Has your business changed its purpose during the pandemic?
It’s something that we have spoken about a lot in the Lombard Accountants offices lately. We know many businesses have been through a tough and transformative period through 2020 and into 2021. In some cases, companies have had to update, change and pivot just to survive – and this means having to rethink the core mission and direction of your business.
Having stuck out tough times through the pandemic, your business is now faced with a new kind of business reality. It’s a world where buying habits have changed, consumer expectations have evolved, online shopping has boomed and e-commerce is now a far more dominant force.
To cope with these changes, it’s likely that your business has had to evolve. But do you know where you’re going and how it’s impacted your underlying business mission? Understanding how your business may have pivoted over the last eighteen months and how you can evolve from your companies new position is vital. Here are some key questions to ask yourself from the Lombard Accountants team:
- Have you changed your business purpose? – did your company change direction and pivot to move into new markets or new products? If so, do you have a robust plan for pivoting and continuing this evolution? And do you have the resources that are needed to back up this change in direction?
- What is your new purpose as a business? – What is your updated vision for the business and what do you want to achieve? Do you have this formalised in an updated mission statement or business plan? If not, you need to get this written down and communicated to your executive board, your team and all other stakeholders.
- Who are your new customer audience? – If you’ve pivoted, it may be that your target customers have also changed. If your sales, business development and marketing activity is now focused on a new customer demographic, you need to update this in your sales and marketing strategy. Think about who you’re selling to, what their needs may be and how you can service these needs.
- Are any operational changes needed? – Can you successfully pivot to this new purpose using your current systems, processes and resources, or do these resources need to be updated? If you’ve increased your e-commerce footprint, then your production, logistics and delivery operations need to scale up to cope with this increased demand.
- Do you have enough funding? – Do you have enough working capital behind you? If changes in equipment, plant or premises are part of your pivot strategy, it’s likely that you’ll need additional finance to fund these changes. Think about approaching your bank manager, business adviser or funding provider of choice.
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