5 Major Challenges Faced By Small Business During COVID-19
COVID-19 continues to disrupt life as we once knew it. Among the most affected are entrepreneurs. Individuals in business have had to adapt and develop clever ways to stay afloat amid all the challenges. Some have succeeded, some barely make it, and others closed shop because the pandemic made it impossible to keep their business up and running.
It’s even harder for businesses that have a staff. Apart from dealing with the stress of running a business in such unsettling times, they have to worry about keeping their employees employed to provide for their families. And this is just the tip of the iceberg. Businesses continue to face even more challenges as the pandemic gets worse. We’ve highlighted five of the major challenges entrepreneurs are facing due to COVID-19. These include:
1. Increased Stress and Worry
Entrepreneurship is generally stressful. However, the coronavirus has heightened the anxieties and worries involved in running a business. For most people, it has also introduced stressors they never imagined they’d have to deal with. For instance, who would have thought that there would be a time where you’d be concerned about dealing with customers who were not prioritizing safety and that you’d constantly fear getting infected? This is the new normal.
However, some industries have been on an upward trajectory since the pandemic hit, and some have remained unaffected. A good example is the CBD industry. There is a greater demand for products like Affordable Kratom capsules, which is known to be among the best brands as people look for natural ways to protect themselves. And because most consumers are moving to online shopping, online-based businesses keep benefiting from the crisis.
2. Trouble Taking Action and Moving Forward
A crisis like a coronavirus pandemic requires quick thinking and prompt decision-making. However, with such high stakes and uncertainty, entrepreneurs find themselves in a state of “analysis paralysis,” where they’re unable to decide their next move.
However, delaying decisions in the hope that things get better only makes matters worse. You may find yourself in an even deeper state of trouble because you avoided making a decision when you had to. As an entrepreneur, you need to keep in mind that change is constant. As a result, the decision you make today isn’t final.
At some point, you’ll have to make another decision to deal with the new circumstances. Most entrepreneurs have had to learn this lesson the hard way during the pandemic.
3. Information Overload
No matter where you turn, there is a relentless flood of information concerning COVID-19. If you’re not careful, you may end up making vital business decisions based on false news. Entrepreneurs have had to learn to fact-check their sources to avoid making rash decisions. However, even when they proceed with caution, they have little control over the amount of information they have access to.
As a result, most entrepreneurs are dealing with anxiety due to information overload. To avoid this, it’s crucial to limit the amount of information you’re consuming. Sure, you need to stay updated with what’s going on in the world. However, strike a balance. If you find that you’re getting overly anxious every time you watch or read the news, take a step back.
4. Cash Flow Shortages
The most unsettling thing about the coronavirus is that no one knows how long it will last. When there seems to be a light at the end of the tunnel, a new wave kicks in, and things get worse. When the pandemic hit, entrepreneurs knew it was crucial to save up for emergencies, and most people didn’t think it would last too long.
However, as days pass by, more and more people in business are running out of cash, and the sad part is that an end doesn’t seem to be anywhere in sight. As a result, most businesses have been forced to turn to loans and other ways of financing to stay afloat. Smaller businesses without means of accessing loans have had to close shop.
5. Change in Consumer Trends and Behavior
The coronavirus has also affected everyone at an individual level. People are afraid of getting infected or losing their loved ones. Others have lost their jobs, and they’re struggling to make ends meet. These factors have affected people’s spending preferences and patterns.
For instance, to stay safe, most people prefer shopping online, which has reduced sales for brick and motor establishments without a digital space. Furthermore, most people choose not to dine out or frequent areas where there’s no possibility of maintaining social distance. Establishments like clubs have also been shut down because there’s no way to operate such businesses when people are expected to maintain distance.
However, we’ve seen more and more businesses find clever ways to run their businesses remotely. Borrow a leaf from their book and figure out how to set up your business to keep reaching your target market without direct interaction.
If you’re a business owner, you probably understand these challenges all too well. While there’s no quick fix to these problems, especially because the pandemic is still with us, there’s a way around it. Check what your competitors are doing to stay afloat and tweak their ideas to match your business needs. Most importantly, don’t be too hard on yourself. Everyone is fighting the same unpredictable battle. You’re not alone. It’s only human to be overwhelmed at times.