Practically Speaking – Small Businesses Critical of Stimulus Bills – NYTimes.com

If you’re a small business owner, chances are this headline resonates. The author of this NYTimes article quantifies the sense that many of us have had about the stimuli under discussion: “only 0.05 percent of the House bill is dedicated to small-business lending programs, and the Senate version is only slightly better.”

Yikes.

Our (C-Suite Advisors) clients most certainly exemplify the engine small businesses are to the economy. They are hiring people, and spending to develop their business and be ready to take advantage of opportunities that are the other side of this recession. But are they getting the same kind of help as Wall Street, Detroit, and Washington? Not on your life. They are working smarter and staying hopeful to be sure.

Now may be the time to write your Congressional representatives!

2009 Will Be an Economic Engine for Change

Interesting article from HBR Online, predicting the coming year will be “an economic engine for change.”

Author Jeff Stibel offers some historical examples supporting his point that economic upheavals create the greatest opportunities. I rather like his analogy with forest fires as a necessary part of nature’s life-cycle, this may “clear some underbrush” that isn’t contributing but is using resources.

Economic contraction creates market dislocation, i.e., recession upsets the status quo in a free market system. And ergo, opportunities. As I alluded to in an earlier post, the TRICK of all this is of course figuring out the right thing, the right way, at the right time. Bon chance to us all!

Have you heard the quote by our 34th President, Dwight Eisenhower while he was Supreme Allied Commander? Good advice for soldiers as well as business owners.

“The plan is useless, but planning is essential.”

And there couldn’t be a better time than right now. During a recession, pragmatic business planning is vital. Strategic plans are important but tactical operating plans might be your most valuable management tool during this recession. Here’s the perfect opportunity to focus in on your business fundamentals, especially before you make any sweeping decisions such as cutting expenditures, delaying product launches or layoffs.

What are the key components you should be watching? Cash flow to be sure, sales revenue, expenses, new products, customer relationships, marketing and advertising plans: your industry vertical will determine what indicators are most critical. For instance, in B2B industries you can anticipate that business customers are extending payment cycles which influences your cash flow directly.

Need help setting out a simple but effective plan for your business? We can help. Contact us (RBOP@CSuiteAdvisors.net) or CLICK HERE for more information about our Special Recession Business Operating Planning Program and a no-obligation consultation.