Business Owners Must Be Proactive Due To Coronavirus Impact On Economy

The Coronavirus is turning out to be threatening to not only our health and safety but to the well-being of businesses and the economy. As cases mount and fear extrapolates, it is hard to stay calm when reading headlines about quarantine rates increasing, cancellations, curfews, stock market drops, school closings, and lack of test kits.

The major damage so far seems to be focused on the hospitality industry, travel, restaurants, and entertainment venues, as well as retail entities. The next wave of closings and layoffs that come as schools are shut down, and workers telecommute from home might affect consumer goods, housing, and autos. Products and medicines manufactured overseas will continue to be in short supply, and although we hope the coronavirus scare might be short-lived, its effects may be felt for many months to come.

Oil shock, market plunges, poor earnings and recession fears are scary, but they also create other opportunities. Some business, no matter how prepared will suffer and lose some short term revenue, and so will those businesses in their supply chain. There are Federal and State resources available as well as tax relief on the way, we will help you stay informed. We beg you to be proactive now – consider keeping your business open with a skeleton staff, cutting back your hours and rotating individuals, consider allowing your staff access to technology so they can work from home and serve customers remotely, don’t close your restaurant but offer pickup and delivery, ask who might want to take advantage of the opportunity for unpaid leave. Time to revisit your 2020 strategic plan and begin to conserve resources.

Some of our clients in medicine, healthcare, sanitization and cleaning products and will see profits soar while others will see profits suffer. Are you already under pressure to delay shipments, defer projects, and reduce fees? Companies that expect to be negatively impacted by Coronavirus events may need to do some revised budgeting and forecasting, and look for ways to reduce costs. Perhaps you need to find new suppliers to keep your projects or products moving. Have you thought about restructuring or refinancing? This is a good time to update your business’ disaster response plan for an epidemic and check that your insurance policies cover business interruption. Please remember that your Fuoco Group Accountants and CPAs are part of the larger TFG umbrella which can offer you strategic planning services, proactive financial insight, and assist with risk management, commercial lending, and a host of other consulting services.

Contact Us: Some things are not within a business owner’s control, but there are steps management can take to mitigate the risks and impact of the Coronavirus outbreak over the long haul. Now is the time to look at liquidity, your supply chain, and get a new perspective on your bottom line. Help is just an email away at This e-mail address is being protected from spambots. You need JavaScript enabled to view it . Check the homepage of our website for daily Coronavirus updates.