How can a starting or developing company survive during these tough times? We have you covered with the materials we have gathered to help your business!
As covid -19 forces people to stay at home, it leaves business founders across the world questioning about what to do about cash flow, debt, and staff. We at Venture Faculty want to help businesses navigate through the maze, knowing it’s a challenge, but with the right people surrounding you, everything is possible, and our experts are here to guide you.
In Latvia, the state offers support for businesses affected by the crisis of Covid-19. Companies can reach out to two state institutions for assistance and help. Firstly, the State Revenue Service, which provides compensation to self-employed persons, micro-enterprises, taxpayers, and employees of downtime companies, as well as provides tax aids to downtime companies. Secondly, ALTUM Development Finance Institution provides companies affected by the coronavirus with loans for current assets, guarantees for loan holidays, or aid for business rental costs. As well as up to 36 different options for different stages of companies: More information on https://labsoflatvia.com/en/support
The world has been in this situation for a while and time has shown which businesses are essential for the world today and will rise during this crisis, and for which this is the end of an era. Remember about damage control, as a business trying to adapt to the world’s needs, it’s essential to go through your business plan and adapt it to the latest changes in your niche. Starting with the business concept, you will need to address the changes in the industry(research what your competitors and other companies are changing), acclimatize your business structure, or your particular product or service to what is needed right now, and you will similarly have to transform the way how you plan to make your business a success. Secondly, you should understand what changes have occurred in your marketplace section of the business plan – why some of your previous potential customers may not need your product/service right now and what could be some new potential customers that this state could bring to your business. You will also have to describe the competition and how you'll position yourself to beat it. Thirdly, the financial section – probably the most painful and stressful segment nowadays. You will have to analyze your income and cash flow statement, balance sheet, and focus on financial ratios. In this section, it is crucial to calculate how much resources you need (human and financial) and how much it will cost. You can do that by yourself with a lot of research and analysis, but it might be good to consult an expert, as they can help you see your business from a perspective that you have never imagined. Remember to use what you've got (skills, knowledge, connections), to minimize damage all while creating something valuable for today’s problems.
Once you have done the preparation, you are ready to seek support offers from non-state organizations. Use all your chances, take into consideration that everything is online, and your opportunities are global, meaning you are not tied to boundaries within your country. Think of hackathons (similar to the very succesful #hackforce),where you can not only strive for the prize but can also be noticed by investors , incubators (such as magenticlatvia), accelerators (for instance startup wise guys). Try to contact venture capitalists such as Venture Faculty , that might see potential to help you with an investment because it’s an opportunity for them. But, be prepared for harsh evaluations and many rejections, as this is a complicated financial state for everyone. Being persistent and motivated is key. You will have to show that you have a business that will bring profit. Keep in mind, this is not a crisis but also a window of opportunity!
To sign up for a consultation or see if your company qualifies for state aid, or for our pool of private lenders and investors, leave your details at firstname.lastname@example.org
Some useful resources of Global support for businesses affected by the crisis COVID 19 :
Written by : Sabina Novicka