If you own a construction company, lawn service or a self-storage facility, you may experience times during the year when things are slow. To combat this, Cris Burnam from Fox News breaks down what it takes for small businesses to survive during the down times:
- Understand how the economy impacts your business or industry. Burnam explains how the Recession in 2008 affected the storage industry. “With fewer people moving – 2 million fewer, to be exact – businesses like mine had to respond or sink. So our company looked deep into what produced cash flow – and what didn’t – in order to get lean and survive the recession.” Burnam maintains that keeping a good/healthy relationship with your bank and money partners is extremely important. Make sure the communication line is always open.
- Do not underestimate the season change. Talk with experience professionals who have experience in your industry and determine how they handle the slow months. From their advice, formulate your own plan, and set goals to survive that time period.
- Set aside revenue during the busy months to assist you when things get slow. “As you prepare your yearly budget and goals, consider the peaks and valleys in revenue, and set aside enough cash to keep operations alive during those rainy days.”
- Don’t worry things will be ok. There is no need to panic, you can do this. Even if you developed a plan and set goals, things can still get a little hectic. “When the downswing hits, avoid reaching for drastic change.”