My Outright.com colleague Jennifer Escalona said that a recent study showed business owners who started in these tough economic times fare well in the long haul.
This makes total sense to me.
It’s very easy to make the leap and get fantastic results when times are lush with opportunities and everyone is flush with cash and we all gather around the fields of possibilities to sing kum-bay-ya.
It is MUCH HARDER to be gutsy and take action when opportunities look to be drying up, most are drowning in credit card debt, and people gather around the unemployment lines to lament over job loss (sometimes, home loss).
Business owners who KNOW HOW to weather the tough economy are the ones who start their business using a model that takes the economic downturns and upturns into equal consideration. Those who THRIVE are the ones who either -
1) has a business service or product specific to the effects of the bad economy – look at bankruptcy lawyers and credit counselors for example
OR
2) created a business model that adapts to the environment such that they are able to create a profit margin and sustain their business during the storm AND have a way of adapting yet again when business improves and the consumer mindset may also shift.
I suspect most of us who thrive in today’s times are doing it by reason #2 above.
I wanted to throw in yet another example – there are realtors who are now making profits from short sales and still flipping real estate. It is controversial and criticized but again it is an example of those who somehow continues to look for market opportunities no matter if scores of their realtor colleagues are struggling and even going broke.
So my question to you, my microbusiness / small business entrepreneur colleagues, is:
How recession proof is your business model?
Image by Luiz Cavalini Jr.
