Follow UsFollow UsFollow Us Client Login

Gerber Financial Advisors


THE NEW TEMPORARY NORMAL

March 24, 2020
 
What a crazy year 2020 is turning into rather quickly. While I am always up for new, difficult and exciting challenges, I never really thought a pandemic would be the challenge du jour! Regardless, it "is what it is" and we all are fighting the same fight the best we can; all from our unique perspectives and abilities.
 
I know you are being inundated with LOTS of information as American service providers are rallying to help. We are available to assist you with the various SBA, Health Insurance, BWC and other programs to help navigate these unprecedented times. With each state, one by one, entering a "Stay in Place" order, the shock of what is happening begins to wane. The need to constantly react to what is being forced upon you will begin to subside. Looking forward, you'll need to plan to begin to control those things you cancontrol to insure you protect your business and position yourself to win as the COVID-19 situation dissipates and business begins to improve.
 
PROTECT YOUR BUSINESS
  • Protect your team. There is lots of uncertainty for the immediate future. While this environment is a perfect opportunity to purge your underperforming team members permanently, you need to do your best to protect the corpus of your team, particularly "A" players. If you need to make temporary compensation cuts to your team, as a generalization, we recommend a "shared pain" approach.
  • Look for new "A" players now. With tremendous disruption in the employment market there's bound to be new people who can be great additions to your team. Starting the interview process doesn't mean you are burning cash to hire them now. It does put you in a position to hire them quickly when you are ready.
  • We suspect in the coming weeks the need to react to issues imposed upon you will slow. As it slows, be very deliberate to take time working on your business.
PROTECT YOUR CASH
  • Cut your expenses as quickly and deeply as you can while still maintaining your core team and ability to conduct the amount of business you need to conduct right now. Our years of experience on this topic tells us people never cut quick enough. They eventually get there but wait too long.
  • Be careful of deferring expenses versus eliminating them. There are many opportunities in this environment to defer your expenses into the future. Our concern is that even as business returns to "normal" there may still be cash constraint in your business just when you need to pay current expenses and, now, deferred expenses.
  • As this email is written, the Senate ahs not passed a relief package yet. Spend some time this week really working through what your next three month to six month cash burn looks like. We are here to assist you in determining which package, or combination of packages is right for you. We highly doubt there is a one-size-fits all approach.
  • Be patient with the government assistance and other programs that may surface. As entrepreneurs we want to act decisively and quickly, particularly in a time of great uncertainty. As it relates to the financial assistance programs that are coming out, whether it be the SBA, your bank, or some other program, make sure all options are explored and you understand the short term and long term consequences. We are here to help.
PROTECT YOUR MENTAL HEALTH
  • Invest in laughter and positive energy.
    •   Start your day with something that makes you happy and laugh. It is important to build a daily foundation of positive energy to fight the information overload we are all experiencing daily.
      • Personally, I watch SNL skits to get my day going.
    • Exercise every day, even if it is just a walk. Good physical health promotes strong mental health.
  • Be prepared for bad news. It is highly likely the news will get worse before it gets better.
AND HERE'S SOME GOOD NEWS TO CLOSE IT OUT
 
We are here to help guide you through the challenges, so reach out if you have any questions as we make our way through this.
 
Randall T. Gerber
Founder + Advisor


INDEX
  • WHAT WE KNOW: RESTAURANT & BAR REOPENING UPDATE
  • WHAT'S CHANGING WITH THE PPP
  • THE BENEFITS OF GROWING YOUR BUSINESS AT THE RIGHT RATE
  • HOW TO DETERMINE YOUR GROWTH RATE
  • HOW TO RESET YOUR GROWTH MODEL IN RESPONSE TO COVID-19
  • GROWTH WITH PURPOSE: 4 REALITIES THE COVID-19 PANDEMIC HAS EXPOSED FOR SMALL BUSINESS
  • GROWTH WITH PURPOSE: SOLIDIFYING YOUR CORE VALUES IN THE WAKE OF COIVD-19
  • GROWTH WITH PURPOSE: THE RIDE OF AN FGE BEFORE AND DURING COVID-19
  • GROWTH WITH PURPOSE DURING COVID-19: DON'T GROW FOR GROWTH'S SAKE
  • COVID-19 RESOURCE GUIDE
  • THE NEW TEMPORARY NORMAL
  • WHAT WE KNOW: RESTAURANT & BAR UPDATE
  • CONDUCTING BUSINESS IN THE MIDST OF THE COVID-19 OUTBREAK
  • If you would like to be notified via email each time we publish a new blog or if you would like to be removed from our emailing list, please fill out the form below.







    Additional Comments: