New York SBDC Research Network

Raising money for any business in this tough economy isn’t easy. More owners are scrambling to attract new capital, and investors are holding tighter to their money, causing a major disconnect. Successful venture capital and private equity funds are only investing in 1 out of every 500 or so deals they see. Banks have cut back lending. Angel investors hammered in the 2008 market meltdown, lost their appetite for new deals while focusing on salvaging existing investments. However, you can raise the funds you need. You won’t get the very best terms and it will take you much longer than you thought. You may even have to retain an outside firm to help; but if it makes sense and you are fundable, you can get the deal done. More from the ASBDC HERE .

From CBS News MoneyWatch It's a lousy time to start or grow a business, right? Wrong! Over half of America's Fortune 500 companies started during a depression or recession. As far back as the first century BCE, Horace noted that "Adversity reveals greatness; prosperity conceals it." Entrepreneurs are problem solvers. They see beyond the pile of poop and look for the pony. Every crisis is an opportunity for change; every problem begs for a solution... We are all problem solvers to varying degrees. When confronted with problems, we all seek solutions. The difference is that successful entrepreneurs solve other peoples' problems, not just their own. Though their solutions may have originated from their individual situation, they are able to recognize a widespread need, replicate the remedies, and offer the solution to others.

by Rick Leibowitz With all the talk about the economic slowdown in the news, businesses are scrambling to find the best strategies to deal with the challenges of increases operating costs (mostly due to inflation in the energy & commodities markets) and anticipated decreases in consumer spending. Business articles talk about how now is a good time for small business owners to tighten their belts and watch their discretionary spending. I’ve personally read a number of articles that suggest cutting advertising budgets and hours of operation as a means to cost savings. However, I caution all small business owners to think carefully about the consequences of cost cutting before you take action. Developing a contingency to deal with the economic slowdown is a very smart strategy for every small business owner, but the key to a good plan is to dedicate time to forecast the expected results of each decision. Another thing to keep in mind is that it is highly unlikely that your business ca...

On Wednesday, March 18, I attended a Federal Stimlus Package Town Hall Forum at the Lally building of the College of St. Rose in Albany, NY, one of a series of events put together by Senate Majority Leader Malcolm Smith and the New York State Senate; the local state senator, Neil Breslin, was the masters of ceremonies. I was surprised to find at 5:50 p.m. plenty of empty seats because I had heard that the first two events were standing room only; evidently, some folks knew that the program was going to start late. Soon enough, though, the room was packed. The head table had a half dozen agency heads or representatives, which made me think this was the only speaker; that would not prove to be true, as the total number of speakers exceeded a dozen and a half. First, Michael King narrated informaion along with this PowerPoint presentation . I was looking for the small businesss aspects. First to pop out at me was on page 17, which deals with labor, specifically the Workforce Investment A...

The central office for the NYSSBDC has updated a document that can be used as a guide and information source for our clients in today's rough economy. Originally created in July, this is the third version of the paper. The guide combines facts and figures regarding the current state of the economy as well as tips and stragtegies for surviving in down times. In order to create the document, we visited major and business news websites and found the most recent articles and blogs that are applicable to our client base. We would be happy to send the document to any advisor or NYSSBDC employee who requests a copy. Feel free to call, email, or leave a comment and we will send you what we are calling the "white paper".

Do you want to know more about what you can do as a business owner during times of economic downturn? Below are links to articles with solutions and guidelines on how to survive and possibly thrive during the current financial crisis. Congressional Research Services: Economic Slowdown - Issues and Policies (PDF File) Entrepreneur.com: Surviving a Slowing Economy National Federation of Independent Business: Ten Ways to Reject the Recession and Build a Thriving Business Business Week: Surviving the Storm Small Business Trends: Four Mistakes Entrepreneurs Make in a Recession WomenEntrepreneur.com: Surviving an Economic Downturn

How do you spot trends? What do you do about trends once they've been spotted? How will the financial crisis affect these trends and impact your business ? (For more answers to the latter, also check out this post from Alexis .) These are just some of the issues Trendwatching .com addresses in it's November briefing . A few weeks ago they asked readers to send in their questions, and they've set about to answer 15 of them. Among other things, they link to their trend watching tips , and their checklist of trendwatching tools , as well as updating some recently spotted trends in the face of our current economic situation. Some of their updated trend predictions: Indulgences? Big ones are out, small ones are in. Free stuff? People like free stuff, but advertising-supported businesses may suffer. Eco-chic? Look to " eco -cheap," efficiency and waste-reduction.

Yesterday, the New York Times began a series that will focus on six individual small businesses in the New York City area, and how each of them is dealing with the current economic situation. Here's their introduction: "A butcher’s longtime customers stop paying their bills. A building contractor has half as many jobs as he did a year ago. A restaurant owner considers sharing space to stay afloat. Steadily, inexorably, the fallout from Wall Street’s layoffs and the credit crisis is trickling down to small businesses across the region. Over the coming months, The New York Times will track six of those businesses to see how they are weathering the economic storm. " Give it a read. Recognize what these people are saying? By the way, in the past month, emails have been sent out from the Association of SBDCs, soliciting client stories on behalf of journalists from the Times , Business Week , and The Wall Street Journal on issues currently being faced by small business owne...