Bad news folks: Experts all the way from Wall Street to Washington are saying there’s a recession coming.
Now, this isn’t a sure fact and we don’t need to get into why this is happening. But what is important is preparing your business for this possibility.
So what are some steps you can take to ensure your business makes it through this tough time?
- Evaluate Your Team
This is one case where something isn’t better than nothing. Whether it’s an employee who’s always behind on their deadlines or contractors who aren’t delivering top-notch services – review your team members and ensure you only keep people who are contributing their best on your team.
It’s a tough situation but if they aren’t essential to running your business, it may be time to let them go.
- Set Aside Cash Savings
We can’t predict how the recession will impact our business, but we can be prepared. And in a recession, cash talks.
I recommend that all business owners have enough cash saved up to fund 3-6 months of your expenses. This will give us some wriggle room as we ride out the worse effects of the recession when it hits.
- Trim the Excess
A stock photo subscription you use once every six months? A “free trial” that switched to a paid membership 3 months ago without you noticing? Industry newsletters you’re paying for that you never read?
It’s time to trim the excess. Look at your bank statements from the past few months and identify where money is leaking out of your business. Cutting unnecessary expenses in your business is a quick and easy way to build up your business defenses going into a recession.
Dealing with a recession is never fun but with a little mindful preparation in advance, we can ensure our businesses make it through. Want more tips on how to recession-proof your business? Reply back and let me know!
Did You Know: When you become an entrepreneur, you have to make a mindset shift around your taxes?
If you were a salaried employee before entrepreneurship, you were probably getting tax refunds.
Now as an entrepreneur, you OWE the IRS taxes.
Before you start panicking, take a breath. Yes, it’s a big shift, but an incredibly important one you have to make – if you want to make millions in your biz.
Curious? Get all the details on the blog → Want to Make Millions? Change Your Money Mindset about Paying Taxes