Benefits of a recession

1. Vendors are more eager to negotiate
2. Lower salaries for employees
3. Tough times make you stronger as an owner and a company
4. Prepare for future growth by taking an inventory of assets and liabilities
5. Tough times force you to be more creative
6. Possible less competition
7. If you have to terminate employees keep the quality ones
8. Acquire good people - the pool of potential employees grows in a recessionary period
9. Demand and hold your vendors accountable for performance now more than ever

Staying afloat in 2011

1. Focus on your vision. Ensure it is sound, and make sure it is communicated to your employees.
2. Separate the “nice to do” from the “have to do,” and eliminate nonessential expenses as much as possible. Ask yourself, is that purchase is necessary.
3. Reduce or stretch out debt, and build up capital reserves
4. Do not take too long to realize that business is slowing down. The faster you act the better chance you have of surviving a down turn in the economy.
5. Strengthen your banking relationships. Let lenders know of your financial position.
6. Don’t skimp on service and quality by being understaffed.
7. Maintain outstanding customer service. Monitor how you or your employees are treating customers.
8. Study your competition to see how they are coping with the economic downturn
9. Studies indicate that those companies maintaining or increasing ad outlays or other marketing strategies during a slowdown wind up outselling rivals who cut back.
10. Communicate on an on-going and regular basis with employees relating to the slow down.
11. Sell off all that does not serve the wellbeing of your business as a way to streamline the business and also produce revenue to keep your inn afloat.