It's the Most Wonderful Time of the Year

December is a slow month for some business owners. Customers are on the downswing of their buying cycles. It's a time for business owners to take stock and get their books in order. For many other business owners, however, this is the busiest time of the year. This is particularly true for businesses that sell B2C and have high degrees of seasonality. This year’s favorable retail outlook should keep things even busier than usual this holiday season!

If you find yourself among those in an end-of-year frenzy, relax and take a deep breath. You will come out on the other end stronger than before! It’s easy to get lost in the year-end tasks that are likely taking up a majority of your time. Especially when all you want for Christmas is for the books to be balanced, end-of-year bonuses to be disbursed, taxes to be put in order, inventory to be accounted for, Q1 forecasts to be finished… is that too much to ask for?

While end-of-year needs obviously matter, it’s also important to keep your eye on the big picture; the life of your business will continue well past December 31^st. This is a great time to reflect on what you accomplished this year and plan for your future.  In addition to more commonly discussed end-of-year tasks, 2020 has some trends in store that should warrant your attention as a small business owner.

Low Unemployment

December and January are often good months for planning future growth. Unemployment is at a historic low by many metrics and is expected to drop to 3.25% by the end of 2020. While that’s great for many employees, this also means it might be more difficult to staff your business. Many qualified candidates are already employed, and if your business is expected to grow in 2020, it might require more time and money than usual to find the right candidates.

E-Commerce

Nobody shops at brick and mortar stores anymore, right? Wrong. Despite this doom-and-gloom narrative, e-commerce only accounts for an estimated 11% in the United States. This figure is expected to grow by a mere 1% in 2020. As e-commerce slowly but steadily becomes more popular, it’s important to differentiate your business if you’re in a traditional retail sector. This can include offering superior service, creating personalized experiences with your customers, and integrating yourself with your local community.

The Rise of Gen Z

Many businesses have spent the past decade focused on capturing the attention of millennials. However, the youngest millennials are now in their mid-twenties, and members of Gen Z are now in the workplace and spending discretionary income. As with all generations, Gen Z has (on average) different habits and preferences than their predecessors. This matters in terms of both staffing and selling. An estimated 81% of Gen Z prefer to shop in stores, and 73% like to discover new products in stores. Who said retail was dying?

With unemployment rates historically low, brick and mortar still thriving, and a rise in Gen Z purchasing power, we recommend that you set aside some time from your busy holiday season for business "self-growth." Sometimes it's necessary to make that additional investment into your business. As a funding solutions provider, we want to help you take your business to the next level. 

Learn more about our small business funding options to start or grow your business!