24 September 2020
In the last six months, Findex’s many business clients, large and small, have been ‘working on the business’ more than I have ever seen in my working lifetime. What’s more, the very best of them, no matter what industry they are in, have been on the front foot with their business planning, leaving no stone unturned.
As our teams on the ground advising clients will tell you first hand, the best businesses leave nothing to chance. They have reviewed:
- Cash flow.
- Balance sheets.
- Product and service offerings.
- Staff and client value propositions.
- Credit worthiness.
- Relationships with vendors and banks.
- Government grant eligibility.
Warren Buffett who has provided a few life tips along my journey, mentions living by the principle of an ‘Inner Scorecard’. What that simply means is ‘taking the higher road’ and making good choices guided by one’s own core values and beliefs rather than being distracted by short termism and outer distractions.
In other words, staying focused on what truly matters, continually investing in yourself and your business and dealing with the right people to help guide you on your path are a combination for success.
Over the coming months, as parts of the country continue to deal with second waves, it’s an unfortunate reality that many businesses will experience significant upheaval and financial stress, and some will fail. The economic fallout from COVID-19 is anticipated to last months if not years and the road ahead isn’t going to get any easier for a lot of businesses.
There’s a popular Chinese proverb that says, “The best time to plant a tree was 20 years ago. The second-best time is now.” Despite being six months into the pandemic, it’s not too late for your business to identify its key risk areas and work through the various financial scenarios and key strategic options you’re going to need to assess to survive the coming months and years.
A structured response will be imperative for your business to safeguard its employees, enable the continuity of operations and protect the cash flow that is critical to your positioning once the disruption subsides. In fact, a recent survey Findex conducted with Australian and New Zealand business owners showed business resilience developed through a structured business continuity response plan had been a strategic driver for businesses to navigate COVID-19 disruptions as it helped position their businesses to:
- Effectively recover from interruptions.
- Maintain productivity.
With government support and funding still available to eligible business owners in Australia and New Zealand, there is simply no reason why business owners shouldn’t be reaching out to seek the support they need to navigate this period, before this funding is wound down.
I’m proud of how we’ve all responded in the last six months, clients and employees alike. Our team have worked tirelessly with business clients throughout Australasia and I know they have played a key role in helping our clients ‘stay focused on what truly matters’.
It makes us proud to work with such committed business owners and continues to give us purpose through the meaningful and lasting impact we are able to have in the communities in which we live and work.
To find out more about how Australia and New Zealand businesses are adapting to the accelerated levels of digital transformation being forced upon them by COVID-19, download the full report or explore our findings and insights.