Businesses are constantly working to make up for last year’s earnings since the onset of the outbreak. The sales for the holidays across the United States beat expectations in 2020; however, they were mostly done online, causing some small-scale businesses to cut hours and cut employees to keep their businesses in the industry.
How Do Small Business Loans Work?
A small business loan gives you access to capital so you can invest it into your business.The funds can be used for many different purposes including working capital or improvements including renovations, technology and staffing,business acquisitions, real estate purchases, and more.When a bank is assessing if you are eligible for a loan and how much debt your business can afford, they look at many differentfactorssuch as the condition of your business, the available collateral, your cash flow, and your character.Depending on what type of loan product you are applying for, the requirements and terms can vary so be sure your lender explains what they will need from you in order to qualify.
Am I personally liable for a small business loan?
Yes, in most cases you, as the business owner, are personally liable for a popular Direct Lenders business loan.When you take out a business loan, you’ll typically need to put up collateral, which can range from business property and vehicles to personal assets like your own car or home.In the unfortunate event that your business goes bankrupt and you can’t repay your loan, you may also lose personal assets.
When business owners must reduce their budgets and the budget for marketing is usually viewed as if it is often regarded as an unnecessary expense. Research shows that businesses that invest in marketing during times of recession rebound more quickly than those that choose to reduce their advertising budget. Smaller companies can boost their chances of success by increasing their online presence and allotting their marketing budgets to programs that yield positive results.
Make sure your company has an edge this year by refining your marketing plan to include diverse ways of reaching out to customers. New marketing, a robust social media presence, and engagement with the community are three methods to assist your company in the current market efficiently.
Come up with creative ways to increase the number of customers you have.
Companies that cut their marketing budgets during tough times are at risk of being eclipsed by competitors and deterring potential customers from becoming aware of their company’s name. The epidemic has led to customers not traveling to their area as frequently as they used to, and that’s why it is the perfect moment to think about a different method of marketing, such as direct mail or new moving marketing. These methods can reach customers without leaving their homes and connect them with companies like yours looking for customers.
Many people are leaving their homes and moving to small towns and suburbs to ensure stability during this challenging season. A study of the United States Postal Service information revealed more than 15.9 million people relocated this year. The goal of attracting new residents is to bring new customers to your brand before they’ve had the opportunity to establish loyalty with your rivals.
Enhance your presence on the internet.
A study from Mastercard estimates that holiday sales online rose 49 percent compared to the year. The increase in sales indicates that consumers use the internet to compare prices or shop and review items and products. Your business must have a solid online presence to connect with your customers online.
The good news is that social media permits you to post information about your company by posting on your profile for free cost. Paid ads and promoted posts are, however, cost money. According to an assessment by the Content Marketing Institute, the cost of social media ads and promoted posts rose by 83% this year. Social media posts can boost your company’s visibility in search results and also provides an opportunity to share customer reviews, blog posts that offer tips for customers, and much more.
Be aware that social media could become filled with advertisements, resulting in excessive stimulation for customers, reducing an impression or click or sales. While being online is essential in today’s world, it’s crucial to include other forms of marketing like those I’ve listed.
Support your local community.
In addition to improving customer care and establishing an incentive program for customers that can help attract new customers, it’s essential to make sure that businesses are active in the communities they serve. Participating in the local chamber of commerce or participating in community activities are two methods that can have a difference.
Donating to local non-profit organizations is a great option to give back to the community and build brand awareness. Corporate giving in 2019 reached $21.09 billion, which is a 13.4 percent increase from the previous year, According to Giving America’s Report for 2020.
Some companies have achieved the right balance by making community service a part of their business model. Toms is a well-known shoe brand that boasts a one-for-one business model that allows them to give away a pair of shoes to those in need every time a client buys.
While one-for-one giving might not be the best choice for your company, I’m happy to announce that our business model supports communities in the local area, and every new occupant receiving our welcoming packet is given a unique housewarming gift from local businesses we’ve partnered with. In reality, it’s a community-based welcoming program, and our customers are neighborhood sponsors, as they offer a gift to the new residents with no commitments.
Another option is to donate to charities that align with your company’s objectives.
If you are reviewing your 2021 marketing plan, Be sure to include cost-effective, trackable strategies that increase brand awareness and yield outcomes. Making sure your marketing budget is robust will ensure that your business can succeed in 2021.