group here, or consider joining one of the above.
Coronavirus - Business Survival Tips
Below are ten tips for helping businesses survive through COVID-19. Working through these will help you take control and put you in a better position to apply for the assistance you need. The tips have been adapted with permission from an article published in a SmartCompany newsletter and Ian Whitworth’s blog.
1. Do your cashflow - now!
You need details: wages, rent, tax, supplier payments, documented down to the day they’re due. That’s the moment you go from ‘might be okay’ to ‘oh my God I must act now’. If people in your industry are saying, “if you can survive X months COVID-19 will all be over. Demand will take off again”, assume it will be at least 50% longer.
2. Update your terms and conditions
Check your cancellation clauses in your terms and conditions. I recognise that doesn’t sound cool, but it’s all that stands between us and extinction. Check you’re not exposed.
3. Have the COVID-19 chat with suppliers
Talk to your regular suppliers and be honest. Ask them to help you survive, in whatever way they can, so you can be an ongoing customer in future.
4. Talk to the Tax Office
Here’s what you do: call the tax office and tell them honestly about the state of your business. Ask for a payment plan.
5. Don't wait for the government to rescue you
The whole point of owning a business is having control over your own destiny. Deal with your own affairs as if there was no government help coming.
6. Come up with new ideas for your pricing and terms
Think about how you can get paid up front. You want the work so bad but now is the time to tighten up your payment terms, not loosen them.
7. Is there something else you can do for a bit?
Today I heard of an exhibition stand constructor being smashed by cancellations, so they’re doing kitchens and wardrobes for a sweet deal.
8. Service those surviving customers like nothing else
There are still people with money. And you have a ton of excess capacity, both in staff and whatever else it is you do. Throw in the free dessert, the room upgrade, the matching belt, something to thank them for being a lovely person and spending cash with you instead of wasting it on another half-pallet of toilet paper.
9. Assess your staffing levels
And now we get to the elephant in the room. How long can you hold onto your staff? It’s an ugly question, but being in charge means facing up to ugly things.
10. Talk to your bank
Remember you are a loyal customer, think of their profit levels, bring them into the picture, bring them to account as an industry group.
Advice from Business SA
I sat in on a Business SA seminar on Navigating the Crisis last night. Business SA is keen for the presentation to be disseminated far and wide - click here to view it. You might find the decision-tree slide (#23) particularly useful to have by your desk.
Teamwork
I met yesterday with the managers of our VICs (Zoom) and the tourism managers for our four councils (Microsoft Teams). I’ll update you early next week on any specific outcomes. We aim to meet weekly if possible during the crisis. The aim is to share solutions and raise issues which we can take forward to SATC, councils, our RDA etc. This region is fortunate in the depth of experience amongst our councils’ tourism staff. We hope to use that advantage to deliver outcomes for you faster and more efficiently.
Warm regards, Peter Cahalan
Manager, Fleurieu Peninsula Tourism
