7 ways to keep your business chugging along

The facts don’t lie. Small businesses matter. A lot.

According to the Small Business Administration (SBA), they accounted for 44% of economic activity in the United States in 2019. What’s more, they create nearly two out of every three new jobs in the United States each year.

Here’s another fact: running a business ain’t easy.

It’s challenging even in thriving economic cycles; let alone during a global pandemic that has resulted in shut downs, lost revenues, and labor (and toilet paper) shortages.

Avidia Bank has always been proud to recognize and honor the contributions of small businesses. This year, however, we’re especially thrilled to put on our party pants to celebrate the SBA’s annual tradition of National Small Business Week. Slated for September 13 – 17, this year’s celebration will laud business owners and entrepreneurs for their contributions to local communities and will provide resources and tools to help promote business resiliency. That’s a fancy word for how an organization can quickly adapt to external or internal challenges to keep their operations running and safeguard their people, assets, and brand.

Smart ways to build your business resilience  

In the spirit of National Small Business Week, Avidia’s Stephanie Luz, assistant vice president and business banking officer, shares these helpful tips on how you can boost your business resilience:

1. Assess the impact of short- or long-term disruption. You may not be able to anticipate or control every challenge your business may encounter, but you can plan and prepare for different scenarios.
2. Build cash reserves. You should have between three to six months of money set aside to cover operating expenses. The more money you save; the better you’ll sleep at night.
3. Understand your cash flow. Work with your business banker or CPA to explore ways to boost the money you have coming in and to reduce debt.
4. Make some financial projections. Map out the next two years. What is your expected revenue and growth? What about your expenses? What investments can you make to protect your business?
5. Enhance your technology. Build a strong and secure online presence. Use digital and social marketing platforms to continually engage with customers directly. Also make system enhancements to offer remote work for your staff.
6. Adapt to customers’ needs. Determine what improvements or changes you can make to help customers manage their challenges. For example, offering contactless payments, curbside pickup, or home delivery to keep customers safe.
7. Have backup suppliers. If the success of your business is dependent on the success of other businesses, make sure that you have additional suppliers and contingency plans. Don’t put all your eggs in one supplier basket

We’re here for your business … through thick and thin

As a bank that’s dedicated to building businesses and our local communities, Avidia Bank is here to support you and your business. If you’d like to talk about ways we can help boost your business resilience, call Stephanie Luz today at 978-875-5098.