The Karyawan

NEW WORLD, NEW RISK The year 2020 saw a tremendous shift in the business world and almost every industry across the globe was affected. While businesses often expect to be affected by waves of economic recession, part of the challenge this time is the fact that the pandemic has lasted much longer than what many businesses are normally used to in an economic crisis. Businesses were at the point of decimation, with many ending up shutting their doors due to the coronavirus pandemic. While some may never reopen, others are ramping up their business hoping that they do not have to shut down. The outbreak has forced business owners to reengineer their business plans as the traditional manner of conducting business is becoming more and more irrelevant. The spread of COVID-19 has brought a great deal of uncertainty to our world, and it certainly has not been easy for business owners.

In this article, the Karyawan team met four business owners in Singapore to learn about their challenges, how they are navigating this unchartered territory, and the invaluable but painful lessons learned during these very challenging times. While quite diverse and all serving different consumer bases, the four business owners interviewed in this article all reflect the realities the business community is struggling with during this unprecedented disruption.

Here are a few lessons we can learn from them.

1. Diversify and Enhance Company Branding After the pandemic, many businesses have realised that they cannot rely heavily on one source of business as it makes them vulnerable. Some businesses have had no choice but to find new ways to generate revenue, when lockdowns and quarantines rendered their original business plans impossible.

The 33-year-old founding director of Bubblehead Company Pte Ltd, who wishes to be identified Tosh, had to shift gears to navigate the pandemic’s bumpy road and to handle what lies ahead. As a motorcycle and lifestyle company, Tosh provides motorcycle-related services including custom services and bike detailing. He shared that the automotive industry was not spared from the shock of the COVID-19 crisis. Sales were weak, especially with the implemented regulations. Even when restrictions were lifted, consumers were still forgoing services because of concerns of physical contact with others. In addition, many consumers are now focusing on spending less and saving more. “The pandemic has been very disruptive to my business entirely. It has forced me to re-strategise the entire business model. For instance, during Phase I and II, there were restrictions on how we were able to run our business. I know we will not be expecting to see the usual number of customers we were getting pre-pandemic. Despite getting approval to operate for ‘essential services only’, the shop was still empty on most days due to the restrictions and regulations on social distancing. Business was almost zero from day to day,” Tosh shared.

Through the pandemic, Tosh saw the need to devise novel solutions and improvise existing ones to make the best of the evolving situation. The pandemic had forced him to accelerate his initial plans to diversify his business so that his sales were not coming from one specific customer base. Although he had to close his barber shop and leather workshop, which were operating pre-pandemic, he has since diversified his business to offer apparel, LAN gaming, and also opened an art studio after the pandemic happened.

“There is a need for multiple back-up plans, be it small or big. It is essential in order for the business to survive and fight on,” Tosh shared.

If there is one thing this current crisis has taught him, it’s not to put all your eggs in one basket. According to him, it is imperative to have several income streams and a diverse customer base so that if something happens to one ‘basket’, you still have other ‘baskets’. Diversification brings security and stability to your businesses.

Tosh shared that he also worked towards upgrading himself and his business professionally by getting accreditation during the pandemic to increase his business competitive edge and improve the business’ branding so that his current and potential customers can place their trust in his brand.

“When my business was not doing well and I did not have many customers during the pandemic, I used the time positively to upgrade the shop, the brand, and even myself. I bought another unit to accommodate my expansion plans and renovated my shops to make them look more aesthetically pleasing. I also worked hard to get my company BizSAFE Level 3 certified to assure my customers that my services are delivered by staff who work in a safe and healthy environment, as well as to improve my company’s corporate branding,”

In fact, despite a rough year, Tosh shared that his company has been awarded the prestigious commercial status of a Singapore 500 SME company for the work year 2021-2022.