What do I mean by Holiday Proofing your Business?
I am referring to small business owners (like me) who run their business in the mode of: if you are not there, the business suffers. As a business owner, you are likely looking forward to having a little holiday over Christmas but, not looking forward to the cost – the cost of no income coming in, and the cost of paying wages for Public Holidays.
To help – here are some strategies to put into place – they all may not be ready for this year, but follow them and you won’t be feeling the “dreads” this time next year:
1. What is your break-even point?
What does your business need per month to pay all bills and wages, including yourself? Put aside a little every week so that you have at least three months of funds in a savings account. If you start now, a small amount each week, by the end of next year, you will easily have enough funds for you to peacefully have a holiday over Christmas.
2. What is the current Annual Leave and Sick Leave accrual in $ amount for all your employees?
Are you financially prepared for your staff taking their leave accrual? It is a good idea to monitor the current accrual amount and record it in your books (in your Balance Sheet) and ensure you have set aside funds.
3. Employees going on a nice long holiday and you need to replace them or ensure other employees can cover the role?
Ensure procedures for all roles in your business are documented and up to date, so that their role can easily be covered by another resource.
4. Do you provide support to clients?
Ensure you have resource coverage to provide the necessary support over the Christmas holiday period. Notify your clients so that they know your support coverage, who and how to contact.
5. Schedule marketing during your break.
If you use social media, issue newsletters or any other regular marketing, organise these prior to going on holiday and schedule these to automatically issue and post when you want them to. Get a great start to 2021 by having your marketing working for you while you relax.
These strategies will assist you in having a peaceful and relaxing holiday over Christmas and New Year.
Merry Christmas and wishing you a successful and healthy 2021!
Need help with taking action? Contact us today on 0410 819 783 and at hello@miebs.com.au
Visit our other blogs here. (Maybe over Christmas as you relax!)