Momentum - Business to Business Online Magazine MOMENTUM May 2020 | Page 34
FROM THE BUSINESS COACH
MIKE HILDERBRAND, BS, MBA
ActionCOACH of Galveston
[email protected]
www.galvestonbizcoach.com
PART 1
SURVIVE, DRIVE,
AND THRIVE
I
have a client who was hit particularly hard by
the coronavirus and the resulting shutdown. Her
business, a hair salon and spa, depended on clients
physically coming to the salon to purchase hair
services as well as hair care products which she
carried in stock. When the social distancing restrictions
were announced in mid-March, she had to furlough her
team and close her doors, and was left with no revenue
coming in. Like many small businesses, she had little
cash in reserve and no cushion to pay her considerable
fixed costs. She hunkered down at home, broke out the
wine and prayed that they would be able to re-open
soon. Depression followed - but not for long.
MINDSET
We are
fighting a
coronavirus
battle on three
fronts: 1) the
virus itself, 2)
the economics
resulting from
the virus, and 3)
the dangerous
mindset
resulting from
the economics.
Mindset plays
such a critical
role in owning a
small business,
yet it is widely
misunderstood and ignored. Many business owners are
going through a range of emotions similar to what we
experience following the death of a loved one. Shock,
denial, anger, frustration, depression, followed by
acceptance and then – and only then – problem solving.
This is a natural sequence of emotions, and it is normal,
but too many times people are stuck in the depression
phase and are unable to move on to acceptance and
recovery.
SURVIVE
This is not the end of the world. There is no asteroid
headed toward us that would wipe out life on earth
forever. This is an event in history that has a beginning
and an END. Yes, this pandemic will come to end, we
just do not know exactly when. But there is light at the
end of the tunnel as restrictions ease and life starts to
return to “normal”. Once my client accepted this reality,
SURVIVAL was the name of the game, and it was GAME
ON.
First, she needed cash flow relief, so she was the
among the first to apply for a Cares Act PPP loan. She
got it in the first round. She requested and was granted
a 30-day deferral on her monthly rent. This bought her
some time and flexibility. She communicated with her
team continuously, encouraging them and relaying
information
as it became
available. She
stayed present
and visible on
social media.
PIVOT
She contacted
every one of her
clients during
this time to give
them updates
on her status
and reschedule
appointments.
During these
conversations
she became
aware of a
growing issue in her client base – ROOTS! Those
clients who previously had hair color treatments at the
salon were now needing touch-ups. They also needed
new supplies such as shampoo and conditioners that
were sold at the salon, but the salon was closed. So,
she found an innovative solution that not only fixed
her immediate client issues but also provided a new
revenue stream for her salon that would be sustainable
into the future…
NEXT MONTH PART 2: Find out how my client
pivoted her business and changed her trajectory,
forever.