Business owners throughout the country are weathering difficult times. Although the National Bureau of Economic Research (NBER) claims that we are not currently in a true recession, we cannot argue the fact that economic activity is not what we had hoped for and many businesses have yet to reach their goals. This is supported by the fact that Forbes Advisor notes the economy increased by less than 3% in Q3 leading to a “bad-ish” recession tracker rating.
Whether we evolve into a true recession or not, business owners are wise to take steps to protect their business. Three that work for almost any business include the following:
- Go back to the basics. Review your business strategy and formation documents. Make sure operations are in line with the original plan. If not, compare the current situation to the original plan and make changes if needed.
- Focus on efficiency. As one report notes, it is a good idea to become contrarian. Question everything. Are the efforts you are putting into the business worthwhile or a wasted opportunity? Make changes to make sure you and your business are operating as efficiently as possible.
- Consider funding. In some situations, it is wise to reach out to investors or a bank for additional funding if the business is unable to pay workers or does not have enough capital to fund the next project.
Tough times can provide an opportunity for business leaders to review their operations and make changes that will ultimately lead toward success. Enter these discussions with this in mind to better ensure you and your business can weather the storm.