The main purpose of this website is really to help people grow their business and automate some of the daily tasks that rob you of your time. As I have said before, you need to keep your advertising budgets if not double them in times like this.
You need to understand that most of what is happening in this market is not due to a failure to deliver product, rather its emotional. The markets are bad and yes we lost 4 of the largest banks last week but how does that directly affect you? The main factor is going to be OPM. If you’re not familiar, OPM stands for Other People’s Money. (Also known as: Credit.) The lending institutions that back your credit cards in your wallet announced today that they more than likely will reduce YOUR credit line if not take it away.
How will you run a business in this climate?
It will not be easy, the entire free world is run on credit. Very few people understand how to live without it. The reason why we have a middle class is due to credit. The poor do not use it because they don’t have the scores to do so and the ultra rich might use credit but they don’t carry balances from one month to another. So the poor will continue poor and the ultra rich will just now use their debit cards if they can’t get credit (which will most likely not happen). Now for the middle class, you will easily join the poor as this credit crunch continues in its downward spiral.
Lehman Brothers CEO: Richard Fult said today before the house oversight committee that the worst of the credit crisis on Wall Street is behind us. Oh that’s comforting news if it were from someone other than Mr. Fult. As CEO of Lehman Brothers he had the opportunity to sell off his over-leveraged debt to the South Koreans. CNBC sources said that apparently the deal was not sweet enough. Instead Mr. Fult kept on course thinking this problem could be fixed by putting blinders on. What happened was a catastrophe that killed over 26,000 jobs and created a huge dent in the Global Credit Economy. So he says the credit crisis is almost over? Hmm.. Well I want to believe that but I am sure not to take advice from someone who cannot see the forest thru the trees in the first place. Thanks Mr. Fult.
So now what? Where are we as small business owners?
Isn’t the answer blatantly obvious? If you were working at 100% you will need to step out of your comfort zone and do 150% to compensate for the rest of the market. This will truly be a separation of the wheat and the weeds. Soon people who are clueless and stubborn will be out of business where those who suck up their pride will now be growing their business.
What things can you do now to grow?
I have talked to a number of small business owners who have run their companies for a very long time. Many of them get their leads from networking events and referrals. These are all great ways to get business. As this crisis continues to get worse (and it will) you need to avoid from burning these good leads. I recommend cracking open those cold calls again. Yes, the dreaded cold call in which everyone hates. It’s easy to burn these calls because there was no guarantee that you had the deal to begin with. (Hence the name cold calls) Then as you get better and realize that there might be a common issue, you can translate that issue to your referrals and also with your networking event leads. This will help you address the needs of the customer in these times. Although you might keep a positive outlook on the market because you know there will always be guys like me out there that try to build business in new ways. There is the customer who is beaten down by the bad news he/she hears.
Your cold calls can be your cheap focus group. You may not even sell them anything but the information and frustration you get on the other end is priceless. Most people burn good contacts to get this kind of information and it could cost possibly hundreds of thousands of dollars in lost revenue. A cold call will give you all that with a fraction of the price.
Next, I want every one of you to double what you have been spending on advertising. If you have been spending $0, then you should be shot in the head. Get out there and spend $100 to start with. If you need some pointers, call The McKane Organization or ask for Jeremy McKane. I will be happy to give you free advice on what you can do. Every thing I suggest, I have done myself.
Once you learn how valuable that $100 can be if invested in the right advertising, you then can decide to double based on your individual results. If people do not know you exist then how do you expect them to write you a check?
Until next time….