Money talks:
If we support each other, life will eventually return to a “new normal”
Businesses are starting to reopen as I write this in early June and, providing we keep a lid on Covid-19 community transmissions, it should be the start of a reawakening of our economy.
It’s been three months of life as we’ve not known it before. We’ve missed birthdays, weddings, funerals and the federal budget – something that I mark in my diary at the beginning of the year as a steady date. It’s been postponed until October 6 – so much is in disarray.
Accountants and lawyers are likely to be our busiest professionals in the coming months. Accountants will help people with their tax returns and Covid-19 allowances, and assist small businesses to get back on financial track.
Lawyers are predicted to be busy dealing with a surge in divorces; the aftermath of couples forced to spend weeks trapped together in close quarters during lockdown. Apparently, a similar surge happens in January after the Christmas holiday period has taken its toll. Lawyers will also be busy writing up wills for those who, faced with the fragility of life during the pandemic, want to be better prepared.
Some of the businesses I’ve profiled in the Making it Work series, published on Money’s website, have pivoted during the pandemic and it’s bought them precious time while they work to resurrect their original business. Others have decided that they want to continue with their pivot alongside their original offering.
Cheese Therapy, based on the Sunshine Coast, started its home-delivery business for cheese lovers after the owners visited Vanuatu and enjoyed the wide variety of cheeses available in the local supermarket.
It made them realise that this wide range of cheese wasn’t available back home. And so they came up with the idea of setting up a “cheese club”, which now has members from all over Australia.
They sourced cheese from artisan producers around the world, including a small percentage from Australia. When the pandemic hit and restrictions prevented Australian cheesemakers from selling their produce through restaurants and cellardoor tourism, they called Cheese Therapy for help. Within weeks the business was helping these producers find new retail clients to sell their stock.
Cheese Therapy has no plans to stop once restrictions ease and its success shows we’re happy to buy local when we can.
Tory Archbold’s training company Powerful Steps aims to inspire and empower female entrepreneurs. During the pandemic she had to switch from big corporate events to virtual coffee dates, which spun her coaching and mentoring business in a new direction. This tripled her pre-Covid earnings.
The crisis is going to help spark a new cohort of businesses, and that’s good for all of us. A vibrant economy is what we need now.
At the household level, a lesson we’ve learnt is to have sufficient “rainy day” savings to cover expenses for three months.
What we’ve also learnt is that we’re all in this together – so for the economy to start working for us all, those who can afford it need to maintain a certain level of spending.
While we’ve all made financial changes and in many cases are saving more, we also need to be consciously spending. This is about focusing your spending on what really makes you feel good. It’s about choosing to spend a little more on a product simply to support a business or an industry you strongly believe in.
It’s important that when we spend, we choose to support our local businesses whenever possible. When businesses thrive they in turn spend on other local businesses, creating a cycle of support.
Further economic setbacks could well be on the horizon, but the businesses that have succeeded in this environment are the inspiration we need to anticipate a brighter future and start moving towards it.
‘ Conscious spending is about focusing your spending on what makes you feel good