For entrepreneurs running seasonal businesses, the lucrative opportunities on offer are offset by the day-to-day operational nightmare of paying suppliers and staff, often months before any cash comes in to the business.

By David Robertson, Bibby Financial Services

On top of this, increased demand, staff sickness and taking on temporary workers means the festive season or summer – for example – aren’t necessarily the jolliest time of year for business owners and managers. So, what can you do to make sure your business copes with seasonal pressures and make the high season go in full swing?

Learn from the past

Review what happened last year, what products or services sold well? How were staffing issues managed? Understand what you did well and how you could make it better this time round.

Get organised

Make sure all records and documents are up to date and in the right place so that both full time and temporary staff can access them easily. This way, with an increase in customer demand, you will always have the information you need at your fingertips.

Don’t over do it

While it’s good business sense to make sure you have enough stock to fulfil the demand for orders, be careful not to over-estimate. Over-ordering could result in cash being tied up in stock when demand falls later on.

Keep the cash flowing

When taking on more orders, it is important that you have suitable financing in place; otherwise you could be in a position where you can’t fund new orders and may have to turn customers away. Consider alternative finance options such as factoring and invoice discounting to ensure you have the working capital you need when you need it.

Stay in touch

If you build a good relationship with your suppliers all year round, they’re more likely to be flexible and help you out when you really need it. When the pressure is on during the busy months, a helpful supplier can become your greatest ally.

Look for support

Students and graduates looking for work experience can bring a great deal to your business. They can provide you with much needed help and ease the pressure on existing staff, while bringing a breath of fresh air and new ideas to your business. Try advertising at the local college or university.

Temporary measures

It may be your busiest time of year, but many staff will want to use up their holidays at peak business times (Christmas and summer holidays for example). Find a local temping agency who understands your business and forge a good working relationship. This will enable you to bring in temporary staff at short notice to cover holiday or sudden increases in workload.

Take five

If it’s not possible for you to get a week off at peak season, consider a long weekend instead. It will give you time to recharge your batteries and go back to the office firing on all cylinders for another busy week.

Don’t go it alone

Appreciate you can’t do everything yourself, appoint a second in command to help you through the busier times. Keep them fully briefed on all aspects of the business so you can delegate responsibility if necessary. Just knowing you have their support will ease the pressure, even if you manage without them. 

Don’t be a Scrooge

Show your staff how much you appreciate their hard work during the festive period by organising a party to show them they are part of the success and that you value their hard work.

David Robertson is chief executive of Bibby Financial Services, a specialist provider of business cash flow solutions. Visit: bibbyfinancialservices.com for more information.

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By David Robertson  on   Jul 13,2008

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Keywords

seasonal business    planning    relationships    holidays    recruitment   

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