How Businesses Adapted and Survived the Covid-19 Pandemic
The Covid-19 pandemic has been a difficult time for businesses around the world, with many forced to close their doors or drastically reduce operations. But despite the challenges posed by this unprecedented global crisis, some businesses have managed to not only survive but also thrive during these trying times.
In this article, we will look at how different companies have adapted and survived in spite of the pandemic, from shifting their business models to switching to remote working. So, let’s learn more.
Applying for Employee Retention Credit
The Covid-19 pandemic had devastating economic impacts on businesses around the world. To help businesses survive, governments and organizations developed a range of financial support measures, that included employee retention credits. Applying for this was an important step for business owners to maximize their available relief at that time.
Employee retention credits were designed to provide businesses with a tax credit for retaining employees and paying salaries when their operations had been significantly impacted by the pandemic. The amount of the credit was equal to 50% of qualified wages paid to an employee, up to $10,000 in total wages per employee.
To be eligible for employee retention credit, employers needed to demonstrate that their business had experienced a full or partial suspension of operations due to the government-issued orders related to Covid-19, or that their gross receipts had declined by more than 50% compared to the same quarter in the prior year.
You can still claim for these expenses, however, you will need to do some research into this area beforehand to know for sure.
Due to the uncertainty of the pandemic, many workforces made the transition to remote working. If you were a company that primarily worked from a professional office setting, it was very likely that you would’ve been unprepared for the challenges of managing a remote team and ensuring the same level of productivity and efficiency as before.
Despite the difficulties presented, many businesses managed to survive thanks in part to the use of remote working. By providing their employees with the ability to work from home, businesses were able to increase productivity and, in some cases, cut down on operational costs. Additionally, with more people spending time indoors due to lockdowns and travel restrictions, it was easier for companies to reach out directly to potential customers via digital channels.
To ensure the success of their remote working initiatives, businesses would’ve adopted a number of different strategies. These included:
- Investing in collaboration technologies such as video conferencing and task management software
- Creating flexible work hours or policies to accommodate employees with family commitments
- Encouraging high levels of communication between teams
- Providing regular training and development opportunities
- Boosting morale with virtual activities, such as team-building exercises or social gatherings
These strategies proved effective in helping businesses survive during the pandemic. By adapting to remote working, companies were able to protect their bottom line while also providing a safe and comfortable environment for their employees.
Adapting Business Model
In order to survive the global crisis, and to continue operating, businesses around the world were required to re-think their traditional business models. Of course, the success of this depended on the agility and willingness to look at new opportunities.
Businesses that were quick to pivot to online platforms or delivery services were more likely to survive the pandemic. For example, clothing stores switched their operations to online retail and kerbside pick-up, while restaurants shifted to delivery services like DoorDash and GrubHub.
Companies that relied on physical locations had to close up shop. But many businesses managed to make the most of this difficult time by cutting expenses and focusing on digital marketing. This included offering discounts, coupons, and virtual events to entice customers back.
Businesses also had to look at ways of making their product more accessible to consumers while they stayed home. Many businesses turned to subscription services, allowing them to deliver products directly to the customer’s door. This enabled customers to access products without having to leave their homes.
By taking advantage of digital platforms and delivery systems, businesses, large and small, were able to successfully pivot during this unprecedented time.
Overall, the pandemic has been incredibly challenging for businesses around the world. However, businesses that have managed to stay afloat during this period of uncertainty are those that were able to quickly adjust and adapt their strategies, processes and operations.
By utilizing the right technology tools and innovative strategies, businesses have been able to keep their doors open and thrive in spite of the pandemic.