It's been months now, and the impact of the Coronavirus pandemic continues to grow. Many nonessential businesses remain shut, and any prospect of growth in this economic environment is unlikely. As a business owner, here are four things you can do to preserve cash:
1.Daily Review of Cash Spent
Begin a daily financial review. Go through your credit cards and online accounts to analyze your spending. Do a daily cash flow review and question every transaction.
2. Cancel Unnecessary Subscriptions
Pause or cancel unnecessary subscriptions. There may be tools that you no longer need which you can cancel or reduce the number of users in the subscription to save costs.
3. Have Frank Discussions with Vendors & Suppliers
Understand that everyone is impacted by the virus. Have an open discussion with trusted partners and suppliers. Work toward a solution that can help both parties.
4. Collect What You're Owed
A bigger effort needs to happen here. Especially for small businesses, where many owners are averse to intensively following up on collection.
Even though business growth is unlikely, as a business owner you can stop the bleeding of cash, so you can extend the longevity of your business until the epidemic subsides.