Anticipate, react, and adapt.
The shutdown of the economy due to a pandemic has never been before.
Almost all industries were affected during this period and they either had to fire their employees or continue with them with a salary cut and unpaid leaves. Therefore, laid-off employees consume fewer products or services, (because of the lack of money and also because of the non-ability to project) and this affects the overall world economy like a chain.
Since today’s world is no longer the same as it was 3 months ago, if your business model is the same as it was in early March, you are in denial.
Now, your biggest objective should be to create an action plan in a case where this scenario can happen again.
Let’s focus on your case: is your business in a 6 months problem or a one-year problem?
If it is a 6 months problem, an immediate freeze on expenses (hiring, entertainment, travel, etc.) is necessary. In the meantime, you should be reconfiguring your business for the future economic world. So, initially, you need a strategy to determine what are the minimum resources that you will need to keep your business alive and what to leave behind in the history of your company.
If it is a one-year problem: it means that you should make drastic arbitrations concerning your charge structure (layoffs, reduction of your variable expenses, etc.), renegotiating what previously seemed to be fixed expenses (rent, etc.) and putting only the essentials of survival in your lifeboat. Therefore, whatever your product/market is, ‘last month’ is no longer a valid marker and must change in order to be able to respond to the new economic redistribution. This will definitely open up some new value propositions and unfortunately can kill some others in the market.
Your next step must be to create a detailed business plan, with different steps and different scenarios. During this journey, you can surround yourself with professionals and get support (https://www.ctconsultancyuae.com/). In this way, you will be ready and more active once the situation comes.