Defining success in the era of Covid-19

Nobody can claim that the current situation is easy for workers or small business owners. With Covid-19 having shut down and crippled large parts of the economy, and Brexit threatening a lot of what we know, the future for many in this country is uncertain.

With the UK currently back in a recession, the idea of constant business net-worth growth is one that will only apply to a very small minority of companies.

Online retailers, such as Amazon for instance, saw booms as a result of summer’s lockdowns. Another industry that saw success was telecommunications, with people relying on phone calls, zoom and google hangouts for both socialisation and work.

Meanwhile, the entertainment industry and the hospitality industry have been hit the hardest by the Covid-19 restrictions. Many establishment owners have had to accept that they may not turn over a profit this year, or break even for that matter. The knock-on effect long term is yet to be seen and understood.

The new normal?

Now cannot be the time to attempt to meet the same annual net growth targets as usual. For many businesses it simply will not be possible. However, out of every cloud comes a silver lining: A cliché, yes, but one for a good reason.

In usual circumstances, the topic of profits and business growth is one that dominates most conversations. Meanwhile, retention rates, staff mental health, workflow processes and company culture often take the backseat.

Now is the time for CEOs to draw inward and reflect with their teams on how they can progress in ways that think beyond profit. Since the beginning of lockdown, CEOs have been called to take pay-cuts to help keep their companies in business.

This would certainly appear to be a fair course of action when you consider that one of Wetherspoons’ top board members is paid yearly compensation to the tune of $1,035,000, while their minimum wage employees were threatened in March with redundancy.

Very few of us actually have the finances that JD Wetherspoon has, but a similar principle applies: Cutting down costs from the top-ends of business as well as the lower ends may result in saving more money and retaining staff.

Keep an eye on your company’s finances and get in touch for advice. We offer support for start-ups and small businesses, and also provide all prospective clients with a 30 minute initial consultation.

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