Starting your own business can be daunting at the best of times. For young entrepreneurs who have been building plans to put their ambitions into action, the onset of the COVID-19 pandemic can feel like a wrench thrown into the works. The business landscape has changed rapidly, and — in some ways — permanently.
While this almost certainly means that changes may need to be made, it doesn’t necessarily mean an end to even your loftiest enterprise ambitions. Rather, our post-COVID-19 world can offer new opportunities to design a more robust company from the ground up. Beginning your entrepreneurial journey at this time allows you to make these adjustments an integral feature of your business, rather than a crisis you have to react to.
We’re going to take a look at some areas in which entrepreneurs need to focus. What are the new options, in addition to the essential elements all start-ups needed prior to this pandemic? How can you help make certain that your new venture can not only navigate the challenges of this crisis but be prepared for those in the future?
There can be significant costs involved in starting a new business. Quite aside from employees and raw materials, there are often hidden costs such as insurance and permits. Gathering your resources during a pandemic can be especially challenging. However, it’s worth bearing in mind that even prior to the coronavirus, many startups launched with limited resources, operating out of bedrooms and basements in order to build their profiles and finances before moving on up to more traditional environments.
As a result, the last couple of decades have seen the development of resources aimed at home entrepreneurs, and are now relevant to the challenges you face in a post-COVID-19 business environment. Marketing tools such as Google Analytics and Mailchimp are accessible from anywhere in the world you happen to be and don’t necessarily need an entire marketing team to function. Similarly, the gig economy has seen the emergence of invoice payment platforms such as PayPal and Square, and Wagepoint can be used to handle your payroll needs.
You also have to acknowledge that there has been something of an investment crisis as a result of this pandemic, with some investors reluctant to commit. However, this doesn’t necessarily mean getting funding is impossible. According to a report by Startup Genome, during the last two recessions, though there were fewer dollars loaned to startups, a higher number of businesses received investment. This suggests that if you can adjust your business plans to demonstrate that your operations can be more cash efficient, you are more likely to be able to attract investors — even in economically bleak times. It may also point to the necessity of services of these funded businesses.
Another of the key results of the pandemic has been a shift to remote working operations. Some established businesses have struggled to adapt to this model, needing to invest additional funds into equipment, or finding that some of their employees aren’t suited to a work-from-home environment. However, by starting your business at this challenging time, you have the opportunity to build remote working into your operations as a foundational feature, and can benefit from the potential for greater productivity and lower overheads.
Begin with your search for employees. By embracing a remote culture, you have the ability to choose from a global talent pool, depending on the labor regulations in your state, and build a diverse workforce that can help you not just function but innovate. As the popularity of remote working has grown, there has also been a development in hiring platforms specifically aimed at those who have experience working remotely. AngelList, Remotive, and Working Nomads are among the most popular venues for this.
This also gives you the opportunity to source and invest in the technology and software that is optimized for remote operations from the get-go. Ensure employees have the software needed to complete tasks wherever they are and organize the workflow to utilize remote project management platforms such as Slack, Asana, or Trello. Your website also needs to be optimized to act as the storefront of your remote business. Place focus on how easy it is for the user to navigate your site and make contact with you, and thoroughly test this for any potential bugs or performance issues before going live.
Protection from Disaster
Believe it or not, there is value to be found in starting your own business during a pandemic. You have the ability to gain an insight into how various aspects of the crisis are affecting businesses the world over, where mistakes have been made, and what solutions appear to work best. This means you already have some tools to help you build disaster management into your business operations, which can help you mitigate the impact of future problems.
Young entrepreneurs starting their first businesses should already be committing to some in-depth research. Deep dives into business publications — whether popular articles on Forbes, or videos in which entrepreneurs share their experiences — can help you to also identify where the key areas of concern have been during this crisis. Many business leaders have been candid about what solutions have worked for them, and the causes of failure.
Seriously assess whether your current business plan suggests you could weather these types of challenges. Is your business agile enough to make changes at short notice? Have you diversified your supplier pool enough to continue functioning if one or more of them suddenly drop off the radar? Have you created a disaster recovery plan that considers various scenarios? This hasn’t been an easy time for any of us, but you can use it to make your business more flexible and competitive.
The COVID-19 pandemic has certainly served to shake the confidence of business leaders, and it can feel as though starting a new enterprise at a time of crisis can be unwise. However, you can use the tools, practices, and experiences of this difficult time to build a business that can be successful. It’s never going to be easy, but you can use this period as another resource at your disposal.