Tips for small businesses to survive during COVID-19 - Business Insider

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Tips for small businesses to survive COVID-19, from a CEO who set up his company amid the 2008 financial crisis and now advises Toyota and Century 21

podcast to recommend three ways for keeping your business afloat: first, weeding out unnecessary expenses; second, reviewing finances at least every other day, but ideally daily; and third, prioritizing profits above all else, something he said too few businesses do.The most important part of running a small business, especially during a crisis, is protecting any areas that are vulnerable — owners should keep a particularly close eye on operating cash, Robbins said.

A simple but effective exercise to carve out unnecessary expenses, he said, is to print out your profit and loss statement, expenses, line items and credit card receipts. Highlight in green anything you absolutely have to pay, in yellow what you can do without, especially in times of crisis or if certain goals aren't met, and in red anything that shouldn't be there.

To keep track of the unnecessary expenses, Robbins suggested reviewing your business finances at least every other day — daily if you can. Re-evaluate your business strategy as soon as possible. Don't focus on what used to work before the COVID-19 pandemic if it's not turning a profit now, because consumer attitudes have changed. Cut any ideas that aren't working, no matter how painful it can be. Sometimes, "we're holding on so tight because we love what used to work so much that it starts to drag us down," he said.

 

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