At the end of the webinar, the PwC experts shared their advice to entrepreneurs on what to do right now given the current economic situation. Their advice was as follows:

  1. Analyse the cash flow situation of your company for at least the next 6–18 months. Study your fixed costs and other outflows.
  2. Scenario-plan for various reductions in revenues/inflows over this period or longer, e.g. what happens if your business falls by 30%, 50%, 70%?
  3. Once you have performed this analysis, consider what counter-measures to put into place to protect the business. For example, look at your contract terms with suppliers, service providers, subcontractors and see whether it is possible and practical to terminate or amend them. Look at the options to re-finance or re-structure your loans and leases. Consider any potential employment measures to cut wage costs. Diversify / pivot your business to find new clients, projects, or activities.

For more information, we highly recommend that you visit the PwC Estonia COVID-19 website for advice on how to manage your business through the crisis. Other helpful resources can be found on the London Business School website, and at e-Residency Marketplace service provider Gate to Baltics’ website.

The e-Residency team also strongly recommends that if you anticipate that your business will experience financial difficulty as a result of the crisis, that you speak to your service provider for counselling and to mutually find a solution.

We also recommend that you use any downtime caused by the crisis productively, e.g. upskill, take online courses, write project and fundraising proposals, and take time for things you never have time to do, like revamping your website or writing.

And we would love to hear about your experiences. Please comment below the effects COVID-19 has had on you personally and in your business — what are the pain points, where do you need support, what are the opportunities, have you made changes to your business strategy or pivoted to take advantage of new opportunities, what information would be helpful from us to you, etc?

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