The ride's not over (so get busy)
Wednesday, October 7, 2009 at 3:17PM
Joey Brannon

In two days from two different sources I've heard the same thing. "A year from now the economy is not going to be any better. " These prophetic words came from two individuals I trust and respect a great deal. Both are involved in the financial services industry and both are in touch with small business owners. I don't know whether they are right or not, but I do believe a couple of things.

  1. The recent bump in economic stats has more to do with dumping future tax dollars into things like cash for clunkers and TARP than any real, value added economic activity.

  2. The so called stabilization in home prices has a LOT to do with a first time home buyer credit and the fact that the first round of foreclosures are growing stale so bargains and money to pay for them are starting to attract buyers.

Unfortunately neither the government funded stimulus nor the first time homebuyer credit are sustainable pillars from which one can build a robust economic recovery. There is also a great deal of anxiety surrounding the 5 year option ARM products that were sold at the very height of the housing boom. Those mortgages won't reset until 2010 and when they do a second round of foreclosures is certain to follow.

But I'm not here to depress you, I'm here to tell you THE ECONOMY WON'T SAVE YOU. If the economy is going to get worse or at best be flat over the next year you need to do something about it. Otherwise you'll experience another year of zero growth and you'll be no better off. I don't know about you, but that's not acceptable.

You can do something about it and over the next three days I'm going to give you some specific suggestions. But first you need to be convinced that it's better to work your way out of a problem than to be lifted out by something or someone else. It's true that a rising tide lifts all boats, but the boat that has not been tended to may just sink.  As a business owner you have a tremendous opportunity to build a stronger business, TODAY. This opportunity won't last. Sooner or later the tide will come in. Rather than wonder whether you'll be able to float why don't you take steps today to make sure you'll not only float, but excel.

 

Article originally appeared on Axiom CPA, P.A. (http://www.axiomcpa.com/).
See website for complete article licensing information.