The importance of diversification: How agile small firms are adapting to the COVID-19 pandemic
When Big Ben struck midnight on 1st January 2020, few entrepreneurs could have predicted what the world had in-store just a couple of months later. The coronavirus pandemic has become a global crisis, with small businesses particularly feeling the strain of government regulations forcing all but a handful to close their doors during the nationwide lockdowns.
The lockdown has inevitably led to declining sales, cancelled bookings and possible job losses, leaving many small business owners anxious about what the future holds.
Some entrepreneurs are seeking to remain positive and reach for the light at the end of the tunnel by reframing the pandemic. Agile small firms are turning it into an opportunity to help their local communities and keep their business going, even if that may be in an entirely new direction.
With many small businesses in the same boat at present, we wanted to shine the spotlight on some of the entrepreneurs who have diversified the products or services they offer to harness new streams of income for the weeks and months ahead:
Taking the garden centre to the customers
A Warwickshire-based garden centre was preparing for another busy Easter period at its 36-acre site in Baginton prior to the outbreak. Russells Garden Centre, managed by Kate Pearson, has since shown a determination to ensure that this summer’s plants won’t be discarded by offering a free delivery service to local customers. Customers are able to order any items Kate and her partner can fit in their vehicle, giving homeowners a chance to spruce up their gardens during the lockdown.
Bringing all-you-can-eat cheese nights to the home instead
Entrepreneurs Vicky Rogerson and Nick Copland operate a cheese events company, hosting all-you-can-eat cheese nights nationwide, ideal for corporate functions. The business, named Homage2Fromage, has since pivoted in the COVID-19 crisis and rebranded itself as Homage2FromageGo – bringing all-you-can-eat cheese nights to the doorsteps of homes instead. Families can order a cheese night in a box and get it delivered straight to their doorstep, helping to recreate the fun and informal atmosphere of their original events.
Ready-to-cook meals on tap from the pub
The closure of public houses, bars and restaurants has been hugely damaging to the food industry. These businesses have been forced to make drastic changes amid the lockdown. One such pub in Buckinghamshire, the Full Moon, has sought to create a host of ready-to-cook meals for their loyal customers and local key workers. With contactless collection available, customers can pick up their meal from a table outside the pub, ready to put the raw ingredients straight in the oven at home. It’s a great time-saver for customers and has helped keep the pub ticking over, covering outstanding bills and overheads.
From crafty retailer to YouTube sensation
Entrepreneur Debbie Shore operates an online craft store, selling fabrics, sewing kits, patterns and more nationwide. Her website has experienced a surge in demand due to the lockdown and she has sought to ramp up her brand by going social. Debbie has launched her very own YouTube channel offering live crafty tutorials. By using the channel to market her business she has helped to increase sales as people seek distractions from the lockdown.
Helping traditional businesses to embrace technology
Digital marketers are helping other small businesses to embrace new technologies to give them an extra dimension during the coronavirus outbreak. Marketing consultant Jodie Humphries has helped several businesses already adapt to their changing circumstances. This has included creating virtual house viewings for an estate agent and hosting Facebook Live streams for a vintage fun-fair, giving lessons on fairground art and games for children at home during the lockdown.
We can help
At TaxAssist Accountants, our entire focus is providing accountancy services and advice to small businesses and self-employed individuals – during successful and challenging times.
If you are considering a step-change in the way you run your business during the coronavirus outbreak, we can work with you to give you a clear picture of your financial situation, including any government grants, loans or tax savings available to you.
To arrange a free initial consultation on your evolving small business, please don’t hesitate to call our friendly and experienced team today on 01423 871 870 or drop us a line using our online enquiry form.
Last updated: 22nd September 2020