Checklist

15 Business Tips to consider during a Slow Economy

1. Assess your expenses: Travel less. Will your existing computer work with just an upgrade? Encourage your employees to be mindful of their expenditures.
   

2. Step up customer service. The adage that 80 % of your business comes from 20% of your customers is a proven fact. Strengthen your relationship with that 20%.  If a pricing increase is necessary, communicate that to your customers personally if possible.
   

3. Meet with your vendors to see if they anticipate increases in their products or services.
   

4. Analyze contracts and consider rebidding
   

5. Encourage total commitment from your employees during this time. They should be aware that their future as well as the future of the business is at stake. Be upfront with your staff to create an environment of trust.
   

6. Strengthen your relationship with the bank. It is important that they are fully aware of your business situation.
   

7. Stay positive but have a “plan B”. Economic cycles are part of realty. What goes down will eventually go up but position yourself to “ride the cycle” out.   
   

8. Advertise! This may seem counter-intuitive but it worked for McDonald’s during the last economic crisis. Keep track of what marketing is working for you and eliminate those that are not working. Remember Chamber networking opportunities are free with your membership and a great way to get your business name and yourself in front of potential customers.  
   

9. Consider sub-contractors when possible.
   

10. Take advantage of Section 179 Expense deduction (you can take up to a $250,000 deduction for qualified purchases of equipment. http://www.irs.gov/formspubs/article/0,,id=177054,00.html
    

11. Make sure your receivables and payables are getting the best returns. Shorten your terms and bill your customers sooner if necessary.   
    

12. Add value to your service or product if possible. This may set you apart from your competitors. Offer discounts or special deals to valued customer.
    

13. If applicable to your business, introduce or expand on “must have” products rather than luxury items.
    

14. Consider cooperative marketing with a business that can compliment your business. Sharing advertising and marketing costs can allow you greater exposure.
    

15. A bad market is no excuse to be lazy. It’s easy to listen to the news media and other    people and think “why bother….nobody’s buying”. Keep up your good work habits. Get in early and stay late. Persistence always pays big dividends.