Starting a Company in a Tough Economy

We must be crazy.

The Dow is 10,000. Or is it under 9,000? Unemployment numbers are bad. Credit is frozen. Things seem like they are all but crumbling. Why would we go and start a company in such a bad economy?

Well truth be told, it didn’t start out that way. We began this journey well before the recent crisis. But as the economy got worse, people seemed to get more and more interested in Ticklr. Because in a tough economy, your network is your lifeline.

If you are in sales, you can’t afford to lose a customer in this economy – it’s going to be far more difficult to replace that revenue stream.

If you are in business development or you manage partnerships – this weak economy may be a good time to look for other ways of exchanging services. But that requires a lot of trust to pull off successfully.

If you have clients, you depend on them for your livelihood. Stay close to them and let them know you are working with them to get through these challenging times.

And if you reach an unfortunate point where you are looking for work, your best chances of finding a new job are probably through the network of people you’ve been cultivating for years.

We started Ticklr because we know how important relationships are to us and to every working professional. Hopefully we will be able to help people get the most out of their most important asset – their professional network.

Two comments:

1. The bad economy is a poor reason to stop doing business. This, in my mind, includes starting up new businesses. Companies should continue (or start) operating if they are based on sound business principles. There are plenty of problems to solve in a down economy.

2. History has proven over and over that bad economies recover. Companies (new or existing) that see the future in addition to the present will prosper. Recently, GM CTO Fred Killeen said: "If you don't invest in the future of the company, you won't have one." (Quoted from eWeek 3/2/09 Editor's article.) I agree with this, not only in the context of existing companies but also with startups. If a startup's team can endure current realities and adjust accordingly, the future is very bright! (Provided, again, that the company is based on solid business fundamentals.)

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