THE RIGHT STUFF
Turning a crisis into fresh opportunities
WHILE many businesses have struggled during Covid-19, others have flourished by solving emerging problems, catering to changed consumer behaviours, or just being in the right sector at the right time.
New businesses have also launched since the pandemic, began, with more than 365,000 entering the market in the year to June 30, according to ABS data – more than in either of the two previous years.
Start-up expert and director of partnerships at HR software company Compono Raife Watson (pictured above) said financial support from the government over the past 18 months had helped.
“In the last recession, we didn’t have the government stimulus so people were just trying to make ends meet, but with these handouts it has allowed the breathing room for people to pivot and start businesses,” he said.
Mr Watson said people working from home were also finding more time to launch and work on side hustles.
“I’m sure bosses hate to hear this,” he said. “But they can be working full time and also work on the project they have really wanted to do.”
SUPPORT FOR LOCAL AND FAMILY BUSINESS
Family Business Australia chief executive Greg Griffith said 80 per cent of FBA members were in a stronger position now than when the pandemic started, and this was partly a result of consumers’ loyalty to supporting local businesses during tough times.
Mr Griffith was not sure if there had been an increase in new family businesses in the past 18 months but he reported a “massive increase” in FBA membership.
“Normally, we would grow about 4 to 5 per cent year on year, and we are seeing 10 to 12 per cent, depending on areas.”
LOCKDOWNS CREATING DEMAND
Some products and services have boomed in the pandemic, rewarding businesses in the right place at the right time.
Mr Griffith gave the example of mattress company A.H. Beard, which initially put staff on hold and shut down operations when the pandemic hit.
But as Australians began looking for ways to make lockdown more comfortable, “bed sales went through the roof”.