4 Ways Your Small Business Can Survive The Covid-19 Pandemic

By Nurul Khairiah Mohamed Yusof

Being a small business owner in these difficult times can lead to several setbacks. But, there are ways to overcome this. 

There’s no doubt that small- and medium-sized enterprises (SMEs) will be the hardest hit from the current Covid-19 pandemic. The bigger businesses have a better chance of surviving; however, small businesses tend to live only with a few months of cash flow (at most), so when something as this pandemic hits, the consequences can be devastating not only for the business owners involved but also for the employees they support. 

 “Small-business owners trying to weather the coronavirus pandemic will face a financial blow that’s likely to be worse than what they experienced during the Great Recession more than a decade ago,” says Karen G. Mills, a senior fellow at Harvard Business School.

She added that this is going to be orders of magnitude worse than the financial crisis. The 2007 and 2008 global financial crisis was a severe worldwide economic crisis. It is considered by many economists to have been the most serious financial crisis since the Great Depression of the 1930s.

According to an online survey , 68.9 % of local SMEs have suffered more than 50% drop in business within one week of the Movement Control Order (MCO).

Some of the problems these businesses are facing with are:

• Drastic changes in working environments- remote working might not work for everyone (unstable internet connection, lack of working space at home, manual documents submission, etc.)

• Unclear flow of communication and data among the team

• Disruption to company’s cash flow and unable to pay employee’s salary

• Not ready for a long-term recession period

So, how can small businesses survive the turbulent times coming ahead in 2020? While there are no easy answers, here are 4 tips to start implementing and planning at least for the next three months to help you navigate the situation.

#1. Keep your order of communication clear 

Although we’ve seen employers work hard to keep their workforce informed, yet disinformation and confusion have spread along with the virus. Your employees (and stakeholders) will be looking for reassurance from you that they are being protected.

To enable timely two-way communication and employee tracking and to disseminate critical information, companies must validate that emergency notification systems are in place and tested on a routine basis. 

Alternative communication channels such as social media e.g WhatsApp (Google Play, App Store), Telegram (Google Play, App Store) may be used, especially if the telecommunication network capacity is strained. In addition, companies should deliver pandemic-related training to enhance employee preparedness and alleviate any concerns. 

Keep your employees informed with daily newsletter or announcement on the changing policies and type type of support they can get from the employer. Usually, this can be done by emails, video teleconference, or texting applications to get the message running.

#2. Support and protect employees with clear working policies 

If your company opting for remote working, make sure to have a clear policy about it. For example, the method of communication will be slightly different from before. You will need to rely heavily on technologies to stay connected with each other. Make sure employees have a basic understanding of using teleconferencing applications like Zoom, Google Hangouts, and Skype before proceeding to use them.

For employees, it might be tough to make a mental separation from sometimes-chaotic home life and they are finding that they don’t have the skills to be successful in an extended remote environment. To assess this problem, the employer should provide enough support and addressing issues their employees faced while working remotely.

This can be done by conducting training for the online process during working, a step by step guide and emotional support (because we are human) and let’s face it, it is not easy to get used to working in a new environment.

If your company is part of the essential services as mandated by our government, the employer must address the safety of employees followed by whether they are available to perform critical functions. Companies need to be able to monitor the situation, provide a safe work environment, and offer their employees the support they need.

Many companies have now activated no-travel and physical-distancing-at-work measures to help their employees practice a safe working environment.

#3. Tap into resources and financial initiatives provided by the government

Companies should utilize resources and financial initiative by the government to keep operations running as well as paying workforce salaries.

The Malaysian government is already putting together some initiatives to support small business owners. On Monday (Apr 6), Prime Minister, Tan Sri Muhyiddin Yassin announced an additional stimulus package worth RM10 billion to help struggling SMEs affected by the Covid-19 outbreak.

One of the great initiatives is the wage subsidy programme that worth RM13.8 billion that will be given for 3 months for all companies registered with the Companies Commission of Malaysia before Jan 1, 2020. The allocation is as follows:

•  RM600 per head for companies with 200 workers or more

•  RM800 per head for companies with 76 to 200 workers

• RM1,200 per head for companies with less than 75 workers.

Banking institutions also provide six months of deferral or loan repayment moratorium, conversion of credit card balance to long-term loans, and the restructuring of corporate loans.

All of this support from the government is a big opportunity for a business owner to maintain their cash flow and allow for some breathing space before making any further planning.

#4. Make a three-month financial plan for your business

Every small business usually has the same key expenses, which include employee salaries, office rent, and utility bills. Further expenses range from industry to industry.

Speak to those you need to pay in the next three months (landlord and suppliers) and find out what options they are willing to negotiate to spread out the costs.

The government has also announced that they will give an additional tax exemption for private premise owners who will give rental discounts exceeding 30%.

Also, look at ways you can cut costs. But, use this as a last measure after we have seen at least two months of damage from the Covid-19 pandemic. Your biggest costs would usually be your staff and your office rent. You could perhaps freeze hiring on adding any more full-time employees and instead work on a project basis with freelancers.

Conclusion

This is a tough time for everyone whether you are an individual or a business owner. But, with good planning and preparation, these turbulent times can turn into an opportunity to reassess our goals and making the best from every obstacle coming. Malaysia Boleh!

What other tips you think can SMEs owners implement in their businesses? Share with us in the comments section below.

4 Healthy Eating Tips For Families During This MCO

By Nurul Khairiah Mohamed Yusof

Maintaining a healthy diet through an Movement Control Order (MCO) is not an easy thing. Here are some ideas to help your family maintain a nutritious diet

The coronavirus disease (Covid-19) outbreak is upending life for families around the world. In Malaysia, the impact of the Movement Control Order (MCO) has created several factors are a concern for people when it comes to purchasing the right food to eat healthy, such as:

• Change in spending power due to unemployment or a drop in income.

• Panic buying which has caused a dip in supply of certain specialty goods.

• Limiting shopping excursions due to MCO regulations and fear of infection.

• Social distancing causing long queues and long waits to enter supermarkets or markets.

Understandably with these factors and more, the stress of getting used to this way of life can lead to looking to ready meals and processed food. However, with a little bit of effort, you can supply yourself your family with a varied and nutritious diet without costing a fortune.

#1. Understand the meaning of a balanced diet

Have a balanced eating habits that consists of meat, fish, vegetables, and fruits. It should also contain sufficient nutrients for your body. According to National Health Service , fruits and vegetables are a good source of vitamins and minerals, including folate, Vitamin C and Potassium, while meat and fish is a good source of protein. Try eating in a moderate portion everyday and remember to enjoy the meal (yes, you can have your cheat day too!).

If you feel that cooking is not for you, you can opt for a takeaway foods. Remember to add some greens to ensure you have a balanced meals (chop some carrots or cucumber to eat as a side along with that char koay teow).

#2. Buy Fresh Stuff From Local, Store-Brand

When you think of a nutritious meal, fresh produce like meats are some of the items that come to mind. But, this stuff can be quite expensive too, especially when you want to save some money. You can alternate eating between meats and poultry while increasing your vegetables and fruits intake (cheaper and easier to prepare).

You can also consider buying fresh produce that last longer, for example:

• Carrots

• French beans

• Long beans

• Ladies fingers

• Bitter gourd

• Capsicum

• Tomatoes

Look for local farmers’ produce when you go grocery shopping. Not only they are cheaper and have more supply compared to imported goods but you can contribute to local’s businesses as encouraged by our government. Some of the produces are bean sprouts, brinjal, coriander, and ginger.

Fresh produce is almost always the best option, but when it is not available, you can opt for frozen and canned food. Not only it can be stored for months or even years, but according to the American Council on Exercise, frozen produce is just as healthy as the fresh variety!

You can also shop for store-brand products. For example, chain supermarkets like Tesco and Giants have some quality and affordable items under their own branding and most importantly it is local! You can look for cooking oil, fresh vegetables, frozen sausages, and sugar, to name a few.

#3. Make a shopping list and meal plan.

Plan ahead your meals. Visualize breakfast, lunch, and dinner for at least 5 days. What will you serve? What do you need? Know what ingredients to buy in advance for days/weeks/months and add to your shopping lists. You can include some snacks in between meals. Rather than having sweets or salty snacks, opt for healthier options like nuts, cheese, yogurt (preferably unsweetened), chopped or dried fruits, and other locally available healthy options.

Keep your shopping lists updated and handy. Either you write your products in a small piece of paper or use your notepad apps on your mobile phone, so you won’t risk forgetting stuff to buy. After that, you only need to run for groceries shopping once and haul all you wanted for a week, fortnight or even a month. Tip: Buying in bulk is also cheaper compared to normal food packaging.

Consider using apps or online-based delivery for your groceries shopping to practice better social distancing during this MCO period. You can use apps like Happy Fresh (Google Play Store, App Store) , BungkusIt (Google Play Store, App Store) and MyGroser (Google Play Store, App Store) or other local supermarkets to make it easier to shop.

#4. Food hygiene tips during Covid-19 outbreak

While at present there is no evidence of food or food packaging being associated with the transmission of coronavirus disease (Covid-19), it may be possible that people can become infected by touching a surface or object contaminated by the virus and then touching their face.

The higher risk though comes from being in close contact with other people while food shopping or receiving a food delivery. As always, good hygiene is important when handling food to prevent any food-borne illnesses.

• Wash your hands thoroughly with soap and water for at least 20 seconds before preparing any food.

• Wash unpackaged produce, such as fruit and vegetables, thoroughly under running water.

• Use separate chopping boards to prepare uncooked meat and fish.

• Cook food to the recommended temperature.

• Where possible, keep perishable items refrigerated or frozen, and pay attention to product expiry dates.

• Aim to recycle or dispose of food waste and packaging in an appropriate and sanitary manner, avoiding a build-up of refuse which could attract pests.

• Wash your hands with soap and water for at least 20 seconds before eating and make sure your children do the same.

• Always use clean utensils and plates.

Conclusion

Maintaining healthy eating habits can be a challenging task for parents to ensure everyone gets sufficient nutrients with limited sources (due to limitations in buying groceries) but with proper planning, you can provide your family with a nutritious meal while not burning a hole in your pockets.

What other tips you have to maintain healthy eating habits during MCO? Share with us in the comments section below.

Adakah Majikan Memerlukan Program Kesihatan Kewangan Untuk Hadapi Gelombang Covid-19 ?

Oleh Juliyana Mohd Yatim, Wealth Vantage Advisory Business Development Manager.

Sila hubungi 018-2487717 atau emel juliyana@wealthvantage.com.my untuk pendaftaran Program Kesihatan Kewangan

Tiada sesiapa menyangka kedatangan badai gelombong Covid-19, apalagi bila gelombong kedua datang menyerang dengan lebih tragis menyebabkan seluruh dunia havoc, kecoh dan panik. Lebih memeritkan lagi sebelum kedatangan wabak Covid-19 sebilangan besar pekerja yang sudah pun berada dalam situasi kesulitan kewangan. Dan lebih parah lagi, ketika Perintah Kawalan Pergerakan (PKP) atau RMO (Restricted Movement Control) dikuatkuasakan, perbelanjaan meningkatkan demi mendapatkan rawatan doktor, atau terpaksa tidak bekerja atau diarahkan ‘self quarantine’ di rumah dan bermacam lagi kesukaran yang dihadapi, kesemua ini akan menjejaskan keadaan fizikal mental malah akan menjejaskan kedudukan kewangan seseorang.

Dari satu kajian mendapati 54% pekerja mengatakan mereka tidak bersedia dari segi kewangan jika diperintahkan kuarantin atau jika tempat mereka bekerja ditutup menyebabkan mereka tidak dapat bekerja. Ini belum lagi menyentuh isu golongan yang sudah mendekati usia persaraan dan terpaksa mengeluarkan simpanan persaraan jika keadaan semakin meruncing.

Dari data statistik didapati, tahap kewangan kebanyakan rakyat Malaysia amat rapuh. Ramai yang jika hanya bergantung pada gaji bulanan tidak akan dapat mampu menampung barang-barang keperluan asas tanpa perlu mengusik wang simpanan. Ini disebabkan kesukaran mereka untuk menyimpan dalam menghadapi waktu kecemasan. (Kajiselidik AKPK juga menunjukkan, 53% yang berpendapatan rendah kurang RM2000 tidak mampu menanggung belanja kecemasan walaupun hanya RM1000).

Penasihat Kewangan sering menekankan orang ramai agar membuat ‘Simpanan Kecemasan’ sekurang-kurangnya 6 bulan gaji disimpan untuk tujuan ini. Namun, nasihat ini tidak akan dapat dicapai jika tidak bekerja atau sebahagian besar pendapatan dibelanjakan untuk pembayaran bil dan perbelanjaan harian merujuk data statistik Strategi Literasi Kewangan Kebangsaan 2019-2023

Namun, nasihat ini akan berguna jika diberikan pendedahan awal kepada pekerja sebelum keadaan ‘kecemasan’ itu timbul atau setelah keadaan ekonomi seluruhnya semakin membaik? Tetapi bagaimana ‘kesihatan kewangan’ atau kedudukan kewangan pekerja selepas itu pula?

Bank Negara Malaysia (BNM) telah mengumumkan automatik ‘Moratorium’ (penangguhan bayaran pinjaman) selama 6 bulan ke atas pinjaman individu mahupun syarikat. Dan bermacam kelonggaran diberikan untuk dimanfaatkan sebaiknya dengan melihat semula impak ke atas kad kredit, pinjaman rumah, pinjaman pendidikan dan sebagainya.

Dengan kesemua pilihan perlepasan dan kemudahan yang telah diumumkan. Apakah pilihan terbaik yang perlu diambil oleh pekerja berdasarkan objektif kewangan peribadi masing-masing dan juga tahap risiko yang sanggup dihadapi oleh mereka? Adakah pekerja dapat memahami keadaan ‘kesihatan kewangan’ mereka dan menilai strategi kewangan yang bersesuaian dengan keadaan mereka pada waktu ini?

Tidak dinafikan semakin banyak Majikan prihatin melihat betapa pentingnya kesihatan mental dan fizikal pekerja. Satu kajian oleh MassMutual Kajiselidik Perkembangan Kesihatan Kewangan menunjukkan 42% pekerja di saat ini telah diberikan Financial Wellness Programs (Program Kesihatan Kewangan). Manakala 19% Majikan dalam proses melaksanakannya dan 19% tersebut merancangkan untuk memperkenalkan program tersebut dalam jangka masa 3 tahun akan datang.

Dalam kajian tersebut juga mendapati motivasi utama adalah menawarkan Program Kesihatan Kewangan, dimana 90% Majikan menyatakan mereka “amat prihatin terhadap para pekerja” menurut kajian itu. Dan 8 dari 10 Majikan juga akui dengan memberi sokongan kepada pekerja yang hanya melibatkan kos minimal, disamping menawarkan sesuatu yang hebat kepada pekerja sekaligus meraih kelebihan untuk dijadikan Majikan pilihan juga faktor penyumbang untuk perlaksanaan program, menurut sumber kajian tersebut.

Walau pada ketika ini, kita semua masih mengharungi badai gelombang Covid-19. Adakah setelah wabak ini pulih dan melepasi tempohnya, ia akan dikenang dengan nama gejala yang PALING mengerikan di abad ini kerana menjatuhkan dunia? Selepas gejala ini berakhir, Majikan pula akan mendapati hampir keseluruhan para pekerjanya terjerat dengan kekangan kewangan yang lebih membimbangkan dengan tahap tekanan stres pekerja di tahap lebih teruk?

Adakah dunia akan diserang dengan virus lebih canggih yang mengancam dunia di masa hadapan? Jika virus Corona boleh terjadi mutasi berkemungkinan dalam tempoh 3 tahun lagi dunia akan dikejutkan dengan penemuan virus yang lebih berbahaya? Dan apa yang kita perlu persiapkan?

Dengan demikian, tiba masanya untuk para Majikan mempertimbangkan apakah langkah yang telah diambil setakat ini dalam melaksanakan program ‘Kesihatan Kewangan’ sebagai langkah berjaga-jaga - jika sudah sedia ada, adakah ianya mencukupi untuk para pekerja?

Tanpa mengira pendapatan, langkah persediaan ini amat penting sekali dan diperlukan untuk semua pekerja kerana ‘Literasi Kewangan’ adalah untuk semua peringkat memperhatikan mereka samada berpendapatan besar atau kecil.

Uniknya program ‘Kesihatan Kewangan’ kami dalam keberkesanan memberikan pendekatan lebih holistik merangkumi:

• Kaedah mudah untuk mengurus kewangan

• Matlamat kewangan yang jelas

• Isi kandungan yang menarik

• Sesi program dalam skala bersesuaian

• Cadangan produk berdasarkan “kepentingan pelanggan”

• ‘Budgeting Tool’ di sesi Nadi Kewangan yang efektif berkesan

• ‘Financial Tools’ dari hub kewangan mypf.my untuk panduan kewangan

• Akses penuh untuk khidmat Penasihat Kewangan bertauliah

Jika masih belum lagi menawarkan program ‘Kesihatan Kewangan’ kepada pekerja, adalah langkah yang bijak membuat peruntukan untuk program ini ke dalam Perancangan Latihan dan Pembangunan pekerja. Para peserta akan diberikan pendedahan yang dapat merangkumi Pengurusan Tunai, Pengurusan Hutang, Perancangan Pelaburan dan Perancangan Persaraan termasuk Insuran/Takaful dan Wasiat menyangkut keperluan Perancangan Kewangan.

Berdasarkan kajian AKPK secara online AKPK Online Polling Survey mendapati 80% pekerja dilaporkan akui tekanan kewangan dalam hutang akan menjejaskan prestasi kerja mereka. Dengan melaburkan ke atas program Kesihatan Kewangan untuk para pekerja akan memberi manfaat dan kebaikan kepada pihak Majikan dalam jangka panjang.

 Tawaran istimewa – 50 Syarikat terawal yang mendaftar untuk perlaksanaan Program Kesihatan Kewangan akan diberikan sesi khas “Nadi Kewangan” (one-to-one) secara percuma bersama Penasihat Kewangan Professional dan bertauliah.
 

WEALTH VANTAGE ADVISORY merupakan Syarikat Penasihat Kewangan Yang Berlesen dari Bank Negara, Suruhanjaya Sekuriti dan FiMM menyediakan khidmat nasihat kewangan holistik yang menyeluruh meliputi Pengurusan Tunai, Pengurusan Hutang, Perancangan Pelaburan, Perancangan Persaraan termasuk Wasiat dan Perlindungan. Disamping menjalankan Latihan Korporat untuk Syarikat, Institusi dan Organisasi.