What happens to small businesses during a crisis?

What are the advantages of small companies and how such projects can succeed – they told in the new episode of the Trends podcast “What has changed?”

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Conversation content

2:40 – how entrepreneurs are transforming their business processes

4:21 — How has small business transformed since the introduction of the new tax regime for the self-employed?

6:30 – can small businesses compete with medium and large businesses?

8:55 — how to create comfortable working conditions for employees

11:06 – staff shortage: how to deal with a shortage of staff

14:40 – state support

18:15 – can small businesses survive in today’s environment?

21:27 — what threatens the extinction of small businesses in our country?

23:00 – How can small businesses transform?

Podcast members:

  • Irina Zalevskaya — serial entrepreneur, founder of the Zalevsky Group,
  • Marat Samitov — director of Samitov Consulting, author of books on business development,
  • Sergey Romantsev is a podcast host and tech blogger.

Highlights from the release

How to create a comfortable environment for employees in difficult times

According to Irina Zalevskaya, being an entrepreneur is like running up and jumping off a cliff. Having started once, then you constantly have to change something, learn something and “repair the piano during the concert”. In times of crisis, you need to pay attention to the team – talk more with employees and hear their feedback. It is very important that people understand that the company cares about them and their comfort. You can also hold competitions and collaborative projects to improve the workspace so that everyone at work knows what can affect their environment.

The second important point for creating good conditions at work is properly configured internal processes. You need to check how the selection of candidates is going, what is happening with the training program and how new employees are adapting. At each stage, everything should go smoothly and gently. Also, the manager needs to create a development plan for employees. Work is not just a source of income, but also relationships with people within the company.

Self-employed mode and competition with large companies

Marat Samitov said that the tax regime for the self-employed mainly helps micro businesses operate legally and pay taxes. For those businessmen who have hired employees, the new regime has not changed anything. At the same time, registration of self-employment is much simpler than registration of an individual entrepreneur, which makes it easier for employers to pay taxes and keep records.

Irina Zalevskaya emphasized that in some areas small businesses can compete with large businesses in the field of salaries:

“If we are talking about medicine in the city of Vladimir, then there is not a single medical university. Accordingly, there is an acute shortage of doctors. When other doctors come to the city, especially from regions with high competition among doctors, they can quite easily become leaders in their field, earn a name and fame for themselves. And this, of course, affects their salary.”

Do small businesses need government support?

The guests of the podcast agreed that government assistance is not so important for small businesses – the main thing is not to interfere with entrepreneurs and remove bureaucratic obstacles on the way.

Samitov said that some of Samitov Consulting’s clients ended up in industries affected by the coronavirus epidemic and received tax deferrals. But such support carries debt into the future without solving existing problems. Zalevskaya also shared a story about the bureaucratic difficulties she had to face in the company.

There are also difficulties with online sales: now it is important for businessmen to work with new sources of finding customers. The audience has left social networks, so it takes time and investment to attract it. As Marat Samitov noted, the cost of a click has become higher, and advertising from bloggers has become more expensive due to inflation. In this regard, the state also increases the costs for business with new laws.

On the benefits of small business

Irina Zalevskaya:

“Small business is very adaptable, it has a soul. Thanks to small businesses, the infrastructure is developing: private clinics, beauty salons, coffee shops and other projects. Such a business creates good conditions for living in cities, from which you don’t want to leave later. And if small businesses have problems, then the people who use the services of entrepreneurs every day will suffer first of all.”

For employees, small business is an opportunity to become part of an ecosystem where your colleagues are like-minded people. But for this, a business leader must root for his work and do everything possible so that every person feels it. Irina noted that taking care of her team is the direct responsibility of the leader, which cannot be delegated to others.

Marat Samitov:

“The main driving force of the company is its founders and directors. Now it’s quite difficult to keep a positive attitude, but if you develop, communicate with other businessmen and keep your finger on the pulse, you can always find a way out.”

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