How to prepare your SME for a financial slowdown after Christmas
While many dreams of what awaits them beneath glimmering wrapping paper, others anxiously face an avalanche of business activity that they can hardly keep up with - only to be left feeling financially out in the cold when it’s all done. What can help your SME during the post-Christmas decline?
You might be wishing, “If only I could evenly spread all of that business activity throughout the year!” While you might get what you wish for, under the tree, you won’t get that Christmas wish. Learn to accept reality: Those booming holiday months don’t last.
So when (not if) things slow down, follow these tips to make the best of the time after the holiday boom.
Four ways to make the best of the post-holiday slowdown
1. Prepare your employees for after-Christmas returns
A spike in returns from people who didn’t like their gift can erode your mountain of profit down to a hill. However, recognize that a return is actually an opportunity to keep the sale by transitioning the customer to an exchange.
How? Train your employees about excellent customer service, which can make all of the difference. Helpful, knowledgeable workers can deftly perceive what the customer didn’t like about their gift and direct their attention to something else that your business sells instead of just issuing a refund. So make sure your employees are familiar with all of the products that your business offers, as well as your company’s return policies. Doing so will allow your SME to hold on to as many sales as possible.
2. Make a plan for the slowdown
Make no mistake: it’s coming. So keep ahead of the slow period that invariably follows the holidays with staffing changes that can help relieve financial pressure for your SME. The slowdown can also provide you with time to get a leg up on spring projects, which is just around the corner. So start thinking about what your SME can do to jump-start your business for the start of next year, and get cracking on it during the slow winter months.
3. Start your planning now for the next holiday rush
Continue to think ahead! Don’t wait until you’re already busy to plan for next year’s holiday months. Start building your marketing strategy now during the winter lull, as well as get any infrastructure in place. Have everything ready that you’ll need to hit the ground running for next year in order to make the most of the holiday boom to come.
4. Take the stress off with Factoring
The business will slow, but your SME expenses will still be there. You’ll still have bills to pay and (unfortunately) unpaid invoices that rob you of needed capital to keep you going. Factoring with Factris will provide you with the necessary cash flow to keep you afloat. Find out here how Factris can keep your SME going during the slow winter months after the holidays.
Factris mission is to provide low-cost working capital to SMEs throughout the European Union. While everyone is cutting back or charging extra to speak with a real person, Factris is committed to having a local presence and providing personal services to all its customers.