Published: May 29, 2020
Updated: May 29, 2020
With the world shifting to a new state of risk awareness, real estate and construction companies will need a rapid recovery strategy to become more resilient in the post-COVID world. We share five actionable steps that building owners, operators and contractors can take today to prepare for the new normal.
Read our infographic to find out how.
5 tips to help real estate & construction companies recover from COVID-19
Here are five rapid recovery tips that real estate and construction companies can use to hit the ground running after COVID-19.
1. Take advantage of government incentive programs
- Get government guidance and relief from current major federal/provincial programs, so you have the cash flow to support your business.
- Work with BDO to ensure you apply for the correct programs and complete the applications accurately.
2. Review tax and cash flow considerations
- Contact BDO Tax teams to get advice on calculating covenants, review cash flow models, and advise on calculations.
- Consider specific tax ideas such as estate refreeze/thaw, and family trust restructuring.
3. Implement or revise crisis management plan
- Many real estate and construction companies that closed during the pandemic did not have a crisis management plan. Don’t let this be you!
- Work with BDO to ensure strategies are put in place to manage future crises proactively.
4. Conduct a business continuity risk assessment
- Take inventory of contracts (suppliers and customers), review terms and conditions, understand contractual obligations and contractual risks.
- Review insurance policies, maintain accurate records, and document impact.
- Mitigate risks to companies.
- Work with the BDO Risk Advisory team to ensure all potential exposed risks are being accounted for.
5. Identify digital opportunities
- Build capacity to respond to new ways of operating.
- Achieve profitability and stabilization objectives.
- Address operational inefficiencies and cost constraints.
- Save time, money, and effort by taking a systematic approach to digital initiatives.
How BDO can help
Talk to a BDO advisor today to address all your real estate and construction recovery needs. We can also assist with risk advisory, Canadian tax, digital strategy, forensic accounting and outsourcing.