Retailers should not take a head-in-the-sand approach towards coronavirus (nCOV), says national insolvency and business recovery specialist Jirsch Sutherland.
To assist, the firm has set up a special coronavirus hotline – 1300 547 724 – for businesss owners and directors needing guidance.
“The coronavirus is already effecting retailers and other businesses and it’s vital to take swift action,” says National Managing Partner of Jirsch Sutherland, Bradd Morelli.
“We have had enquiries from business owners in retail and tourism sectors who want to know what they can do to protect their businesses.
“There are solutions and processes that can buy a company time, and the sooner owners and directors seek these solutions the better.”
Mr Morelli says that it’s not just the drop-in customer and sales numbers that’s of concern, it’s also the threat to supply chains, which could affect businesses that use products made in or supplied via China.
Tips for businesses impacted by Coronavirus:
Don’t wait. It’s uncertain how long the crisis will last, so build a forecast to understand how long your business can survive under the ‘new norm’.
Diversify and limit risks. Seek alternative markets (supply or demand) for your product or service.
Seek help. If you don’t know what your business options are, speak to someone who can help. If your mental health is also being affected, seek help from a health professional.
Engage. Get on the front foot with your customers and creditors.
Communicate. Talk your stakeholders through the impact on your business and the contingencies you are implementing.
Take action. Reduce costs where possible to minimise any impact on your cash flow.
Think long term. Evaluate supply chains and ensure that future access to raw materials, components and finished goods will not be affected by another catastrophe.
Assess. Determine whether you’re over-reliant on China and weigh up how to diversify your supply chains geographically.