Managing Business Finance in COVID-19 Pandemic
for Small Business & Social Enterprise
Response to CORONAVIRUS PANDEMIC
By Sam Duru MIC, MCIPS
- Fund Raising strategies
- Cost Control
- Sustainability
- Understanding your financial position
- Managing uncertainty/risks
- In control of your finance
Why think about Managing finance
Sustainability: (Survival) |
The term is applicable to both private and public sector organisations. |
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Factors determining Sustainability |
1 Planning 2 Budgeting 3 Cash-flow 4 Cost Control |
Planning | Financing Questions to Answer |
Setting the main objectives/goals Identifying capacity requirement Building in manageable time frame Identifying sources of finance & analysing them Setting out the policies Setting out control/Feedback mechanisms Setting targets |
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Importance of Managing your Finance | Being Practical & realistic |
To extend the viability of your organisation To add value to your service provision To be credible to your funders To justify the reasons for your existence To provide job for your employees To identify potential risks Making sure correct decisions are made on matters relating to finance Identify when costs can be minimised or rationalized
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General understanding of cost implications Day-to-day control of costs Purchases and use of material in your organisation Keeping adequate financial records Looking at cost –benefit – analysis Elimination of wastes
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COVID-19 SURVIVAL TIPS | |
Managing Costs for Business | |
1. Have dedicated staff managing your finance 2. Make sure all staff understand the objectives of your financial control 3. Make sure all your policies are adequate and understood 4. Improve your billing and collection system/procedures 5. Improve your account payable system 6. Streamline your Banking processes 7. Manage your staff time effectively 8. Cutback on unnecessary travels 9. Consider doing certain things in-house 10. Consider doing meetings by Zoom etc 11. Invest on good internet connections 12. Consider switching your energy supplier 13. Consider job-share
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14. Re-Cycle more 15. Consider office share/work from home 16. Take advantage of rent rebates 17. Consider downsizing your office space 18. Renegotiate your leases where possible 19. Avoid unnecessary bank/other charges 20. Lookout for package bookings and discounts 21. Accept cash & BACS where necessary 22. Consider charging upfront for your services wherever possible 23. Look out for Government grants 24. Get rid of redundant equipment 25. Understand your cash-flow (cash is king) 26. Consider leasing assets instead of buying (value for money) 27. Implement full cost recovery in your grant applications/quotations 28. Minimise general overheads 29. Consider your opening hours
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For in-depth business solutions:
Contact:
Sam Duru MIC, MCIPS
Management Accountant
Managing Consultant