Wow! 2022 was a doozy, and 2023 isn’t shaping up that much better. But is what we’re seeing real? A few factors that still impact small businesses:
Hiring challenges are still a top concern for business owners.
While hiring is getting easier, securing quality employees at a reasonable rate is still proving to be difficult.
Interest rates are bumping upwards.
Supply chain bottlenecks have been easing.
The latest “winter wave” of COVID came in with a whimper compared to previous years.
Gas prices have eased, which is having a positive impact on inflation.
The stock market has been in a gradual decline since the end of 2021, or has it? (Up ~15% since the start of Q4’22)
Labour productivity is at levels that would make those who came before us roll in their graves.
To summarize - WE HAVE NO IDEA WHAT’S HAPPENING!
But that’s life, right? Neither you nor I have a crystal ball; therefore, if there has ever been a time to go back to basics and do things the right way, now is the time.
Going back to the basics
Do you know your current business health? How much cash do you have on hand? What are your financial obligations for the rest of the year? What pending initiatives are on your agenda? What financial impact will that have? What’s your worst-case scenario? Oh, you have some excess? Great! How are you going to use that to your advantage? Hold on to all of it? Reinvest all of it?
Going back to basics means you do the things you likely did when you started your business. You re-write your business plan with at least a two-year outlook, and you create a budget.
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