It is not the end. Dark clouds of recession are certainly hovering around the financial horizon. The economic indicators point towards a downtrend in business, which means problems for real estate investors, businesses & job seekers. Gas prices have hit an all time high. It is certainly time to prepare for a rainy day.
Recession means the axe will fall on the employees first. What they are going to witness is an exodus of sorts. Keeping our job intact will itself be a full time job. The best advice during recession is to find ways to make yourself indispensable. You should take on some more work load which ultimately would mean savings for the company. Your job would pay for itself & would make sound financial sense. It is another matter that anybody else's job would become redundant. But that's least of your problems. Your company's financial situation would dictate whether you keep your job or not. It is possible to keep your job safe from recession.
Survival tips for employees
Every employee should start behaving like owner of the company. Your job depends on it. Where can you cut costs? What innovations can be implemented? How to sell? All these questions need to be addressed by you. This won't only mean survival of your company but yours as well.
There's hundreds of job aspirants out there. Among these lots of have spent a small fortune educating them to be MBA's, engineers & what not. A bleak economy is something they've to prepare for. Forget about huge pay packets. Look at the ground reality & grab whichever job you can get. Financial security should be your first objective. Climb the job bandwagon first, secure a job. During recession, you can't wait for manna to fall from heaven.
Survival tips for investors in the stock market & real estate
Investors in the stock market have to be extra careful during times of recession. The economic indicators will bring down the market & the investors along with it. That's for sure. An investor should therefore have a serious look at his portfolio. Get rid of the junk stocks quickly, if you have already not done so. These penny stocks appreciate smartly during the lovely times. they also fall flat like a fat puppy during an economic downturn. lots of millionaires have become paupers overnight due to holding on to these stocks. Stop loss if you have already lost. The economy is in bad shape; don't let it drag you along. Go for the blue chips. Even in recession they are likely to hold on to their price. Over a period they would give reasonable returns. You may not become a millionaire but then you never know.
Subprime losses are the engine which drove the economy into recession. Gross avarice & greed on the part of Bankers & a knowing wink from owner makers has lead to this situation. It is therefore unlikely that real estate investments would pick up in the near future- if ever. It is best to cut losses & move away from the real estate market. Sale of property at prevailing rates is the only option even if it means loss.
Another piece of advice for investors is not to purchase stocks with borrowed money. they are all optimists at heart & a hardcore investor is the biggest optimist of all. This sometimes forces them to borrow, in the hope that they will make a killing. A hot tip here, a slight upward movement in a certain stock or a credible rumor. All are sure signs of big bucks for a compulsive investor. This is a recipe for disaster. Reign in your financial horses & wait for better days. The economy will rebound sooner than later.
plenty of of us have purchased real estate as an investment. Some use them as weekend gateways. Letting out your second home is a lovely option you must consider. This will bring you a steady monthly income while you wait for the real estate to appreciate. Idle real estate is no longer viable. If you have a farm house you should explore the possibility of growing fruits & vegetables. This can fetch you a tidy income.
Survival tips for the common man
plenty of highly popular books have started giving the impression that one can become rich only by investing passively. This mindset has taken root in lots of US citizens. Work is only passé. Taking financial risks means rewards. It is only now that millions have realized the fallacy of it all. For some it is late. they've to get out of this apathy & disregard for hard work. In lovely economic times even the craziest ideas seem to work. But during recession one has to tighten ones belt.
It is an age old saying that money saved is money earned. Save a part of your income. Even ten percent is . You must not touch any of it for a whimsical expenditure like a vacation or on a luxury. Your credit card is your biggest enemy. You must bring your credit card liability to zero & then keep it away altogether. You must live within your means even if it hurts & pinches your lifestyle. Look at the recession on its face. Bad economy does not mean becoming poor. It is simply a warning to get your act together.
Survival tips for businesses
It is a great idea to start planning for early retirement. This will force you to think about your economic future. Investment in pension & retirement currency will secure your future. If you get laid off, at least you can retire to your little financial nest. Retirement is not a bad word any longer. It may even turn out to be the best part of your life.
Modern technology is a boon for small businesses. than renting out an pricey office, one can innovate & work from home. Finance & investment consultants, CPA's, real estate agents & a host of other business can operate from home.
The small businesses would be the hardest hit due to the worsening economy. It may sound depressing, but the truth is that lots of would be closed down. But one need not take it lying down. The smart guys have already started preparing for the days ahead by doing secretarial work on their own.
Have another look at your fees. Can you become more competitive? Instead of charging $100 can you get by with $75? Customers are looking for a bargain & reducing your professional fees will make them happy. Consider this to be one of your effective marketing tools during times of recession.
It is time to look at your accounts receivable. Businessmen should closely monitor their outstanding & reduce it as much as possible. If you hold stock, inventory should be minimized. Shift the cost of carrying inventory to your principal by using 'Just in Time' owner, which will save you from investing in dead inventory.
Recession is a big economic bully. It can make you do things which you would not otherwise consider. simultaneously it is not necessary to surrender & succumb to it. Taking measured, well thought out steps to counter the threat is the only prudent way out. It is all a query of managing your finances.
Brian Schwartz encourages individuals to think outside the box and sharpen their creative skills, so they can live a more fulfilling and meaningful life. Whether you are running a business, if you're an artist or stay at home mom; you can become more successful with what ever you do with creative flair and finesse. Visit Brian's website at http://www.FlipMyText.com and exercise your mind.
© 2008 FlipMyText - All Rights Reserved
Posts
No comments:
Post a Comment