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A Helpful Guide To Business Recovery

The coronavirus pandemic has taken a significant toll on many businesses and individuals all over the world. It is as if we are living an alternate universe where our global economy gradually collapses and we are left to make sacrifices in order to survive. The pandemic has negatively affected many lives and has caused business closures from different industries. These are the hard realities that we face now.

As time goes by, we see glimpses of hope at the end of the dark tunnel. Singapore’s Phase 2 has made steady progress towards reopening the country to more business activities such as nail salons, bookstores, fitness studios, tuition centers, and more. We moved into the next stage while successfully keeping the community transmissions low.

Despite this, businesses must reopen with caution. It is crucial to prepare for gradual business recovery with adequate planning. Here are some things that you may consider as you open your doors to others.

OPEN WITH MINIMUM OPERATIONAL CAPACITY

One of the biggest mistakes that you may make is to eagerly start full on day one. This can incur unnecessary costs (i.e., includes wages and utility expenses) and can increase the risks of closure. View the situation with realistic lenses. Many consumers are slimming down their budgets in order to make ends meet. If the demand is low, you must adjust to the situation by operating your business with minimum capacity.

What is the bare setup you need to complete your monthly business cycles? Stick to that. This bare setup includes your essential staff, minimum inventory, and main products or services. As you reawaken your ecosystem, it will gradually grow in time. Your only goal on day one is to restart.

MAKE PERSONALIZED CALLS TO CLIENTS AND STAKEHOLDERS

Everyone will expect a different level of business productivity during the recovery period. It is unreasonable for others to require you the same amount of outcome as you achieved a year before. This leeway is not excuse for you to lose your communication channels with your loyal clients and stakeholders. Assure them that you are taking active steps into restarting the business.

Make personalized calls to these important people. Be honest and genuine as you hear out their concerns and grievances. Prepare for the personalized calls by having a list of possible questions and by offering practical solutions to their possible concerns. You can regularly update them as soon as you are able to address certain challenges on your way to business recovery.

CALCULATE THE TOTAL BUSINESS IMPACT

From the beginning of the Circuit Breaker period down to the present, you must calculate the profits and losses that your business incurred. Doing so, you will be able to have a numeric goal for your business to achieve in time.

Several business continuity models suggest that you must calculate the business recovery costs, audit the liquid assets and know the projected sales to paint the picture of a realistic business recovery timeline. Business recovery costs are liability that you will slowly pay off with liquid assets, then with projected sales. Going through this process will give you an idea of how long you should plan for business recovery.

CREATE A BUSINESS RECOVERY PLAN

Much like one’s journey to starting a family, business recovery cannot be rushed. You must plan for it with a sense of control. Use your realistic timeline to bring your business back to its healthy shape. During this recovery period, you must operate at a minimum capacity and explore other sources of income. For instance, a construction company may look into offering demolition or dismantling services.

Image Credits: unsplash.com

It is important to be aware of the relevant national rules that govern your industry. The changes in the demand for your products and services must be taken into account too. Activate the non-essential parts of your operations as your business increases its sales. Take things slow!

Sources: 1 & 2

5 Local Brands You Never Knew Were Online

Think your neighbourhood mom and pop stalls are still setting up shop the old-fashioned way? You may be pleasantly surprised to find out that many of your friendly neighbourhood stores have already gone digital.

That’s right, many small and medium businesses have an online presence and are selling their products on 99%SME, a dedicated eMarketplace for SMEs.

Here are 5 local brands you probably never knew were online:

1. Thye Shan Medical Hall

Thye Shan Medical Hall (泰山药行) is a well-established brand of Traditional Chinese Medicine (TCM) products and services. With more than 60 years of history, the first Thye San outlet was opened in Chinatown in 1955 by Mr Chan Chak Poey.

Rather than make a trip down to one of their three retail outlets, you can buy premium bird’s nest, abalone, tonics and powder blends from their online store.

Visit their online store here: https://www.99sme.sg/thye-shan-medical-hall-pte-ltd/

2. Yikowei

Established in 1983, Yikowei (一口味) has been serving up homemade traditional Chinese pastries lovingly made with the best ingredients. Get their traditional pineapple tarts freshly baked from the oven and delivered to your doorstep.

Visit their online store here: https://www.99sme.sg/yikowei/

3. Nam Shiang & Co

Established in 1942, Nam Shiang & Co has grown to become a leading exporter and distributor of housewares in East Asia. They carry a wide range of quality household products and housewares from established brands all over the world, catering to individual home users, F&B businesses, and other corporations.

Visit their online store here: https://www.99sme.sg/stores/nam-shiang-and-co./

4. Coffeehock

Coffeehock has established itself as a household name in local coffee and tea manufacturing, ever since it started its business in 1997. Known for its great taste and quality, you can find Coffeehock products being retailed in local supermarkets, convenience stores and minimarts.

Craving for a taste of local kopi or teh from the coffeeshop? You can now easily purchase Coffeehock coffee and tea beverages, such as the Signature Coffeehock Coffee-O Kosong, 2898 Coffee Powder and 2 in 1 Teh-O Ceylon teabag from its online store.

Visit their online store here: https://www.99sme.sg/coffeehock/

5. Fu Wah Department Store

Having been in Bedok for the past 30 years, Fu Wah Department Store is a well-known household name in the neighbourhood. Like a typical neighbourhood mama shop, the store sells anything and everything that you can think of, ranging from cosmetics, beauty, hair, fragrance, healthcare, to slimming products.

Visit their online store here: https://www.99sme.sg/fu-wah-department-store/

99%SME for Small and Medium Businesses

Are you a local Small and Medium Enterprise (SME) like some of the businesses featured above? Jump on the bandwagon now and reach a wider audience effortlessly by selling online with 99%SME. 99%SME is a campaign started by DBS and Singtel in 2015 to help small and medium businesses to go digital. It has since gained tremendous traction and helping Singapore SMEs go places.

Here are some of the fantastic benefits of joining 99%SME:

Benefits of Going Digital With 99%SME

Get started effortlessly with online sales

99%SME is a comprehensive ecommerce platform that allows you to get started with selling online in 3 easy steps. All you have to do is to register for an account, upload your products, select your payment and shipping options, and you are set!

Reach a wider audience with the 99%SME platform

With a common platform to showcase products and services, customers browsing through the eMarketplace for great deals can discover your business. Customers can also use the location-based feature to search for SMEs near them, making your business discoverable to people around you.

Get 90% subsidy and extensive support

If you are ready to bring your business further into the online space, you can get 90% subsidy when you hire a digital professional matched to your business. As a 99%SME participant, you will also get to be invited to free training and seminars offered by DBS Academy and various partners.

99%SME is completely free to join

99%SME is completely free to join – there are no strings attached!

Join as a seller on 99%SME now!

Which Suits You Best: Employee Or Entrepreneur?

There are definite perks when you become your own boss. When you are the boss, you call the shots! This does not mean that you will disregard the opinion of others and that of your clients. Simply, you need to interact harmoniously with your team, your business partners, and the clients. No man is an island, no matter how many coconut trees you own.

Being a boss fits a certain type of mindset. Consider reinventing yourself as an employee if you do not meet the Entrepreneur mindset.

THOUGHTS ON INDEPENDENCE

An entrepreneur welcomes the idea of working independently. Business owners are willing to take full responsibility for completing their own tasks on schedule. Not to mention, self-employed individuals who work at home spend most of their time without a staff supporting them.

On the other hand, employees set their minds to tasks given by their bosses. They are expected to complete these tasks within a given schedule.

THOUGHTS ON GOALS

Business owners plan, market, and oversee the success of their businesses. Running a successful business entails formulation a well thought out business plan. Write a simple mission and vision statement for the company to direct their goals to it. Having a specific set of goals directs the actions to a unified path.

In contrast, an employee follows the short and long-term goals that someone else set.

THOUGHTS ON MONEY

Business owners need to operate based on the financial situation of the company. Are you knowledgeable about the operation costs and profits? Can you create a fair paycheck while tackling risks? A key factor in starting a business is being able to handle the financial ups and downs. Take money management classes or hire financial professionals to improve your financial support.

Image Credits: pixabay.com

Lastly, employees take away the responsibility of building a successful business. Sometimes, they overlook the financial risks of building a profitable business. When this happens, the business owner must step in to mend things.

Sources: 1 & 2

Know These 4 Usual Start-up Mistakes To Save More Money

Although you are eager to venture on the business scene in Singapore, you must first be aware of your chances. In 2012, a research showed that 3 out of 4 start-up businesses fail.This is why it helps to know and learn from the usual mistakes that previous business owners have made.

These are just four of them:

1. GETTING OFF ON THE WRONG FOOT

It is paramount to choose the right partners, team, co-founders, or investors to start the company with. Not only does your skills have to balance but also your values must be aligned too. What is even more difficult than having unsuitable partners is having a lone founder. Well, your chance of succeeding is slimmer when you do it alone because of limited access to resources and funding.

2. HAVING TOO MUCH OR TOO LITTLE MONEY

Raising bountiful amounts of money can make you appear more successful but it shifts away the real focus of the business – the clients. You must give more time and energy into making your product appear impressive for all the consumers to patronize.

On the other hand, having scarce funding because of underestimating the start-up costs can lead you to using your own savings just to meet the business’ monetary needs. You can either use your retirement savings or borrow money from friends and family. This is not always a good idea! Furthermore, you will not be able to optimize your product to its full potential.

3. MISTAKE IN TIME

Jonathan Wegener, the founder of ExitStrategy and Timehop, told Mashable that a common mistake that companies make is wasting one of the most valuable currency on Earth – time.

He then said this: “The biggest mistake I see is companies waiting too long to release the product. It’s easy to let the scope of what you’re building get out of hand. But equally importantly most startups build much more than they truly need to, but this is often only realized in hindsight”.

4. PAYING NO ATTENTION TO THE PRESENT OR FUTURE CONSUMERS

Engaging in activities that enable you to reach out to your potential clients earlier on can help you reach success. Get feedback from the present consumers to examine the demand for your product and the uniqueness of your brand. Then, target your future consumers by using social media.

Image Credits: Clément Petit via Flickr with Creative Commons

Sources: 1 & 2

5 Ways To Budget Your Start-Up Business Like A Boss

There comes a time when your lack of skills on accounting and budgeting will be a dilemma once you opened your small business. You may be knowledgeable in sales and trading but budgeting is important too. Budgeting helps the business owner to determine whether hey have sufficient money to fund the operations, expand the small business, and generate profit for oneself. Without this, you may spend more than what you earn.

The good news is that, there are modern alternatives to make your budgeting feast quicker and easier such as using Smartphone Apps that highlight your business’ expenses. And, on that note, here are the 5 Ways To Budget Your Start-Up Business Like A Boss…

1. DO TONS OF RESEARCH

Businesses may not be diverse but there are similarities. So, do tons of research on the local library, online forums, and start-up business owners about their company’s budget and financial plan. Use a platform like Quora or Yahoo Answers to enable you to ask the users on certain prices of the materials you must use or where to buy them. This will ensure that you get the best deal without spending too much.

2. ORGANIZE THE NUMBERS

After doing your research, organize the numbers by putting it inside an Excel spreadsheet. Analyze and estimate the total amount of money you must allocate on different categories such as raw materials, rent, insurance, and taxes. You may also put the estimated percentage of revenue for each category.

3. USE A SOFTWARE

Aside from using an Excel spreadsheet, you may budget like a pro by using accounting software called inDinero. inDinero helps you run the small business better as it safeguards your transactions, your cash flow, and your expenses. It connects the bank accounts so you can visualize where your money goes. Furthermore, it helps you with your payrolls and taxes. You can also outsource your accounting tasks with company that is willing to provide cloud accounting service such as Quickbooks or Xero for a fraction of the cost.

4. REMOVE THE UNNECESSARY

Upon analyzing your cash flow and expenses, consider cutting the costs of the things that are unnecessary. Save more by taking advantage of the payment terms offered by the supplier or by purchasing on the start of a new billing cycle.

5. BE READY FOR THE WORST

Most of the expenses, such as office supplies and salary costs, are predictable. But some unforeseen things such as higher petrol prices may happen that will spike up your expenses for that month. This is why it is important to be ready for the worst. Do not let these unfortunate events stress you or put you in debt.

Image Credits: John O’Nolan via Flickr with Creative Commons License

Sources: 1 & 2

99%SME for Small and Medium Businesses

Benefits of Going Digital With 99%SME

Get started effortlessly with online sales

Reach a wider audience with the 99%SME platform

99%SME is completely free to join

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