5 Ways to Turn Recession Into Opportunity For Your Business

We all know the impact the recession has made on our economy, in fact most of us feel it in our lives every day.
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<br>This sudden shift has forced many institutions, companies and businesses to close down because of financial instability. Unemployment, bankruptcy and less productivity in business are just some of the major setbacks brought about by these troubled times. Still, there are ways to protect your business from loss of income, spiraling costs and ultimate failure.
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<br>Follow these 5 ways to help you protect you business during recession:
<br>Sometimes small changes can make a big difference – by just reading the 5 ways to help your company, could give you an idea that could mean the difference between success and ultimate failure.
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<br>1.Ensure your headcount is optimized both for today's uncertainty and tomorrows growth: Evaluate all of your expenses and streamline your operations rather than purely reducing manpower. Look into decreasing salaries or work hours as opposed to the option of letting go of your people. Skilled people can be hard to come by, if the economy was to turn around and you could end up being left behind. Unemployment aggravates the economy's condition by leaving many people jobless and without money to buy the goods you produce.
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<br>2.Examine the profitability of each of your products and customer segments: Look at your customers and decide which customer types or profiles are the most profitable. The same is true of your products, what products or services are you making or selling that are taking away from the ones that maximize your profits. An ideal customer/product profile will help you reduce your expenses and get new clients during recession. Sometimes getting rid of less profitable customers can boost your profits in the long term.
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<br>3.Start selling and marketing smarter: If no-one knows you exist, no-one will be able to buy from you. So stay visible, just make sure you plan all marketing and sales sensibly. Create strategic plans, rather than knee-jerk reactions to "great deals" that advertising sales people will persuade you to go for.
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<br>4.Look at export markets: with a population of 4m Ireland is not a huge market. I recently spoke with a company whose Irish market had crashed 50%, yet because they have a strong export philosophy, their turnover was level in 2009 and they will grow in 2010
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<br>5.Be positive: being positive, staying upbeat, or as Rudyard Kipling says in the poem If, "If you can keep your head, when all about you are losing theirs.." will ensure you attract the best. If you stay strong and positive then your employees will be encouraged to work more efficiently and focus on gaining sales for the company's benefit.
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<br>Can you do this all alone?
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<br>Of course you can, once you know what to do. However it is worth remembering that what worked in the past when things were going well, might not work today. You may need help and while bankers and accountants know about money, only experienced business advisers can help you with business. Business consultancy should be about helping you improve the bottom line. It's more than just reports; it's about plans and help with the implementation of those plans.
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<br>Business advisers should also construct new strategies to increase your revenues and working capital that will generate positive effects in your company's management and productivity. Business consultancy also provides new techniques to help you combat future financial and management issues and keeps your business running smoothly.
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<br>So think about what you want for your business and ask yourself who can help you achieve those long term goals for the business.
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<br>About the Author: This article was written by Peter Lawless, founder of <a href="http://www.3r.ie/" rel="nofollow">3R Sales and Marketing</a> and <a href="http://www.v2020.ie/" rel="nofollow">V20:20 Business Consulting Ireland</a> with 75 business consultants offering business advice to SMEs.
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