黑洞社区

This 黑洞社区 Newsline Podcast is available at . See the transcript below:

You鈥檙e listening to the podcast edition of the 黑洞社区 audio newsline. Learn more about 黑洞社区 鈥� the home of Thinkers, Doers, Movers and Shockers 鈥� on the Web at .

There's no shortage of bad economic news. But some entrepreneurs will find a silver lining amidst the gray economic clouds.

For some, this may even be a better time than during years of smooth economic sailing. One of the benefits of being an entrepreneur is that you can easily create a new business to profit off the rapidly changing times. This is one of the few cases where it is much better to be a small-time entrepreneur than a large company.

Pett: "Ways entrepreneurs can take advantage of the recession is to really do some research to understand what customers out there might want and provide those customers those services as well as businesses. Businesses still have to conduct the day-to-day operations, and being local might provide some benefits to those businesses."

It may not be easy, but Pett says some entrepreneurs find opportunities during economic downturns.

Pett: "So during economic downturns there seems to be this idea that you can't start a business and there's no opportunity out there. But entrepreneurs see opportunity when they do some research and look at what's needed in the marketplace. Entrepreneurs can be very nimble and very quick."

According to Pett, entrepreneurs need to consider some factors before starting a business.

Pett: "What do entrepreneurs need to know before they start a business? Well, particularly in these difficult times, they really ought to try to keep their costs as low as possible. And maybe if they're working currently, to continue working in that position until the business can sustain itself. And probably the most important thing is to go after the customers 鈥� i.e., to network 鈥� because the customers probably aren't going to come after their services."

Of course, not every entrepreneur is successful. Pett looks at some reasons why some business start-ups fail.

Pett: "Common mistakes entrepreneurs often make is, they don't realize that the time/length for cash flow, that is, the time it takes for customers to pay for services. And the other mistake that we often see is they develop a business plan, but they often don't follow that business plan, and costs can shoot up, so some research in those areas will really help sustain those start-ups for entrepreneurs."

Pett shares an example of successful businesses that started during a recession.

Pett: "Examples of successful business launches during downturns include a number of businesses that helped large corporations hold meetings without traveling and helped the corporations hold their expenses down, if you will, Internet meetings, GoToMeetings."

If you think you have a good business idea worth pursuing, Pett offers the following advice.

Pett: "Advice to entrepreneurs who'd like to start a business but aren't sure whether in good times or bad: The first thing they need to do is some research to see if it makes sense. The second thing, you'd like to develop a business plan based on your ideas. And the third thing, and this ties in with the second thing, actually, is maybe talk to some potential customers and see if your idea makes sense to help solidify those ideas."

Thanks for listening. Until next time, this is Joe Kleinsasser for 黑洞社区.