logo

iframe block

Home Features Startup during recession
Startup during recession
Written by Greg Soffe   

www.startupgrinder.com

Doing well in businessWe often hear news stories of just how bad the recession economy has hit us globally, the largest & most powerful businesses are calling for bailouts, filing for chapter 11 bankruptcy & laying off hundreds sometimes thousands of staff.
So if you are one of the unlucky ones that have faced such bewildering events first hand, why would you consider starting a new small business? Well you should.

The business environment in a recession is often seen as very hostile to small starting businesses & I'm not going to pull the wool over your eyes, things are not easy out there. Investors are not investing, banks are not lending and credit is mostly unavailable. But finance to start a good solid business can be at times easier to find than a new job.
Businesses that can be started during a recession are very often very lean, very efficient and highly competitive. This is because with fewer resources available a recession startup business, have to have a lot of checks and controls in place and lean procedures and practices to ensure money is spent wisely and invested in the correct way.

How do you do this...

Advertise efficiently,

Tv & media companies are finding times very difficult because inefficient recession soft businesses are breaking the first rule of recession survival and they are slashing their advertising budgets.  This leaves a good gap for you contact your local TV, radio, newspaper, web developer and talk with them about any deals that you can get on advertising at the moment. Take any price breaks you can get, and plan your advertising around an efficient and effective advertising plan. But ensure you plan to continue your advertising.

Staff effectively,

Don't be afraid to pay well for good staff. With the number of people out there looking for work, there are a lot that are very, very skilled at what you want them to do. A highly skilled person does not cost as much now as they did this time last year and you will find that they will often do a job twice to three times as fast as someone you find at half the price. But a word of warning here also, staff correctly. Don't hire a chef to flip a burger, instead hire a burger flipper with 12 years experience over a student you will have to train yourself.

Don't cut business costs,

As a startup you don't need to cut your business expenses, business need money to operate. Just don't start having excessive business expenses. Keep a tight control of your budget. If you don't have time to monitor your budget, delegate someone responsible in the business that can monitor the money situation closely.


 

Like it? Share it...