Wondering how to recession-proof your Kent business? Here are 3 tips

It is becoming increasingly likely that the UK (and potentially the rest of the Western world) is on the verge of a major recession. With inflation shooting through the roof, a cost-of-living crisis to contend with and an economy that is only just beginning to feel the aftershocks of COVID and Brexit, businesses could be in for a tough ride.

 

This is bad news if you run a small to medium-sized company in Kent. Given the huge uncertainty of the past few years and the severe disruption caused by the pandemic, the last problem you need is a full-blown recession. However, instead of bemoaning the problem, it is more sensible to find a solution before it is too late. By planning ahead, you can help to manoeuvre yourself through the teeth of the recession and potentially even profit from an uncertain economy. 

 

To help you through this difficult period, this is a quick guide on how to recession-proof your Kent business: 

 

Solidify your cash flow with invoice factoring

One of the best approaches you can take to recession-proof your Kent business is solidifying your cash flow. A lack of cash flow kills businesses seemingly overnight. If you suddenly find yourself unable to pay your bills, then you could end up in debt or, worse, in court. 

 

However, the reality is that some of your customers may become increasingly tardy with their payments due to cash flow issues themselves. This is a horrible situation to be in, and it grinds your company to a halt. Instead, use invoice factoring to receive your money on time, every time. You can get free quotes from the team at fundinvoice.co.uk, who will reach out to the available factors to get you funding, credit control support, guidance, and protection. 

 

Make sure your products or services are irreplaceable 

A major fear of every business during a recession is a dwindling customer base. When times are tough, people understandably want to save their money and only spend it on essential items. It is, therefore, your job to make your products or services essential. How? Well, your first step is to understand your customers better. Get to know their needs, wants, and worst pain points. 

 

You need to know what they want from your products and what they value the most. This will help you create products that they become dependent on. What’s more, you need to continually stay ahead of the competition to ensure customers flood towards you. 

 

Search for new technologies and the latest trends that can be incorporated into your products to make them more appealing to your customers. 

 

Out-position your rivals in the marketplace

Finally, you must ensure you have the best possible positioning in your marketplace. There is no space for second best during a recession, and customers will be ruthless with their lack of loyalty. The first step you must take to out-position rival businesses is understanding what you are up against. Research rival products, pricing, marketing strategies, and target audience to improve your attractiveness to customers. 

 

Pinpoint their strengths and weaknesses and find ways to differentiate your business from theirs. For example, if your competitor is known for its low prices, you can set yourself apart by offering a higher level of customer service or a more impressive range of products.

 

Previous post

# Essential Safety Tips for Boating Enthusiasts

Next post

Apology Flowers: Which Flowers Are Best To Say Sorry?