We hear about the latest ups and downs of the stock market daily.
Should a small business owner be concerned?
Absolutely. Here’s why:
The obvious reason is that any market-based investments are directly affected (so there’s the personal reason).
Possibly more insidious though is if the drumbeat of market news is negative (as it largely has been over the past year or so), this negativity seeps into consumer sentiment at large – whether they have investments or not.
Things get really dangerous though when inflation is mixed in: that’s when a vague, media-induced negativity is essentially lit on fire and becomes personal to the citizenry at large.
So what are the opportunities for small businesses in this environment? We see the following priorities:
1. Talk to your customers: understand their mood, ability to buy, ability to pay, intent to buy.
2. Adjust your promotion plan, product mix, and pricing according to real-customer feedback.
3. Adjust your sales plan and cash flow forecast, and ensure that you have appropriate lines of credit in place to cover shortfalls.
We can help with cash flow forecasts as well as arranging financing for you.
Let’s set up a call: