4 Things Business Owners Can Do To Prepare for The Next Financial Crisis

Sheneya Wilson
Apr 24, 2020 · 4 min read

COVID-19 has impacted the financial health of the U.S economy as a whole and continues to break historical crisis records. When planning for the year, I am sure none of us included the impact of this pandemic in our financial plans, however, it is here and causing great harm to our prospects. At this point all we can do is survive and learn how to thrive once these unprecedented times are over.

Initially, $349 billion dollars in funding was issued to provide relief for small business owners during this pandemic. However, many businesses were unprepared to apply for these funds due to poor financial management. Remember that, as a business owner, it is your responsibility to assure that your business is in good financial standing.

This moment is the perfect time to position ourselves to be better in the event of another crisis. In this column, we’ll cover four steps business owners can take to prepare and protect themselves in the future:

1. Analyze Your Business Financial Health

2. Implement A Proper Method of Bookkeeping

3. Pay Yourself Correctly

During this crisis, there is funding available to help small businesses continue to cover payroll; so long as you have the proper documentation to prove your payroll liabilities, you can apply. Paying yourself correctly starting today will provide a better financial cushion in the long run.

4. Hire a Financial Specialist

It’s important that you continuously analyze the financial health of your business, maintain proper bookkeeping practices, pay yourself correctly, and actively seek help from financial professionals to keep your business in good financial standing. If you commit to taking these four steps today, your business will be better positioned to weather any future financial crisis that compromises your market.

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