“Deeper recession in 2023”, “UK economy expected to be in recession until summer 2023”, – you can’t escape it with over 26,500,000 results for the UK and over 61,000,000 results for US searches – that’s a hell of a lot of ‘doom.’
Small business owners are now used to weathering the constant storm of change and all that comes with that. There IS a lot of opportunity opened to the HR world during a recession, particularly to business owners.
Here are our top tips to recession proof your business in 2023.
Watching the media – do so on your terms and at times that work for you. Don’t let the news take control of you or your emotions. If it’s getting to you, how about not watching it for a period, until you feel ready?
Adapt – what are your client, suppliers and partners telling you the want and need right now? Can you adapt any of your existing services? For example, we offer recession proof planning sessions to our clients to help them build their business. What could you offer in your world that’s the equivalent?
Tighten up your payments – if clients pay you on retainers, make sure these are set up as direct payments to your accounts. If you are delivering a project, get payment upfront to protect you.
Think about reducing your debtor days from 30 days to 14 days just in case problems may arise.
Mindset – just because we are being told we are in a recession, or heading towards one, does it mean we need to panic? Absolutely not and that’s the worst thing we can do. Stay focused, stay positive and lean on your peer-to-peer network if you feel you need a bit of extra support or you have concerns.
Small businesses thrive during difficult periods, look at what happened during Covid? How many businesses were formed that are flourishing today? There was a 20% increase in the US and a 13% increase in the UK.
More than ever, small business owners have the power to make a huge impact – let’s make 2023 the best yet.
Who is with me?