There’s no doubt that times have been tough for small businesses over the last few years and by the way the economy in Europe and the US is going those tough times may get even tougher.
So as part of a small business that’s been going through the same tough times as everyone else I thought that we might share 10 survival tips for small business. If your small business is in the middle of some tough times these tips will help you survive.
Don’t Give Up
When times get tough there comes a time when you start to think of giving up. Don’t feel guilty about feeling that way when you reach that point … it’s normal … it’s part of human nature.
But don’t give up … keep on pushing ahead … keep on looking for ways to drag yourself out of the financial mess that’s going on around you. Always remember that these bad times will pass and every day you survive you get yourself one step closer to that point where the good times return.
Pay Down Debt
Got credit cards? Got regular monthly debt repayments? Get rid of them if you can!
If you have loans that you can’t pay out then look for ways to reduce the amount that you’re paying on those loans each month. The more you can reduce your outgoings in tough times the better your chance of surviving.
Don’t buy anything on credit
Cut up your credit cards and pay out the accounts … if you can. Don’t even run 30 day accounts with your suppliers if you can avoid it.
Pay cash or use a debit card for everything and if you can’t pay cash or use a debit card then don’t buy it.
Cut Expenses
Look at everything you spend money on each month and make an objective decision on whether that money is well-spent or not. In tough times lots of big businesses bunker down and don’t come up till conditions improve.
Unfortunately most small businesses can’t do that but you can certainly cut your expenses.
However there’s one expense you can’t cut … the cost of advertising. Tough times are the times when it’s important to spend money on getting your message out to those people who still want to buy the goods and services that you’re offering.
The trick is to find the form of advertising that gives you the best return on investment. If you haven’t thought about it before then think of trying Google Adwords and if you don’t know how to do that then talk to us … click Google Adwords Management for more information.
Make equipment last longer
Equipment is expensive to buy or lease so make it last longer and if you replaced your gear every two years make it last for three. Look after your equipment and it will last much longer than you might think.
Review staffing
This is something that I feel uneasy about … letting someone go who has worked for you for a long time is never easy but there may come a time when letting some of your staff go is the difference between surviving or seeing your business go down the drain.
Curb your lifestyle
I know that can be hard … partners and children develop an expectation of what their lives should be like but what sort of lifestyle will they have if you go broke. So bite the bullet … sell the jet ski … cancel that expensive holiday … eat at home more often.
It can hurt but it’s what you have to do if you want to survive.
Keep your business premises neat and tidy
When things are tough some people tend to let things slide and their business premises is often one of the first things to start looking shabby. Their cars don’t seem to get washed as often either … and their websites never get updated.
If you want people to do business with you then you have to look as though you’re worth doing business with. Keep your office space or your workshop neat and tidy … keep your cars and vans washed … and keep your website up to date.
If you can’t afford to spend a lot of money updating your website talk to us … when it comes to small business website management we’re the experts. We understand small business.
Look for ways to expand
Expand?? In tough times??
Yes … when times are tough and your competitors are hiding away till the storm passes there are always plenty of opportunities around. Be cautious and don’t rush in but at the same time don’t be afraid to grab an opportunity to grow when it comes your way.
Have a positive mental attitude.
When you can’t pay your accounts and no one is paying you keeping positive can be all but impossible but if you want to survive it’s what you have to do. Look for ways to stay positive … keep your mind away from negative thoughts … keep encouraging those around you and let others encourage you.
Stay positive and you will survive … believe me, there have been times when a positive mental attitude has been the only thing that has kept us going.