How Entrepreneurs And Small Businesses Can Prepare For A Recession

Just when you thought the impact of the pandemic was over, here comes an economic slowdown that is being foreshadowed by high inflation and supply chain complexities. If you are running a startup or are working in an area of a company responsible for revenue, then you better get ready to make some quick adjustments to your overall strategy and potentially, the business model.

If we do head into a recession, and you did not take the necessary steps to safeguard your company through this storm, then you will be facing real trouble just over the horizon.

For a lot of younger company leaders and entrepreneurs, this might be your first economic challenge, notwithstanding the pandemic. As such, you might not actually see the slowdown that is coming. But you need to look at the dots of information that are already surfacing. Inflation is high, supply chain issues, slowing vehicle sales, housing slowdown, large drop off in new mortgages, hiring freezes at major companies, layoffs in some industries and the overall effect on the stock market in terms of investor confidence.

In addition, when you see large companies like Procter and Gamble pulling back on advertising media spending, according to an article by Adage, it’s like a canary-in-the-coal-mine warning that things might get worse before they get better.