As you reopen your company, people you previously did business with might or might not return with you. Or, it could be the same people, but in different positions, not necessarily having the same latitude and/or resources at their disposal. These individuals, vendors or customers, will most likely continue their relationships, but it will probably be one that’s changed. So, you’ll need to re-establish said relationships and do so in a thoughtful and careful manner. Why Business Relations are Now more Important and Fragile than Ever Of course, whether or not you’re dealing with the same individuals and/or roles Will depend on a number of factors. It’s important to understand and accept the fact that you have no control over these situations. That means you’ll have to make adjustments on your end, in order to make the relationships work. Hopefully, the people you deal with will have some say of their own, but it’s best to hope for the best and plan for the worst. In the early months of 2020, the COVID-19 pandemic prompted wide-sweeping shutdowns and shelter-in-place orders across the United States. Now, as parts of the country look to start relaxing these strict measures, small business owners need to think about what’s next and how they will adapt and move forward safely and sustainably. —U.S. Chamber of Commerce As you reopen, some of the individual vendors and customers you previously worked with might not come back. Also, there’s the inevitability of personnel change among vendors you worked with prior to the shutdown. This means they’ll be some level of give and take, and you’ll need to temper your expectations from time to time until the new relationship takes form. How to (Re)Establish Business Relationships Post Shutdown Going forward, This new and strange dynamic will present its own set of challenges. But, with a bit of patience, tact, and along the way analysis, you can either establish new business relationships or re-establish old ones. Here’s how: Reach out. Obviously, this is where you’ll start. Reach out to those you had the strongest relationships before. Then, to others and go down the list to eventually get to those you only occasionally worked with prior to the shut down. Listen carefully. When you do speak to vendors and customers, make a conscious decision to actively listen. Don’t give into the urge to carry on about your business. Instead, take the time to listen carefully to them and learn about their circumstances. Communicate clearly. By the same token, be honest about your situation, exactly where you stand, and where you expect to be in the near future. In short, under promise and over deliver. Offer Meeting options. Not all clients, customers or partners will feel comfortable meeting in person so offer them options. We have asked our clients; would you prefer to do a video or ZOOM conference or have us meet you in person. Just asking shows you are sensitive to their concerns. Pay on time, every time. Also, be sure not to get too far ahead of yourself so you’re always in a position to pay on time, every time you receive an invoice. Otherwise, you’re opening yourself for trouble. Refer good vendors to others. Another thing you can do is to refer your favorite vendors (and customers) to others to show your appreciation. What other suggestions do you have? Please share your thoughts and experiences by commenting! Interested in learning more about business? Then just visit Waters Business Consulting Group.

So, you had a wonderful staff and everything was going really well. Then, the whole world fell into chaos due to the pandemic. But, you managed to work your way through and even brought on additional personnel. It was a reasonable and logistical decision. Now, you’re caught in a quagmire because your tenured employees aren’t syncing with your new hires. What can you do before it becomes too big a problem? Simple, take immediate action, size up differences, be impartial, formulate an action plan, and then keep an eye out. Every Solution Breeds New Problems It sure seems that when you find a way to fix an issue, it only creates another problem. Although it’s a well-known cliche, it’s certainly something that practically every business has experienced. When you brought aboard fresh talent, you probably pictured them working side by side with your existing staff. Instead, you’ve got a kind of civil war unfolding in your place of business. …it is important to intervene early. In extreme examples, the conflict might be due to one employee who is creating a problem, but most often it is a matter of having two personalities that don’t mesh well together. The sooner a solution is reached, the sooner both employees will be happy to be able to move on—and the sooner their coworkers will be relieved to feel the easing of tensions in the office. —The Balance Careers Obviously, you can’t let this go on and need to address it as quickly as possible. If you don’t, it will only worsen over time and divisions will grow deeper among your combative team members. They might even go so far as to quit abruptly in a moment of anger and leave you to deal with the very untimely fallout. Instead of letting this situation grow out of control, you need to intervene and take rational, measured action. Otherwise, you might also become emotionally overcharged and that will only lead to a lot more trouble. How to Deal with Employees Who Don’t Work Well Together There is always a potential for personalities to clash. It’s the opposite problem of having employees who get along too well, to the point they isolate themselves from the rest of the staff and that too becomes an issue. Because people are inherently social, they really like to get along. But, there are individuals who feel an innate need to do their own thing and this also can present a number of problems. If you have a tenured staff that isn’t meshing with new hires, here are a few bits of advice about how to deal with these circumstances: Identify the problem(s). We’ll start with the most obvious step to take. And that is, to identify the root issues of what’s causing so much chaos. You might find there are very petty differences here that have managed to quickly balloon out of proportion. If so, that’s actually good news because it’s a much easier fix. However, if you discover it’s a very wide and deep rift, you’ll have your work cut out for you. Understand basic personalities. It’s not just enough to understand what’s going on at the most basic level, it’s imperative that you also know precisely what types of personalities are involved. If you don’t have a firm grip on these elements, there’s really nothing that you can do to end the feud. If necessary, take a little time to get to know your new people better so that you can approach this with confidence. Don’t show favoritism to anyone. If there’s one thing that will sabotage all of your healing attempts, it’s showing favoritism. Usually, this trait appears on behalf of the people you know best and is biased against the new people in the business. Even if it’s the other way around, favoritism is a poison pill. Be objective and think things through before you take any significant action. Present some real, workable solutions. Obviously, as the leader of the business, you’ll be the one who needs to come up with one or more solutions or a set of compromises. Regardless of what these are, don’t apply them unilaterally. Instead, speak to people individually in order to get a sense of what they think is most fair, then bring everyone together as a group to talk it out. Monitor the situation objectively thereafter. Lastly, don’t pull yourself away from the situation too quickly. Instead, watch what unfolds over the next few days to several weeks and be ready to make changes if necessary. You could discover that it’s just not workable and have to make changes to your staff or even put people in different roles. Hopefully, they will begin to work well together and develop strong professional relationships. What other suggestions do you have for dealing with team members who don’t necessarily get along? Please take a moment or two to express your thoughts and experiences; you might just help someone else out in a big way! Interested in learning more about business? Then just visit Waters Business Consulting Group.

The U.S. Bureau of Labor Statistics estimates about one-third of new businesses fail in their first two years of operation. Approximately half go out of business within the first five years. Banking statistics reveal around 82 percent fail due to cash flow issues. Those are grim and stark figures. But, these unfortunate circumstances can be avoided by building up a business emergency fund in the form of retained earnings. Top Reasons to Save Retained Earnings There are several benefits to saving retained earnings in any business, no matter how small. (But more particularly, for medium to large sized organizations.) Obviously the most important is for emergency situations. It could be a natural disaster, a pandemic, a sizable dip in the economy. Regardless, emergencies do happen and your business will benefit from having savings in-place. Retained earnings reflect the amount of net income a business has left over after dividends have been paid to shareholders. Anything that affects net income, such as operating expenses, depreciation, and cost of goods sold, will affect the statement of retained earnings. —The Blueprint, a Motley Fool Service Another advantage of having retained earnings ready-to-go is for opportunity buys. Your business might have the good fortune of being able to purchase inventory and/or equipment in bulk at a substantial discount. Or, there might well be a circumstance where cash becomes temporarily tight. Retained earnings are an ideal source of capital that can later be replenished. Clever Ways to Save Retained Business Earnings It’s not always easy (or simple) to put aside money within a business that isn’t specifically for something like inventory, equipment, materials, et cetera. But, there are ways to save retained earnings for your business — it just takes a substantial amount of discipline and patience. Here are some effective ways to save retained business earnings: Make it simple. Rather than trying to save money in a business checking account and “pad” the balance, open a dedicated account, such as a money market (since it earns interest) and that will provide more incentive to set money aside. This way, you’ll largely avoid the temptation to spend what you’ve ostensibly saved. Automate savings. Once you have a money market account to save retained earnings, set up automatic deposits to go into that account on a regularly scheduled basis. After a time, it won’t be such a big deal and you’ll grow accustomed to it. Take advantage of discounts. If you’re planning on a big purchase and have a budget set for the expense, take some time to find the same item at a discount. Or, broaden your search to find something similar but less expensive. Then, take the difference you save and put it in retained earnings. Sell off old or unused items. You’ve probably bought one or more things in the past that you rarely use or have grown out-of-date. So, go through your assets and find prime candidates to sell off and then put the money into retained earnings. Take advantage of higher revenue. Whenever business is good, it’s a good idea to put some money aside for a rainy day. While many business owners do this, it’s only sporadic. But, making this a priority and a habit will help to beef up retained earnings. What other suggestions do you have for building up retained business earnings? Please take a brief moment to leave a comment and share your thoughts and experiences so others can benefit from your strategies. Interested in learning more about business? Then just visit Waters Business Consulting Group.