Important
Being in business is not all beer and Skittles. When a major contract is lost purely on cost, the ripple effect flows straight through to real people — staff, families, and cash flow projections being redrawn overnight.
Being in business is not all beer and Skittles.
Anyone who tells you otherwise has either never run one or conveniently forgotten the hard seasons.
Just recently, I spoke with a client — a solid small business owner who has poured years of blood, sweat and tears into building something meaningful. Good people. Good systems. Quality work. Long-standing relationship with a multinational client.
That major contract came up for renewal.
The tender went out.
The decision came back.
And it was made purely on cost.
No weighting for quality.
No credit for loyalty.
No recognition of years of good work.
Just dollars and cents.
When he emailed me — marked “important, not urgent” — my heart sank because I knew what was coming.
The Ripple Effect Is Real
This is not just a commercial decision.
- A business owner thinking about his family.
- Staff are wondering what happens next.
- Cash flow projections are being redrawn.
- Profit margins are shrinking overnight.
Small businesses do not operate in a vacuum.
When a large organisation makes a cost-based decision, the ripple effect flows straight through to real people.
And that is the part that rarely makes the procurement spreadsheet.
Big Business vs Small Business: Different Playing Fields
Let us be clear about something.
When you are a small business dealing with big business, you are not playing the same game.
Large organisations operate on:
- Procurement policies.
- Budget targets.
- Shareholder returns.
- Cost-cutting mandates.
They do not factor in:
- Loyalty.
- Effort.
- The fact that you showed up and delivered for years.
- The impact on your staff.
That is not emotional — it is structural.
There is no safety net from the government when a contract disappears. There is no “care factor” built into corporate tender systems.
It is dollars and cents.
That is the reality.
“Never Let a Good Crisis Go to Waste”
There is a famous quote often attributed to Winston Churchill:
“Never let a good crisis go to waste.”
It sounds harsh in the moment. And when you are staring at a lost contract, it can feel almost offensive.
But it is also true.
When my client asked, “What do I do?”, my own mantra was hard to say out loud:
“There is an opportunity in everything. If you cannot see it, you are not looking hard enough.”
I did not say it lightly. I said it because a crisis forces clarity.
What To Do When It Hits
When something like this lands, panic is natural. But the reaction is not the strategy.
You walk in the next day with fresh eyes, and you scrutinise everything.
1. Review the Structure
- Who is doing what?
- Are roles aligned to revenue?
- Are there inefficiencies you have tolerated for too long?
2. Review the Costs
- What subscriptions, overheads or expenses have crept in?
- Where can you cut without damaging your core service?
3. Review the Systems
- What can be automated?
- What processes need tightening?
- What is overly manual?
4. Review the Team (Carefully)
This is the hardest part.
You may need to:
- Restructure roles.
- Consolidate responsibilities.
- Make difficult staff decisions.
Or — and this is common — you might deliberately hold onto good people, even if profitability dips temporarily, because you know that when work rebounds (and it usually does), you need the right team in place.
There are no easy answers here. Only considered decisions.
Do Not Carry It Alone
One of the most important parts of this conversation had nothing to do with numbers.
If you are in a small business and you are doing it tough:
- Talk to someone.
- Be frank.
- Say you are hurting.
- Say what you are worried about.
- Ask how they would approach it.
Ideally, speak with:
- An adviser who has seen this before.
- A peer who has lived through something similar.
- Someone who will give you honest feedback — even if it stings.
Those conversations matter more than most spreadsheets.
And if you know someone going through this? Check in on them. Send the message. Make the call. Make sure they are okay.
Small businesses can be isolating. It does not have to be.
The Hard Truth (And The Opportunity)
Yes, profitability may contract for a period.
Yes, there may be tough calls.
Yes, it feels unfair when loyalty counts for nothing.
But the crisis also forces:
- Efficiency.
- Discipline.
- Focus.
- A sharper business model.
Many businesses that go through these shocks come out leaner, clearer and stronger.
Not because it was easy.
But because they faced it properly.
Final Thoughts
Being in small business is not all beer and Skittles.
You are operating without the protections large corporates enjoy. You carry the weight personally. And sometimes you get hit by decisions made in boardrooms far removed from your reality.
But resilience is built in these seasons.
If you are in the middle of one right now:
- Step back.
- Assess clearly.
- Talk openly.
- Look for the small wins.
- And do not waste the crisis.
Disclaimer: This article provides general information only and does not take into account your personal circumstances. It is not financial or tax advice. You should seek independent advice from a qualified professional before making decisions about tax, legal or financial planning matters, along with loan structures or entity structure.
