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How can entrepreneurs stay disciplined during an economic downturn?

By Wish Group No Comments

Self discipline is the ability to control yourself and to make yourself work hard or behave in a particular way without needing anyone else to tell you what to do.”

As entrepreneurs, there are many elements that are beyond your control during a global pandemic – lockdowns, vaccine rollouts, consumer behaviour, the economy – but you can always control your actions and attitude. Having the necessary discipline to keep yourself, your employees and your business steady during uncertainty is invaluable.

As the steward of your business, you have an obligation to hold the fort. Having been in business for so many years, I’ve seen my share of situations where fellow entrepreneurs or managers have lost their cool during a crisis. Too often, this can have a negative trickle-down effect, morally and financially, on everything and everyone around them.

So, what can you do to maintain your discipline during a crisis? Two things:

  1. Be financially diligent. This starts with being prepared even before a crisis hits. Apply the age-old advice to managing your personal finances towards running your business – set some money aside and save it for that rainy day. Being consistently disciplined with your business’s finances will ensure that you’re able to do do this, as you will already have costs under control and be operating within your means. When the difficult times do come, you will have to adjust, but won’t have to undertake wrenching changes, a welcome relief for your employees.
  2. Maintain a positive mindset. In business, as with life, you’ll face challenges. As I mentioned before, you can’t control every aspect of those situations, but you can choose how you react. Any crisis is manageable, regardless of the triggers, if you maintain a healthy frame of mind. How do you do this? It all comes down to what you allow into your brain. Limiting engagement with negative people, reading inspirational books as well as consuming less news and social media are a good start. I’d also recommend focusing on what you can impact right now, such as responding quicker or communicating and strategizing with your team.

If you need more help managing your business during this pandemic, check out how you can do more with less as well as strategies you can employ to get by as an entrepreneur. To get in touch, drop me a line at bootstrap@wishgroup.ca.

BOOTSTRAP WITH FRANK CIANCIULLI: Doing more with less during an economic downturn

By Wish Group No Comments

How do you do more with less? It’s a question many countries are grappling with right now, as they frantically race to secure and distribute a Covid-19 vaccine, all while charting a course for economic recovery post-pandemic.

Coincidentally, it’s the same question you, a business owner/entrepreneur, should be asking yourself. When things are going well, it is human nature to become complacent or gravitate towards excess – spending more on events, executing more extravagant marketing campaigns and buying larger office space, to name a few. It’s a recipe for losing perspective.

More, more, more. But what if you pivoted and did more with less?

Obviously, during an economic downturn you need to be mindful of your business practices and be a little more frugal with your wallet. But there is still so much that can be done right now to remain afloat, while keeping an eye out for the future.

Based on my personal experience, here are three of the biggest lessons you can learn during an economic downturn.

  1. Find a happy balance. Tightening the reigns and getting leaner doesn’t mean your business needs to get meaner. With less at your disposal, you will need to find creative solutions that minimize excess and maintain productivity. But be careful – cutting back too far could lead to burning out quicker and festering unwanted resentment within your team. It’s all about striking that delicate balance so you can keep your business growing into the future.
  2. Distinguish yourself. In times like these, your clients and prospective leads will be less willing to spend. There’s nothing you can do about this. What you can do is keep yourself in the conversation, even when you’re not selling. Distinguish yourself now by being authentic and generating goodwill in the community through thought leadership, discounts, free trails and even favourable payment methods. When the world gets back to normal, people will remember these “little” gestures and reward you.
  3. Embrace the challenge. Adversity is never fun, but it’s the challenges that we face in life that build character and give us that edge. Same thing goes for businesses. When you’re hit with challenges, embrace them and double down on your organizational strengths. Put the mettle of your business to the test. This is a proven mentality. Many legendary businesses, from Microsoft to Netflix, found success when they launched during economic downturns. The lessons they learned are encoded into their DNA, allowing them to weather any storm. Heck, the Wish Group was launched in the recession of 2008. The lessons we learned during those days never left us and continue to inform everything we do.

If you’re a current or aspiring entrepreneur with questions and concerns about navigating this economic downturn (or any other topic for that matter), I want to hear from you. Get in touch with me at bootstrap@wishgroup.ca.

BOOTSTRAP WITH FRANK CIANCIULLI: How entrepreneurs can navigate the COVID-19 economic downturn

By Wish Group No Comments

Happy New Year! With the calendar rolling over to 2021, we have the chance for a fresh start – new goals, new opportunities – even if in a different form than years past.

There’s no sugar-coating it – the past several months during the Covid-19 pandemic have been challenging for all of us, especially when it comes to the economy. The increase in unemployment rates, less non-essential consumer spending and erratic interest rates paint a less than rosy financial picture.

The good news is that with the ongoing distribution of vaccines and development of economic recovery plans, things look to improve in the next few months.

If you’re an entrepreneur, you might be wondering how to navigate through this economic downturn and position your business for success as the economy continues to open up.

Well, here are three of the most important things you should do to protect your business:

Manage your cash flow

While sound advice even in the best of times, make sure you continue to control expenses and cash flow. Even though you’re feeling optimistic that we are finally, truly rounding that corner toward a better economy, if there’s currently more money going out the door than coming in, you risk not making it across the finish line. We can’t predict just how long the full recovery will really take. As an entrepreneur, being optimistic is in your blood. But too much optimism at this critical time could sink you.

Continue to be laser focused on getting your money from clients and making sure that payables are sorted, so that you can emerge from this crisis stronger and in line for success. Until we get a clearer picture of how circumstances will unfold this year, I would also hold off planning any big events. For now, keep your event planning to virtual events.

Look after yourself

Winter is in full swing and gyms are closed in many regions, but you must prioritize looking after your health. Without you, there is no business. Take an introspective look at your personal life. As an entrepreneur, it can be pretty lonely carrying the weight of a business on your shoulders – it exacts a toll on you physically and emotionally. Most entrepreneurs have 10 to 12-hour days and are constantly dealing with the anxiety of paying bills and waiting on cheques. Get regular exercise, don’t skimp out on sleep and consider taking up yoga or meditation to help you filter out the stress. It’s also a good idea to limit your caffeine intake!

Put your business into perspective

Once you’ve sorted yourself out, you’ll need to put the health of your business into perspective. Analyze the year that just passed and review any aspirational budgets – that lofty number you wanted to achieve. Adjust it as needed for 2021 and start building or restructuring your team to achieve these goals in anticipation of emerging from this economic downturn. Continue to focus on key client relationships and add value wherever you can, so they continue to appreciate what you bring.

Also, look for innovative ways to keep your business in the public conversation. Your clients and prospects are online every day. Post regularly to social channels and create blogs and videos to position yourself as a thought leader in your sector.

Still unsure? If you’re a current or aspiring entrepreneur with questions and concerns about the year ahead, I want to hear from you. Get in touch with me at bootstrap@wishgroup.ca.

 

This blog was first published on LinkedIn.

Holiday Homestretch

By Comments & Opinion, Entrepreneurial, Business Insights, Business Health, Foundations of Success, Planning for the future, Personal Accountability No Comments

With 37 days left in 2014, families and organizations are undoubtedly feeling the pressure of holiday crunch time. I’m pretty guilty of waiting last minute to buy all of my Christmas presents, but when it comes to prepping for the next year I try hard not to lose my focus and keep it going.

This time of year it really does feel like everything is working against you, though. The dreary weather sometimes makes it impossible for you to even get into the office, unexpected family visiting, hysteria at every store you visit regardless of what you want to buy…. It seems endless. During this chaos though is when you need to carve time to review how the year has been, since you’ll be busy the next couple of weeks preparing for 2015.

Revisit Your Earlier Goals – Hopefully you made a list of goals at the beginning of the year to guide your business. With so little time left in the year, you shouldn’t be looking at your list and attempt a mad dash to the finish. Rather, it’s a time to look at your list and see what has worked well for you. Hopefully you’ll find that you not only surpassed some goals, but that you also surpassed goals you added on a little later in the year. You’re bound to find something that was meant to be your focus that you may have let slip through the cracks…

Tie Up Lose Ends – If you do see a few loose ends that you were supposed to focus on for the year, you should do one of two things: (a) see why you weren’t able to meet this goal and attempt it next year or (b) decide if you should make it a priority for the coming year or if it’s actually a critical goal. Losing sight of a particular goal isn’t always a bad thing. Perhaps you subconsciously realized that this goal wasn’t essential to growing your business – especially if you’ve experienced tremendous growth in the year without it. On the flip side, if your business didn’t grow as quickly as you expected, then you should probably make it a priority in 2015.

Plan Your Time Off Accordingly – You’re not seriously planning on neglecting your family over the holidays, are you? No matter what holiday you observe, this time of year is important to spend with your family. I’ve talked about balance before, but I can’t stress how important it is to actually put your phone and computer down for a bit and spend time with loved ones. I can completely sympathize if a 100% disconnect is impossible, but don’t completely neglect your family either!

I’m very interested to know what your game plan is for the final weeks of the year. Please share your thoughts with me in the comments!

Pruning the Tree

By Comments & Opinion, Business Insights, Business Growth, Business Health No Comments

With the calendar now midway through November, winter is definitely in the air. One of my routines for this time of year is to prepare the gardens around my property for the coming winter by pruning the shrubs and trees. As you might know, pruning trees is helpful for a variety of reasons:

  • to remove dead or diseased branches
  • to thin the crown to permit new growth and better air circulation
  • to remove obstructing lower branches
  • to shape a tree for design purposes

Okay, so I confess that I’m not actually the one out in the backyard with snips trimming branches but I do know the critical importance to the health, safety and aesthetics of my trees and shrubs that the annual pruning exercise means.

So what is your point Frank, I’ll bet your wondering. Quite simply, I find that there is an astonishing parallel between maintaining a garden and ensuring you have a healthy and growing company. Let me break it down a bit.

Trimming the dead branches

First, I’ll describe the practice of trimming away dead branches. There are three main benefits of cutting off dead or diseased branches from trees and shrubs:  it makes way for new growth to sprout and flourish, it mitigates the spread of disease and it improves the beauty of the tree.

Every company has the same issue of “dead branches” – unproductive and poor performing employees – and reaps the same benefits by doing some “pruning” – that is, letting those employees go. No matter how successful an organization is, it is inevitable that some employees will always fall into this category and business leaders need to be vigilant with their trimming. By removing these underperforming employees, the company’s up-and-comers have a better chance to stand out and be recognized for their achievements, and grow and prosper as the rest of the company grows.

Furthermore, like a diseased branch the employees that fall into this deadwood category often have a poor attitude that can infect the rest of the company. Pruning will help prevent the spread of morale and culturing-impacting negativism and pessimism.

Pruning also serves to enhance the attraction of the company to potential high-performing candidates, what I call the rock stars… hopefully they will see that this is an organization that doesn’t countenance low or poor performance, enhancing their attraction to the company.

Culling living branches

While it is of critical importance to cut off dead branches, pruning live branches is equally important. Sometimes this mean removing branches that are lower down on the trunk, or thinning out the crown of the shrub or tree. The art and act of trimming living branches is a bit more complex and strategic than removing dead branches. The desired outcome is to selectively remove those branches that are impeding (or will impede) others from growing properly, or are growing in a different direction than you want the tree to grow.

Again, the analogy to a company is striking. Oftentimes you may have a strong and productive employee, but that person’s behaviours or mindset are such that – while maybe acceptable at one point in time – she is now impeding others in the organization from performing to the maximum of their ability. As hard as it may seem, that person needs to go. Similarly, an employee that has a set of skills and capabilities that were extremely valuable to the organization at one point in time – say, during the start-up phase – but now that the company has grown and matured the value of that employee’s capabilities has greatly diminished. He, too, must go for the greater good of the organization.

I know that some of you are thinking, “But what if I make a mistake?  What if I cut the wrong person, or too many for that matter?”.  Read on and I’ll explain my view on that.

A Living Organism

The last point I will make on this topic is perhaps stating the obvious – much like a tree or a shrub, a company is a living organism. A tree or shrub that is not properly maintained and pruned will over time grow in ways that leave it less strong, vibrant and attractive compared to ones that have been consistently and properly pruned. While a case can be made that it’s never too late to prune a tree, if you let it go too long the amount of effort to get it back into the shape you want it will be high and it in fact may take years to get it going in the direction you want it to.

And so too it goes with a company: let it go untended too long, deferring those tough decisions on cutting out those seemingly healthy and productive “branches” or making excuses for keeping the deadwood around, means some really tough work ahead.

And to address your concern about cutting the wrong employee, or maybe removing too many (perhaps because you’ve left it too long), do not fear. Companies like trees are resilient and naturally rejuvenate – if you snip off the wrong branch while unfortunate another one will grow to take its place; similarly, if you lop off a few too many undeniably it will have a short term impact, but the reality is that it won’t take too long before ample new ones sprout in their place.

My message here is quite simple:  at least once a year – and fall is one of the best times – get your organizational “trimmers” out and do your company and employees a favour by cutting back selectively and with determination. I can assure you that if you do so, your company will be stronger, healthier and more prosperous as a result. Why?  I practice what I preach and I hold up the success of my companies past and present as the proof in the pudding. Oh, and you should see the trees in my backyard.