Preparing to reopen your dealership - What can you do now?
Published Sunday 5 April 2020
1. Utilise the government's COVID-19 response package
The $12.1 billion financial package released by the government is the biggest of any country to date, as a proportion of GDP.
It offers support such as a wage subsidy to businesses who can prove a 30% decline in revenue, and leave support for employees who can’t come in to work and can’t work from home.
You can apply for the government wage subsidy here, and get more information on eligibility criteria.
2. Talk to your bank
If you’re a small/medium enterprise (SME) in particular, and are worried about your cash flow, talk to your bank. While the assistance they might offer will depend on your particular circumstances, potential actions banks can take include:
Suspending or reducing principal loan payments (and moving to interest-only repayments).
Providing access to short-term lines of credit.
Consolidating or restructuring existing loans.
Proving debtor/invoice finance facilities.
3. Update your Trade Me Motors listings
It can be challenging to find the time During regular business to give your listings the attention they need, so make the most of this situation to review all of your listings. Think about their descriptions, images and your standard vehicle text, which automatically publishes text across all your listings - making it great for things like dealership and servicing info. Take a look at some more info.
4. Review your sourcing decisions
The economic climate created by COVID-19 will undoubtedly have an impact on how Kiwi buyers act. When looking at your stock, do you think what you offer suits the needs of your target market going forward? DealerBase has some interesting insights on vehicle and keyword searches.
5. Review your business plan
A business plan is a live document, not something that you should ‘set and forget’. Take this time to review or create your plan. You may reconsider decisions you’ve made in the past to adjust to the current situation, and how you feel things may play out going forward.
Here’s a guide to writing a business plan.