As consumer tastes and needs change radically during the pandemic, we look at how businesses can use their existing assets to remodel their business plan and operating models for a new reality. Read our infographic to learn more.
5 tips to remodel your business plan
Take a step back from the day-to-day details of managing your business and use these five actionable strategies to remodel your business plan in the pandemic age.
Assess your financial health
Start with the hard numbers. Update your profit and loss or cash flow statements to determine how to get money coming in the door, instead of going out.
Refresh your forecasts (sales, direct costs, and operating expenses). Create a budget that you can track monthly with the plan versus actual analysis.
Now you can see where you are running into trouble; you can review your options and consider the extent to reduce your expenses and convert your sales into cash.
Re-evaluate your business and tax planning
If you have not already performed a business valuation, now is the time to call in the professionals to identify any company-specific issues that increase or decrease your value and provide tax re-structuring opportunities.
u If your business's value has declined, it might be an idea to consider a re-freeze of any estate transactions. Conversely, if the value has increased, you might consider a capital gains strip.
Contact a member of our tax team today to discuss which tax planning strategy is appropriate for your circumstances.
Get government relief
The $40,000 Canada Emergency Business Account (CEBA) provides interest-free loans that are forgivable up to $10,000 when paid back by December 31, 2022.
The Canada Emergency Wage Subsidy (CEWS) helps qualifying businesses retain employees on their payroll with a wage subsidy as high as 85%.
The Canada Emergency Commercial Rent Assistance (CECRA) provides a forgivable loan worth 50% of your small business rent value each month.
Consider technology adoption
Be ready to adopt an omnichannel strategy so you can meet your customers wherever they are online.
Recalibrate ways of working to support remote access for employees.
Consider strengthening your virtual private network connectivity and cybersecurity resources.
If you are a mid-market business owner from the manufacturing, technology, retail, real estate, or private equity sector looking to remodel your business, we want to hear from you!
How BDO can help
Accelerate the next normal with an intelligent and data-driven business model. Contact your BDO advisor to find out how.