Foolproof Steps to Help Your Business Bounce Back from a Major Setback
By Michael Deane – Contributing Writer for Inland Empire Business Journal
According to a study by the U.S. Small Business Administration, about half of small businesses cease operation within 5 years. Entrepreneurship is an unpredictable journey. No matter how hard you work, you can expect to encounter a few setbacks.
It can be a major flaw in the manufacturing process, the loss of a big client, or a great economic disturbance such as the ongoing COVID-19 pandemic. What you do to deal with setbacks is what will define you as an entrepreneur.
So, to find success, first you need to push past the disappointment. Here are a few steps you can take to help your business recover from a major setback.
Stay Calm and Acknowledge the Problem
To help your business prevail, you need to keep a cool head. Usually, our first instinct is to panic when something goes wrong.
But, when you have employees that look to you for leadership and direction, it is even more important to keep a cool head. If you take the next steps calmly, your odds of success will increase.
If the setback is caused by a business mistake, it is key to own up to it. You will only make matters worse if you let your pride get in the way or if you go into denial. You should take responsibility, and you should also avoid blaming others or yourself for the setback.
Put The Problem Into Perspective
Don’t allow yourself to go into “the sky is falling” mode and start blowing problems out of proportion. Not every setback you encounter will put you in a grave situation.
In the grand scheme of things, how significant is the predicament? Is it a legal issue? Is it a brand image problem caused by product flow?
Is it a financial issue caused by the ongoing coronavirus pandemic? If so, take a moment to realize how many people are going through the same situation and find out if your government is offering any COVID support you can take advantage of.
Before you jump into crisis mode, try to evaluate the impact of the setback.
Put Effort Into Determining What Went Wrong
Before you can fix the problem, you need to determine what caused the setback. This requires objective evaluation.
Did your team fail to do enough market research? Was it because your customer service reps didn’t know how to handle the situation? Was it due to unclear language in your agreement with a client?
To ensure it doesn’t happen again, start laying out what you can change. For instance, if your contact center cannot handle increased call volumes caused by the lockdown, you may find a call deflection bot to be the best solution.
You may need to enlist the help of a professional or a company that specializes in certain business disciplines, such as PR, HR, taxes, finances, law, etc. When you determine the cause of the setback, you need to come up with a clear plan for what you need to do differently.
Reach Out to Trusted Advisors
When the going gets tough, don’t hesitate to ask others for advice and help. No matter the setback, you don’t have to deal with it alone. Look for a trusted advisor who can offer you some support, insight, and guidance.
You can connect with a business coach or a mentor, such as a SCORE mentor. You can also look for a business owner who has experienced a similar problem.
Whatever difficulties you are facing as a business owner, you can rest assured that there’s a seasoned entrepreneur out there who has suffered through the same setback. Talk through your problems with someone who knows what it takes to overcome such issues.
Embrace It as a Learning Moment
Setbacks in business may benefit you in the long run—as devastating as they might be. Consider the wise words of Malcolm Forbes, “Failure is success if we learn from it.” To improve your business, you need to look beyond the dismay.
Embrace the experience as a learning moment. For instance, the loss of an important customer may lead to a new customer loyalty program that will improve customer retention.
If the setback is caused by a bad hiring choice, it may lead you to realize that you need to improve your candidate vetting process.
Reset Your Vision
A setback is a comma, not a period. You can easily get off track when you are going at a rapid speed.
When a slowdown occurs, it is a great time to re-evaluate your vision and revisit your mission statement. The setback gives you that coma, the pause you can use to achieve this.
Why did you start your business? What do you want to accomplish moving forward? Business owners change and grow, and so do markets.
The problem is, their businesses often run on old ideas. This is a great chance to determine what you want to achieve long-term.
Celebrate Small Wins
Create small wins for yourself. This will help you regain momentum. But, don’t attach the win to the results of your actions. The steps you take are a win in themselves.
Non-judgement is the best way to face difficulties in business. It’s easy to get emotionally-tied to your entrepreneurial journey.
But you can prevent this if you avoid thinking of setbacks as failing or losing. You will emerge even stronger if you take advantage of the downtime.
Michael is a contributing writer for the Inland Empire Business Journal. He has been working in marketing for almost a decade and has worked with a huge range of clients, which has made him knowledgeable on many different subjects. He has recently rediscovered a passion for writing and hopes to make it a daily habit. You can read more of Michael’s work at Qeedle.
Saybridge Technologies’ Board of Directors Announces Byron J. Paul as CEO
The SyBridge Technologies’ Board of Directors is pleased to announce that Byron J. Paul has joined SyBridge Technologies (“SyBridge” or the “Company”) as Chief Executive Officer and will also serve as a member of the Board of Directors. Mr. Paul will build upon the Company’s strategic vision of becoming a global technological leader in value-added design and manufacturing solutions ranging from design and prototyping to production-as-a-service and aftermarket services for customers. Mr. Paul brings extensive experience in industrial technology and a 20+ year track record of driving profitable growth in complex, global enterprises.
Mr. Paul was most recently Group President at Signode Industrial Group where he led a global portfolio of businesses focused on end-of-line packaging technologies and warehouse automation solutions. He previously served as President of Destaco, a leading designer and manufacturer of precision engineered components for industrial automation and robotics applications. Mr. Paul has also held senior leadership roles at John Crane, a leader in rotating equipment solutions, and at the Boston Consulting Group. Mr. Paul holds an MBA from the Kellogg School of Management at Northwestern University and a Master of Public Administration from Harvard University’s Kennedy School of Government. He also attended the University of Western Australia where he earned a Bachelor of Commerce with first class honors in accounting and finance.
Mr. Paul stated, “I am thrilled to be joining a world-class team at SyBridge Technologies. They have done an outstanding job expanding SyBridge Technologies’ global reach, growing from three sites in 2019 to 16 locations today. I look forward to partnering with the Board and Crestview Partners as we embark on the next phase of growth to build an unrivaled leader in digital manufacturing.”
Jason Luo, Chairman of SyBridge Technologies and Crestview Operating Executive noted, “Byron is a committed leader with a proven track record of successfully growing businesses and we are excited to partner with him as we plan to execute on the Company’s next chapter of growth.”
Mr. Paul succeeds Tony Nardone who has departed the company to pursue other interests. “We appreciate the many contributions Tony has made to SyBridge and wish him well in his future endeavors,” said Mr. Luo.
Tips on Accessing Capital as an Under-resourced Small Business Owner
Interview with Peter E. Jackson, MBA, Vice President, Sr. Business Consultant at J.P. Morgan Chase
By Josaline Cuesta, California Program Director, Small Business Majority
Entrepreneurship is essential to a thriving and equitable economy. Yet, too many of our smallest businesses—especially those owned by people of color, women, rural business owners, and other under-resourced communities—face significant hurdles in accessing capital from banks and other traditional financial institutions.
Small Business Majority prides itself on partnering with experts in the field to mitigate the unnecessary impacts of inequitable access to capital and help to break down systematic barriers.
Peter E. Jackson, MBA is Vice President, Sr. Business Consultant at J.P. Morgan Chase. His work in California has been integral to creating pathways for minority and women entrepreneurs to access capital successfully. I sat down with Peter for a Q&A to discuss his experiences, share his expertise and tips, and learn more about expanded opportunities for capital in a unique community.
Do you believe there is a barrier to accessing responsible capital for small business owners? If yes, do you believe that a certain group of small business owners are more susceptible to experiencing challenges? Why?
From where I sit, one of the biggest hurdles facing minority small businesses is access to financial education. Many Black and Latino business owners we work with through the Chase mentorship program, believe it or not, cite access to education as their top need, e.g., understanding working capital, credit readiness, financial planning, managing debt and cash flow, etc. Working knowledge of these principles is the foundation of building a small business. That means having your bookkeeping and financial operations to help you make your best case when seeking funding/capital from any lender. Not having this in order may delay any financing for your business. There are also questions to ask yourself, e.g. ‘Am I in a healthy financial position to pay back a loan or is a bank loan the right financing option for my business needs at this time?’ This is where a banking relationship or banker can come in handy.
Often, minority entrepreneurs may not have had the best relationship with a bank or may not have had a parent or close individual to seek guidance from related to entrepreneurship – the list goes on. The pandemic exacerbated many of the underlying racial disparities that already existed in the U.S., including the banking system. As a firm, we recognize these challenges and do everything we can to address them.
In 2020, JPMorgan Chase announced a $30 billion racial equity commitment to create an inclusive economic recovery and help Black and Latino small businesses, families, and local communities create and sustain generational wealth. We’re creating the infrastructure to help more minority-owned businesses grow and recover through new programs, products, and hiring. This service is free, and business owners do not have to be Chase customers to receive coaching and mentorship.
Information about the JP Morgan Chase Minority Owned – Business Program is available at: https://www.chase.com/es/business/minority-businesses
What stories have you heard about the ease of accessing capital for small business owners? Can you please share a few typical challenges and some success stories? Did any success stories involve innovation? Did owners have to think outside the box to gain continued access to capital?
Yes, thinking out of the box is an everyday part of what we as Sr. Business Consultants do. Every business owner comes from a different place financially and operates their business differently. An example of this was a local smoothie bar owned by a Latina entrepreneur in Fontana, California. I discussed her goals and challenges, and she needed to obtain a small working capital loan to hire a part-time employee to extend her business hours and add signage. I helped her calculate and understand her break-even to determine the right price she needed to charge for her product to be able to pay for an additional employee and add a sign to the front of her store. This was important because she established new sales goals to drive more revenue. Also, the loan underwriter could see her business now had sufficient income capacity to borrow and pay back a loan by charging enough to support the loan payment. Business owners often borrow without a plan to demonstrate they can repay the loan or without consulting their CPA to ensure they leave enough money in their business to borrow. Part of my role is to help small business owners understand their business finances and how to leverage them to scale and grow their businesses.
What are some ways to increase small business funding to expand access to capital?
From JPMorgan Chase’s standpoint, here’s what we are doing to expand access to capital for underrepresented communities. We have committed $396 million (page 23-25) in small business philanthropy to grow Black, Hispanic and women-owned small businesses and create a more inclusive recovery from the COVID-19 pandemic, including:
- ~$42.5 million to expand the Entrepreneurs of Color Fund (EOCF) in more U.S. cities, the program will offer low-cost loans and technical assistance to small businesses through LISC and CFDI network
- Philanthropic investments to build the capacity of diverse-led nonprofits across the globe and support the signature Ascend Program
- Policy solutions through the JPMorgan Chase Policy Center to improve U.S. Small Business Administration (SBA) program to better meet the needs of minority- and women-owned small businesses.
Within Business Banking, we plan to provide an additional 15,000 loans -totaling $2 billion- to small businesses in majority-Black, -Hispanic and Latino communities over the next five years. To further expand access to credit to minority business owners, we’re:
- Exploring targeted adjustments to how the firm evaluates credit applications
- Introducing new products, including a digital lending platform, to better support the needs of small Black, Hispanic and Latino-owned businesses seeking quick access to capital.
What are some of your recommended, trusted community resources or training opportunities within the Inland Empire that will help with understanding ways to access legitimate capital?
- Mentorship, dedicated coaching, and education are critical to helping people get credit ready. Look into Chase’s 1:1 coaching for minority entrepreneurs across 21 U.S. cities, where they work with a senior business consultant to help them scale. Visit www.chase.com/businessconsultant to learn more.
- Visit the Inland Empire Center for Entrepreneurship (IECE), an SBDC program within California State University, San Bernardino, which delivers a wide range of programs, technical assistance, and services to existing small business owners or aspiring entrepreneurs in the community. Every state has a small business development center offered through U.S. SBA and colleges/universities.
- Lastly, I think AmPac, UCR, and the University of La Verne also have some of the strongest community resources that speak to access to capital, readiness, training, grant programs, microfinancing, etc.
Peter will join other financial experts for a Small Business Majority hosted event on September 14, 5:30pm PT. “Breaking Barriers: Accessing capital as women business owners of color” is a free event to learn tips for remaining resilient in business and how to navigate non-predatory debt financing options that will help grow or strengthen your woman-owned small business to help build generational wealth.
Stater Bros. Markets Appoints Rebecca Calvin to Senior Vice President and Chief Marketing Officer
Stater Bros. Markets is pleased to announce the appointment of Rebecca Calvin to the role of Senior Vice President and Chief Marketing Officer, due to the upcoming retirement of the company’s well-respected and current Executive Vice President and Chief Marketing Officer Dennis McIntyre. She will report to Chief Executive Officer Pete Van Helden and serve on the company’s Executive Leadership Team. She will begin her new role on Monday, September 26, 2022.
Calvin will lead the company’s marketing efforts which include the Sales and Merchandising, Integrated Marketing, eCommerce, and Food Strategy and Innovation departments. She will be responsible for strengthening Stater Bros.’ ability to meet the evolving needs of grocery shoppers in the diverse Southern California market through smart and effective product, pricing, and promotion strategies.
“I am very excited that Rebecca has chosen to join the Stater Bros. team and I look forward to working side-by-side with her to make Stater Bros. the premier shopping destination for groceries in Southern California,” said Stater Bros. CEO Pete Van Helden. “On behalf of all our teammates, I would also like to take this opportunity to thank Dennis for nearly 45 years of dedicated service to our company. His passion and enthusiasm have made a significant impact on the current and future success of Stater Bros.”
Calvin arrives at Stater Bros. with several years of experience in the grocery industry, most recently serving as Senior Vice President and Chief Merchandising Officer at The Save Mart Companies, where she led merchandising, space planning, pricing and promotion execution, and their private label program. Before joining The Save Mart Companies, she began her career in the grocery industry with Daymon Worldwide as a category buyer. She served as Vice President of Grocery, Frozen, and Dairy at Mariano’s before continuing on to merchandising and category management roles in the Kroger family of companies.
Calvin graduated from the University of Wisconsin-Oshkosh with a Bachelor of Science Degree in Biology with a Minor in Business Administration and is a graduate of the Cornell University Food Executive Program. She has earned a Six Sigma Green Belt Certification and currently serves on the Western Association of Food Chains (WAFC) Board of Directors. Earlier this year, Calvin was recognized as one of Retail Today’s “50 Outstanding Women in Retail.”
Business6 months ago
Business Activity Continues To Surge In The Inland Empire; Growth Will Moderate Now That Region Has Surpassed Pre-Pandemic Levels
Business6 months ago
Second Annual Inland Empire Education & Workforce Summit Hosts Sold-Out Event to Discuss Education’s Role in Post-Pandemic Job Recovery
Government & Regulations6 months ago
San Manuel Elects Lynn Valbuena as Chairwoman
Career & Workplace4 months ago
City of San Bernardino Names Nathan Freeman as Director of Community and Economic Development
Technology6 months ago
Charter Communications Launches Spectrum Internet 100
Career & Workplace6 months ago
People On The Move: Nicole Sanchez