Tuesday 23 October 2012

Smart move to startbusiness in Recession


Starting a new business is not for the faint of heart. For those who possess the entrepreneurial spirit, though, now might be the perfect time to begin a venture.
In the midst of the worst recession in decades, it might seem prudent to postpone a launch. But there are some compelling reasons why now is actually a good time to start a business.
Beginning a venture in lean times will force the entrepreneur to pay close attention to planning, market research, cash flow and other critical issues at the heart of failures in the first five years. Tough times encourage start-ups to protect assets and invest more cautiously to avoid the “irrational exuberance” that Alan Greenspan warned would lead to financial collapse.

In tough economies, you understand from the start that you’ll need to use the first several months to position your company for success. You’ll need adequate funding to sustain a slower growth, and a more targeted approach to marketing. When the economy is booming, it’s easier to realize early success. A company that can grow early successes in a weak economy is poised to surge ahead when the situation improves.

The costs of starting a new business are lower than they have been in recent years. Many of the products and services you’ll need are available at discounted rates: professional services like accounting and legal services, real estate, office furniture, and other goods and services.
During hard times, you as a consumer are in a stronger position to negotiate favorable terms than you would be if you wait for the economic rebound.

With the presidential campaigns bringing new focus to the government’s role in business development, it seems likely that the current uncertainty in the business environment will be replaced with regulatory and tax conditions that will truly promote job growth, along with real opportunities for both new and existing businesses. If you’ve already begun laying the groundwork for a well-planned and marketable business, these policy changes could enhance your efforts with some genuine support from local, state and federal governments.

The impact of regulations on business are likely to be defined so that businesses can plan and make decisions on known conditions. As that takes effect, your business could be in position to benefit from “the rising tide that lifts all ships”.

Naturally, these hard times will require some meticulous attention to detail as you develop the plans for building your dreams and starting your business. You’ll need to be certain you have the operating capital to sustain your business and your family while you develop your customer base. And you’ll need to have a robust and realistic budget for marketing and promotion. Careful planning, adequate funding and attention to detail are cornerstones of any successful venture, regardless of the economic environment in which they are born. If you have what it takes to be successful, starting a business now could position you for greater success when the economic environment improves.

Recession's Hiring Spree
Fox Business
A lot of businesses were hit hard during -- recession but we found a company that actually -- arecession into an opportunity. By hiring laid off talent and by locking in some cheaper advertising budgets and at all paid off joining me now. Is -- CEO of ...
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Smart move to startbusiness in recession
Atlanta Journal Constitution
Starting a new business is not for the faint of heart. For those who possess the entrepreneurial spirit, though, now might be the perfect time to begin a venture. In the midst of the worst recession in decades, it might seem prudent to postpone a ...
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Greece revises up its 2011 budget deficit, debt figures, citing deeper recession
Washington Post
ATHENS, Greece — Greece has revised up its budget deficit and debt figures for last year, citing a deeper than expected recession and new data. The national statistical authority said Monday that government overspending in 2011 was 9.4 percent of GDP, ...
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Recession is hurting the poor, not middle class
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Everybody talks about the middle class being hurt in the Obama economy, but it's really the working poor who are getting crushed. The president boasts that he and four more years of his trickle-down government policies are going to save the middle ...
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Recession hurt overall Canadian wellbeing, study finds
Toronto Star
0 Comments. A report published Tuesday by the Canadian Index of Wellbeing says the recessionhasn't only hurt the economy — it's also damaged our health, prompted us to spend less time and money on leisure and culture, and reduced our quality of life.
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25 Years Later: In the Crash of 1987, the Seeds of the Great Recession
“History doesn't repeat itself, but it does rhyme.” This quote, often attributed to Mark Twain, resonates with us for its pithy description of an irony we encounter everyday: In a world marked by rapid technological, political and social change ...
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Recession fears loom as Japan posts worst September trade figures in 30 years
New Statesman
Japanese export figures for September registered their sharpest decline since the aftermath of the March 2011 tsunami, with overseas shipments falling 10.3 per cent on last year's output, official data showed. The figures reveal a yawning trade deficit ...
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More Americans Worry about Financing Retirement
Pew Social and Demographic Trends
Despite a slowly improving economy and a three-year-old stock market rebound, Americans today are more worried about their retirement finances than they were at the end of the Great Recession in 2009, according to a nationally representative survey of ...
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