I was contacted today to do some guest blogging for a fairly well known business site. In an email conversation I was asked about my business, how it has grown, how the economy has affected it, etc. All well and good. Then a very fun question, "what advice do you have for people starting a new business in this economy."
So I wrote back.
"This economy is not so different than any other, if you provide a useful service or product at a decent and fair price, you stand a chance of surviving in any economy. The key advice I always give to people starting a business has very little to do with marketing, business plans, location or any of the other things people learn in business classes. My advice is always to keep a very close eye on the checkbook. I know, it sounds stupid, but trust me, businesses run on a very tight budget and the loss of money, even small amounts, can be dangerous. I have had friends start businesses with friends of theirs, people they trust completely, only to find out, down the road, that the allure of a check book was too much for their friends to resist. Everything is important when starting a business, but keep an eye on expenses, costs and anyone with access to the business checking account is paramount."
So, there you have it, the best advice I could give them, is the advice I give you, the same advice I would give to anyone investing in a business of any sort. Even people you trust can get greedy.
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