An Accountant’s Guide To Surviving Lockdown

1- Control your mindset

Lockdowns are not completely in your control, but your response is and it all starts with your mindset. Remain positive, stay optimistic for the future and see mental health support if you need it.

2. Shut out the media

Now is not the time for pathetic, fear mongering headlines, that the media love during a sensitive time. 

Only take facts from NSW Health, Service NSW, relevant government bodies and your trusted advisors.

3. Stop the bleeding!

Pull up your “Profit and Loss” report and review each line item.

Ensure that each expense you incur is absolutely paramount to your business AND is bringing an ROI (Return on investment).

Now is NOT the time to be spending recklessly.

4. Pivot revenue streams

In the short term, do what worked during the original lockdown.

Simply try to ensure your customers and clients are still getting value from you.

Whilst maintaining your short term activity, bring your team together and brainstorm other ways to use your capital to drive in revenue.

5. Maintain health cashflow by…

• Bringing forward income and invoices.
• Provide upfront pre payment incentives to your curtomers.
• Hit up outstanding invoices
• Negotiate better payment terms and payment plans to your suppliers.
• Create a forecast to ensure you have enough or can get a loan in time to plug the gaps.

6. Take all government incentives that you are eligible for.

Contact your accountant (or us), follow our socials and understand what you’re eligible for… Then claim it!

Your government is taking away your ability to work, don’t for a second feel bad about recouping the damages.

7. Communicate. Communicate. Communicate.

Communicate with staff, customers, suppliers, trusted advisors and anyone else you feel necessary.

Let them know where you’re at and what you are doing to combat the situation.

It may feel comfortable to be quiet, but now is not the time.

On a final note:

We understand that lockdown has severe effects for many business’. Every single day we get contacted by people struggling and seeking financial support for something that is outside of their control and it is difficult to stomach.

I highly encourage you to seek mental health support as you need it and surround yourself with a support network. Here are some links-

https://www.health.nsw.gov.au/mentalhealth/services/Pages/support-contact-list.aspx