Fall and then winter are seasons that can cause a lot of headaches for business owners. According to CNN, the storms that wrap around many of the most productive states can ultimately cause business failure, whether that’s due to a lack of demand stemming from people staying home or whether the actual fundamentals of the business are damaged – from premises to overheads.
Being aware of how the seasons can impact a business, and being ready to counter them, is a crucial part of succession planning and risk analysis. For many businesses across the USA, the most pertinent question concerns the physical effects of weather.
Facing down the cold
Extreme weather is, as the name suggests, creating extreme situations for businesses. Wildfires in the west, hurricanes in the south, and storms and floods in the east are all becoming more frequent and more powerful. As a result of this, businesses that might normally be able to deal with what are gentle winters are facing huge problems. Indeed, as Fox Weather highlights, the Farmer’s Almanac is predicting a very cold winter, especially in the northern USA. These problems are likely to be more widespread than just in the northeast, too.
Long and prolonged winters bring with them risks to consumers. Snow and ice buildup on the property can become a hazard, both for customers and the business owner. That can result in reduced footfall to the business or, worse, injuries for which the business will then be held liable. With extreme weather and the prolonged cold, simple removal becomes difficult. Having a long-term plan to ensure ice is removed from the property is essential. It will require advance planning, whether that’s through stockpiling the necessary tools to clear ice or through hiring an independent contractor.
Financial planning
It can be tempting for businesses to seek to be always on. The competitive nature of modern business means that many enterprises are encouraged to have services year-round. However, consider whether your business can, or needs, afford that. Can you scale back services in winter? If so, consider saving more during the summer months. These busy and high-yield periods are a time in which to enjoy the business and its profits. Still, with winters becoming tougher and longer, it’s also important to ensure that you instill proper financial planning all the way through the business. Keep overheads low, put aside any cash you think you can spare for a winter fund, and undertake necessary maintenance and upkeep on the property while it’s easy to do so and the days are longer.
Broadening your appeal
There is also the matter of how the seasons will impact footfall for other reasons. According to Chron., a good example of an industry that is impacted heavily by the seasons is catering. Restaurants see a lower number of customers, many reluctant to leave their homes during cold, and that impacts their bottom line. There are options, however. One benefit of the pandemic has been the positive impact on businesses looking to diversify. Takeout, dining experiences, cooking equipment, and books have all become part and parcel of the modern restaurant product offering – how might your business diversify to offer new services?
These are all important questions for businesses to ask as they head into winter. Temperatures are more extreme, the season is longer, and it’s simply tougher to do good business. Proper planning is a key factor in managing any enterprise, but it takes on another dimension with the impact of extreme weather.
