“The GFC was a financial crisis, so it was more affecting the banks and the flow of money,” said Mark Bouris.

“This is sort of a consumer GFC, if I can put it that way. It’s more driving into the behaviours of consumers and small business owners.

“In terms of intensity, this is like 9/11 plus the GFC all rolled into one.

The industries most at risk right now include tourism and hospitality – and it’s estimated up to one million jobs will be lost in the wake of the coronavirus crisis.

“The biggest impact right now is, how do they supplement their revenue?” Bouris said.

“Most small businesses run month-to-month. In other words, this month’s income will give them another month of life.

“But they still have expenses. So they’re trying to work out how they can fix up the gap between now and the date this medical issue gets solved.

“They all take the view that it will be a six-month period, after which things will get back to normal. But how do we survive that six month period and where do we get the money from? That’s where the confusion lies.”

How you can help local businesses

“You have to accept that, wherever you live in your neighbourhood, there are organisations up there who ordinarily you probably drive past to go to the big shopping centres,” Bouris said.

“Maybe what we have to do is look after at least our local neighbours – our neighbourhood shops, neighbourhood providers, and neighbourhood service people.

“When it comes to buying, support your local newsagent, butcher, baker, cafe, and so on. Go and use your local neighbourhood.

“That should then bleed into other environments, so the local neighbourhood providers will go and buy something you need from some other place. It should have that multiplier effect. That is where I would start.

“Don’t travel far, look after your local neighbour.”

Government stimulus packages

The Federal Government has already announced one stimulus package worth $17.6 billion – and a second is set to follow to help Australians keep their jobs and remain in business.

“For the government, this is brand new territory – nobody in the world knows what to do,” Bouris said.

“I’m expecting a second stimulus package coming through the next couple of days. They’re probably looking at what everybody else is doing around the world to get some ideas and work out if they can afford to do it.

“At the end of the day, whatever the government gives us, that’s going to have to come from somewhere. It has to be funded.

“They can only do as well as their balance sheet allows them to. But I expect something really positive to come out in the next couple of days.”

Now is the time to innovate

With restrictions around large crowds as well as health concerns, plenty of restaurants have already started looking at offering takeaway or pickup services instead of having customers dining in.

“If your business can be available digitally or on some sort of platform, that is the first thing you have to start to look at,” Bouris said.

“You have to start being innovative and creative and think about the ways you can earn revenue to survive.

“You also have to manage your costs. You have to look at which costs are discretionary and which costs are fixed – and try and work out a way to reduce them.

“For example, with rents, the landlord doesn’t want to have to find a new tenant today – so maybe you can negotiate a deal with them and use your bond.

“You have to think innovatively. And I think the structure is going to change forever.”

Lead by example

“If you’re the proprietor, you are the leader,” Bouris said.

“When it comes to times of crisis, we look to our leaders in our business to guide us the way. They have to be strong.

“Lead by example. Come up with innovation. Sit around with everybody and talk and debate the issues, and how can we get ahead.

“At the end of the day, there has to be something in it for everybody. Otherwise, you might as well just close up shop and lay everybody off.

“But that is not an option. It should not be an option.”

Originally published on The Morning Show.