Recession-Proof Your Business

Yes, I was an Economics major, but it doesn't take a degree to see that we're currently mired in the worst economic conditions that most of us have ever experienced. While many readers of this blog may be self-employed and don't worry about being laid off, there is still plenty to worry about.

Americans have stopped spending money on many non-essential items and even cut back on "essential" ones. Whether you work for yourself or a larger company, chances are that your marketing and advertising budgets have been significantly reduced. But we still need to makes sales, get new clients and pay our bills. How can we survive this unprecedented downturn?

It's time to get back to basics and remember the following:

1. People do business with people, not companies. It doesn't matter if you work for the largest insurance company in the world or have a one-suite office. What is it about you that makes clients like you? Why would they choose to do business with you rather than a competitor? Be prepared to tell prospects what's so special about you and your business.

2. Make sure your friends know what you do. Have you changed companies- or careers- in the past few years? Let people know. Many of us are reluctant to discuss business with friends, but work inevitably comes up as a topic of conversation, whether you are watching your kid's hockey game or exercising at the gym. You can let your friends know how you're doing and what kinds of customers you're interested in working with even without sounding like a "sales weasel." If they're really your friends, they want you to do well.

3. Reconnect with your centers of influence. Your centers of influence are those related businesses that work with the same types of customers that you do but offer a non-competing product or service. You may have referred clients to them in the past or perhaps they have referred to you. Don't be afraid to pick up the phone and suggest you grab a cup of coffee one morning to catch up. The economy's hurting them too, and I bet they'll be glad to hear from you. They need more business just as much as you do.

4. Touch base with your clients. If you're out of sight, you may also be out of mind to them. Whether you have good news or bad news to deliver, it's better that you deliver it than one of your competitors sniffing out a new customer. People appreciate your contact, especially when you're not trying to sell them something new. Whenever I'm in a slump, I start calling my clients and I undoubtedly will uncover a new opportunity or referral.

5. Don't forget the problems that you can solve. And there are plenty of problems out there right now! People are looking to reduce stress, save money and simplify their lives. What problems do you solve for your customers? Remember, whenever you hear a complaint, this is a referral to someone just waiting to happen. Maybe it's to you or maybe it's for one of your trusted colleagues, but it's a sure sign of future business for anyone who can satisfy that complaint.