Great advice from Square Peg
In a downturn - cash is King and Queen - you can never have too much cash.... if you are short of cash - look to do a capital raise .....
What happens during a downturn is that poorly capitalised competitors disappear.
You don’t want to be a casualty
Make sure that you have more money coming in than going out.... or you have adequate facilities and capital to ride the wave of panic
You might need to freeze hiring, reduce marketing, cut other discretionary expenditure or in more severe cases reduce team numbers.
Look to cut costs now if your cash position is not super strong and if you can’t ride out a protracted downturn.
It is a great time to identify areas of inefficiency and look to save cash without in any way impacting your future growth prospects.
If you are in a strong position financially, then you are well placed to “invest” through this crisis.
Buy low and sell high is key to good business
The goal is for you to emerge from this crisis in a stronger position than from where you started.