The business world today is fiercely competitive and thriving as a business woman in these times does not come easy. As if the hardships women entrepreneurs deal with weren’t enough, that COVID19 struck the world, making their lives just a wee bit more difficult!
Amidst the present crisis created by the pandemic, the most important factor to be considered to run a business is to have the funds to do the same. One has to have ready finances to be able to pay salaries to associates and to spend enough to incorporate new digital technologies to make the business survive and thrive. Employees are looking for directions, security and salaries in these troubled times from their top leadership; that is YOU!
With businesses having taken the impact of the present economic slowdown, it is a task to have enough funds at hand. Revenue inflows have reduced and it may take another financial quarter, before things started looking better. If you have the sense of urgency, banks seem to be your best bet. However, that might further be a very time consuming and tedious process which you might not want to engage in. So here are some creative and resourceful avenues to bail you out of the situation:-
- Family and Friends: They can be real pillars of support not only while you are setting up your business but also when you require financial assistance. They have been the most easily accessible and common source of debt financing from time immemorial. However, their readiness to help should not be leveraged unduly. The money lent by them should be treated as LOAN by you and fixing repayment schedules and terms will be a good idea.
- Credits: This option stands beneficial for you only if you have built an impeccable credit repayment history in the past. For example, if you own multiple credit cards, you can use them wisely to fund recurring expenses like paying subscriptions for various online services. However, this option is like tight-rope-walking – a little imbalance can throw your business off balance! You must try not to mingle your savings bank account funds with your current bank account funds as this may require brain-wrecking accountancy skills to keep your records organised and clean.
- Peer-to -peer loans: People in the same boat often look out for each other. This said, we need to look for and be in contact with like minded entrepreneurs who have banded together for a common goal – to make their businesses grow. The adoption of digitization has eased out this problem and digital lending platforms offer financing without the interference of any financial institution.
- Micro loans: If your need is small, opting for a micro loan may be a good solution for your problem. Micro loans are traditional small business financing programs. Some private firms and non-profit organizations extend financial help to small businesses. Their repayment methods and durations differ from banks. But here the key word is ‘MICRO’ – lending small amounts to small enterprises.
- Forex trading: Another viable option is forex trading but in order to harness the benefits of this option, you need to have had some foresight and planning in the past. Foreign Exchange (Forex) trading is one of the most common options. Instead of investing in company shares, you will be trading currencies in the trade market. Given the fewer choices in forex trading, it will only help in making your selection process faster and less confusing. You may reap the fruit of trading currency as and when required.
So, MORE POWER (and FUNDS) to you WOMAN, as you cope with the challenges and manage to stay afloat!