5 Business Lessons Learned From A Global Pandemic

The Covid-19 pandemic caught the entire world by surprise. Every person and organization, from schools, non-profits and churches to major corporations and small businesses, has been impacted by this global catastrophe. 

However, despite the trials and challenges posed by the pandemic, there are certain lessons to be learned from a tragic event like this one, especially for business owners, small and large. 

Here are the five business lessons I learned over the last several months as I, too, navigated safeguarding my businesses from the Covid-19 challenges.

Always expect the unexpected

A global pandemic of Biblical proportions? We’ve seen it in movies, read about it in books and learned about it in school — but did we believe it could really happen in this day and age? In a world so medically advanced? Most people did not. 

Does this mean you have to live in a state of paranoia all the time? Absolutely not. You just need to know that disaster can strike at any time, and you need to have a plan. This mindset goes with the rest of the lessons that will shed light on what your plan as a business owner should look like.

Build a safety net

Many businesses have been hit hard financially by Covid-19. Fear of the pandemic has kept consumers at home and forced companies to send employees home for a prolonged period of time. Some businesses have had to close their doors due to public health regulations. Sadly, many of those will never reopen while others will struggle for a long time to get back on their feet. Why? Because most businesses don’t have a cash cushion and can’t sustain an extended economic downturn.

In my experience, it’s important to build a cash cushion for your business that is equal to 12 months of your monthly overhead. This is perhaps one of the most difficult things to do, so start small. Set a goal to reach 1 month’s worth of overhead first; next, work toward 3 months, then 6 months and finally, 12 months. Businesses with a large cash cushion during a global crisis will not only survive — they will thrive. As other companies struggle financially during times like this, those with a cash cushion will be able to continue their operations and increase their marketshare due to decreased competition. 

Read more: forbes