Small Business Survival Tips

This tough economic crisis is squeezing small businesses, the backbone of the US economy, with higher taxes and fewer customers. It is essential to reduce your overhead, streamline your business, and focus on attracting and retaining customers. This following list contains options to consider when cutting your expenses.

Renegotiate your lease: Landlords are feeling the pinch as well as anyone right now. Rather than letting rent shut you down, open a dialog with your landlord about lowering your rent. The landlord has incentive to work with you, as more and more storefronts go unrented and the “carrying costs” mount up for the landlord. Typically, these negotiations include a short-term rent reduction in exchange for an additional year on the back end of the lease.

Re-finance Debt: As banks start to relax the flow of money, it is time to act. Meet with several bankers about the options for refinancing any significant debt at a lower rate. Call your major credit card provider(s), and make a formal request for a reduction in your interest rate. It is best to do this while armed with an offer from a competitor.

Check Your Bills: Review all of your recurring bills and speak to competitors. Start with your insurance carrier(s), and work through your credit card processing fees and your telephone provider. This review should occur on a regular basis regardless of the economic crisis, but the benefits are greater now than ever.

Copyright 2004-2009 © R.M. Stephenson, LLC. All rights reserved.