By complete coincidence (honestly), we ran a joint webinar with Jay Sahota of Jarmans Solicitors and Richard Cox from Richard Cox Wealth Management about business resilience on the same day as the latest in our Mindsetting series which was also about the importance of resilience. The content which covers debt recovery, business planning and business recovery can be viewed online for those of you who missed it.

In the meantime, if you haven’t been reading any of the Mindsetting series, they began back in December, we’ve been doing a little video each week with Steve Backley and Roger Black going through the 20 stages.

Many of A4G’s team have signed up for their Mindsetting programme and have been working through the stages. Resilience is about halfway through the programme. The feedback so far has been fantastic.

Resilience is a quality that my Godfather (no not that type of godfather) had to show before his recent passing. When he was a teenager, he caught polio and although he survived, it affected him for his whole life and caused terrible health problems in the last 20 years of his life.

Polio is of course a disease from the past. When I was young, the vaccine for it was taken on a sugar lump! I have no idea if it still is.

People of my parents’ age remember all these terrible diseases and appreciate what vaccines have done to eliminate them. That’s why they are queuing round the block to have their COVID vaccinations. And of course, because they don’t read WhatsApp messages pinged round the globe by Vladimir Putin’s bots spreading misinformation!

Anyone who is a numbers geek (like me) may well have noticed the correlation between positive tests, hospitalisations and deaths from COVID. For months now, if you looked at the rate that positive tests were increasing at, then 10 days later the hospitalisations would be increasing at the same rate and then 10 days later deaths would be increasing at that rate as well.

When lockdown came, positive tests started to fall but it took 10 days until hospitalisations started to fall and a further 10 days until deaths started to fall.

But recently, the link has been broken. Positive tests are falling but not by much. People are not obeying lockdown as much as they did at the start of January.

But hospitalisations and deaths are still falling by over 30% a week. The reason is clearly because the vaccine has been getting given to those who are at most risk of hospitalisation or death. The numbers prove it is working. Which is what we all expected.

That’s pretty much the same as what happens when we put together management accounts for a client. If we’ve done all the right things, the overall results are usually what our client expected. Usually. Most business owners have a good feel for what’s working and what isn’t. The results don’t usually come as much of a surprise.

But not always.

Sometimes the results are unexpected. Sometimes they are better than expected and sometimes they are worse. That’s when management accounts become really valuable. They are the alarm bell that there’s a problem. They are the witness pointing the detectives towards the cause of a potential disaster.

Some people react quickly to bad news. Some put their head in the sand. Some think that just doing the same thing but harder will solve the problem. A bit like when the waiter on your foreign holiday doesn’t understand what you are saying so you just say it louder. As if that is going to work.

But resilient people find a way. A different way. They’re prepared to endure short-term pain. To do something that they’re not comfortable doing.

And like the pain from that needle going in your arm, they find that it wasn’t quite so painful as they were expecting.

So, whatever the result is that isn’t quite what you wanted; poor margins on sales, high bounce rate on your website, poor customer reviews, do something about it. Ask for advice. Listen to that advice. Do something different to what you’ve been doing previously. Sign up to the Mindsetting programme. Be resilient.

Have a good weekend.

Contact me today!

Malcolm Palmer

FCA

Managing Partner

01474 853856

Send me a message

Share this article