Gain insight into your financial situation
What do I have ‘in cash’, what do I need to get and what do I have to pay? And when do I have to pay? Make sure you have your payment obligations under control. Because if you know what you have, what you still get and what you still have to pay, you know how much money you fall short. And what your options are for taking quick action on this.
- Is there a clear picture of the possible drop in demand and its impact on liquidity?
- Is it possible to collect claims faster by means of structured reminders?
- Is invoicing done on time?
- Is it possible to finance invoices?
- Is it possible to work with down payments for larger orders?
- Is it possible to use payment discounts to shorten payment terms with customers?
- Has an assessment been made as to what other costs, if any, can be saved?
Assess your obligations towards the tax authorities
In times when your income is as uncertain as it is now, you want to have as few costs as possible. The government takes this into account. That’s why you can temporarily postpone your tax payments. You can request tax authorities to postpone your tax payments. Postponement is possible for several types of tax, such as wage and income tax, corporation tax and VAT. In addition, the Dutch Customs Administration is also cooperative and will also grant postponement of payment on request.
- Is it necessary to adjust or discontinue the provisional tax declaration for 2020?
- Is it necessary to report an inability to pay?
- Can VAT wich you already paid on irrecoverable claims be reclaimed?
Make use of the government’s emergency package
The government has set up financial arrangements that can help your company financially. Check the conditions and see whether a scheme applies or may apply to you.
See what the municipality can do for you
Municipalities can give entrepreneurs more financial breathing space. They do this by taking a flexible approach to the levying of local taxes. Think of the Property Tax (OZB), precario, tourist tax, advertising tax and terrace tax. Not every municipality has the same regulations. Check with your municipality for which local taxes you can defer payment or pay in instalments.
- If you are a self-employed person, did you consider the possibilities of the decision on assistance for the self-employed been considered?
Discuss your options with your bank
Chances are that you are shy about credit and have trouble controlling your payment obligations. Different regulations can offer a solution for this. For example, small entrepreneurs and self-employed people can contact Qredits to apply for a loan or bridging loan.
Discuss the possibilities with your bank. Maybe it is possible to extend financing, or apply for a loan. A number of banks have indicated that they would like to do their bit by postponing repayments on loans up to 2.5 million euros.
- In case of necessary additional financing: Has the BMKB scheme been considered?
Request postponement from the water board
Water boards think along with us about how they can help entrepreneurs get through the corona crisis. How can they do this? A number of water boards have halted recoveries. And if you’re in trouble, you can ask for a postponement. The water boards are also trying to pay their invoices well in advance of the due date and to ensure that orders and permits are issued to businesses.
Request postponement for payment of pension contributions
Find out if you can get a postponement for the payment of pension contribution(s)? Employers affected by the corona crisis can also apply to their pension fund for a possible payment arrangement.
Contact your sector organisation
Over the past few weeks, your branch organisation has thought carefully about what is specifically needed for your branch. Perhaps they can do something for you; in the form of a legal desk or sample letters.
Inform your customers
Have your activities changed or do you now deliver to a pick-up point at certain times? Inform your customers about how your business is going and what you are doing. Many customers like to think along with you and appreciate that you are looking for alternatives. This is how you keep your customers with you. Also good for later, when the crisis is over. In addition, many entrepreneurs help society in these difficult times in a creative way.
- Are there supply contracts that cannot be fulfilled and what is the impact of this on business operations?
- Has the measures taken been communicated clearly to suppliers and how they will affect them?
Evaluate your suppliers
Your suppliers will also have to deal with the crisis. How are they doing? What are the consequences? Closed borders. Ask your suppliers how they deal with the situation.
- Are there suppliers who are unable to meet their obligations and do they need to take action?
- Is there sufficient stock or must account be taken of a decline in production/trade due to shortages on the purchasing side?
- Have the measures taken been clearly communicated to suppliers and how they will affect them?
What are the consequences for your staff?
There may not be enough work for your staff. Or there is not enough money coming in to pay your staff. How do you deal with staff who work from home?
- Has there been clear communication with staff about the impact and the measures taken?
- Has consideration been given to using the NOW?
- Is it possible to limit wage costs by not extending temporary employment contracts or adapting the flexible shell?