Everywhere I look and everything I read is depressing, as a UK native living in CA, USA I am appalled by what the current government has done to "great" Britain and what it’s about to do will make the UK the poor man of Europe once again – just like the 70’s. The British Pound has been decimated and gloom abounds…
The only "dawn" moment likely to happen for the UK is a new administration that can get back to basics, remove the horrible socialist agenda and hopefully stop the ridiculous spending and waste…Even though I no longer wish to live in the UK I do want it to come out of the gloom hopefully with David Cameron as Primeminister and heading towards a better future.
He will have the same very daunting task that Obama has here in the USA but with a few less resources and a big task to rescue British Business that has been hamstrung and damaged by the ridiculous red tape and labour laws.
However, I recently blogged that it’s not all doom and gloom if you are an entrepreneur as we have to face daily challenges of a larger order than governments petty law making and taxation rules, we have to face life and death many times over going from startup to mature business and we will always find a way through, over or around these obstacles towards our goals.
There will be benefits for the strong and brave of this recession and financial meltdown – were there is disaster there is also opportunity.
I personally belive that those entrepreneurs that double their efforts and keep going through these hard tmes will emerge the big winners, in my book "So you want to be an entrepreneur" I put forward the No.1 trait of the successful entrepreneurs I know is Persistence and we need that more than ever now…
The one thing you must not do right now is panic, Jason Calacanis puts it well
Great entrepreneurs build value and market-share in down markets. They go to work seven days a week and the breakout when other folks check out.
He also suggests a list of useful to-do’s in his post below (this post is way longer and has other useful stuff in it so go look at that too if you have time):
10 Specific things you can do
Since the outside market is out of your control, the best you can do
is focus your energy inward. Here are some things you can do after
you’ve assessed where you company is at.
1. Execute better: This is fairly simple, as I describe above. Rank
yourself and your performance and improve it.
2. Grow the talent you have: When the market is down, it’s a great
time to get your team educated and to the next level. Invest in
training and education of your top people, because they are the ones
who will lead your company through this mess.
3. Firing the average people: Again, it’s totally politically
incorrect, but I highly recommend firing anyone who is good or
average. Startups are an Olympic sport and every slot on your team is
critical. You wouldn’t put a “good” swimmer in a relay, would you?
Don’t have one in your startup. Fire the good and replace them with
4. Cut spending every where you can: Recurring costs like
connectivity, phones, rent and insurance are things that you can
easily cut. Go to each of your providers and ask for 20% relief
immediately or you’re leaving. Most, not all, will give it to you.
5. Find a revenue stream and ride it: If you don’t have a revenue
stream right now, you’d better find one on Monday. Seriously, by the
end of the day. Once you find this revenue stream, ride it. Put at
least 25% of your effort into bringing in revenue.
6. Focus on your profitable clients: If you have revenue, start
focusing on which clients are most profitable. Take them to lunch and
figure out how you can over-service them and sell them another product
(or more of your current product). You’re gonna want to protect these
accounts because the folks reading Point Five are going to be calling
7. Make your top ten 10% better: Look at the top ten aspects of your
business and come up with a plan to make each 10% better in the next
30 days. Ask everyone in your company to make suggestions for the 10%
better program and execute on the ones that will provide the most bang
for the buck. Sometimes, there are things you can do today that will
make something 10% better for free–you just haven’t brainstormed
8. Hold an optional off-site breakfast meeting on a Sunday and see who
shows up: If folks don’t show up for you to grow/save the company on a
Sunday for a two hour breakfast, they probably aren’t going to step up
when the sh#$%t really hits the fan. You need to know who the real
killers on your team are and you need to get close with them now.
Again, it’s fine to have 9-5ers on your team–if you’re the Post
Office. You can’t have them at a startup company. Note: if you reading
this and saying I’m anti-family, save it. Folks don’t have to work at
startups and some of the hardest working folks I’ve met have families
and figure out how to balance things.
9. Build marketshare: One of the best things to do in the down market
is build marketshare. Look for competitors that are going out of
business and buy them or just “steal” their clients and talent (i.e.
pick them up).
10. Raise money: I know I said above most folks won’t be able to raise
money in the down market, but that’s not because the money isn’t out
there–clearly it is. The issue is that the big money out there
doesn’t want to fund small ideas that are in the death spiral. Build a
plan based on revenue and taking market share and folks will consider
Last 5 posts by admin
- Great post on what people don't like sharing: failure and survivors - July 31st, 2015
- YC video on fund raising that’s worth watching… - October 27th, 2014
- Awesome training session for startups…on YouTube - October 1st, 2014
- A true entrepreneur’s advice: “Go with Your Gut Feeling” - July 24th, 2014
- Awesome video from Vinod Khosla at Startup Grind - February 12th, 2014