Best Crisis Businesses

Even though the world economic doesn`t fell that well, and many companies go bankrupt, there are a couple of business industries that are still goign very well and some companies that bring their owners big profits.

So, i tried to put up a list for domains that are doing well even though we are in an economic crisis.

1. Collection agencies
Because many companies fell back with their payments, the creditors hire collection agencies to recover the money for them. This business is very profitable right now. But, I have to give you some advice, if you start your collector business now, hire experience personel in this domain so your company could extend more rapidly.

2. Management company
With all the businesses beeing in trouble, a management business with experience people could help businesses that are in dificulty move on and come back on it`s feet.

3. Repairing businesses
Because people don`t have so much money to spend on new stuff, they prefer to repair their broken stuff rather than replaicing them. An example for repairing or service business: computer service, auto service, shoe repairing.

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The winners and losers of the economic crisis

Massive staff cuts, production interruptions, budget cut offs and rethinking of future strategies. These are just some of the headlines of the economic crisis that we are facing at the moment. We all have do deal with one of the crisis problems at one point, some of us did and some of us will, it’s just a matter of time.

With this article I want to present to you business opportunities, domains that are not suffering because of the crisis. And business domains that collapsed and in the next couple of years we won’t see a comeback.

So, let’s start with the businesses that are doing pretty well in this period:

Entertainment - This industry was not hit as hard as it was thought. Here we can talk here about pubs, fast foods, movies, coffee shops. Because of all the bad news about the crisis and wars at TV people prefer to go and relax with friends at a coffee shop or at a movie. Also people can’t afford now to go to medium or high class restaurants so they prefer fast foods.

Business Consultancy - Especially juridical. It’s a domain that makes good profits during the crisis. Because of the economical conjuncture, litigations appear between business partners and they need juridical consultancy to pass over these problems.

Online businesses – This type of businesses doesn’t seem to be very affected by the crisis. They have two major advantages: they keep their costs to a minimum and they represent the future in commerce so customers prefer these types of shops.

Luxury - Planes, diamonds, expensive cars. In some parts of the word these luxury items are sold better than ever. All luxury clothing sold better this year. All the brads reported increases in sales and profits.

Now we move onto the loser’s category:

Real estate - It totally collapsed no good news. Financing is hard to get and no one buys anything any more.

Auto Industry - Sales dropped by half. GM reported a drop with 45 % of sales on the American market. Renault fired over 6000 employees in this period. Porsche announced a drop by 39 % of sales. So, I would not suggest starting a business complementary to the auto industry. Maybe just car service could have some success because people will need service to their old cars in the conditions that they are not buying new ones.

Start-ups - in any domain you want to start a new business it will be very hard to find financing, banks are very exigent at the moment.

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Finance your business - Problem or Challenge?

"I don`t have money to start my own business", I hear that very often. People all over the world use those words when they want to express their fear of entering in business and becoming a successful entrepreneur. They say it like have everything except money, they have the knowledge, the experience, they have studied the market, they have the rare business sense, but no money.


You need money to start your business? of course you need. A lot? That depends on the profile of your future business, you have to calculate for yourself all the costs that are involved. You may have a surprise to discover that the costs are not as high as you thought and, in fact are relatively small. Your business seems to have a bright future. Why does everyone think that a business can only be started with tens of thousand of $. You are right to say that, if you look at a couple of successful businesses you will see that they didn`t started with a small amount of money.


They have luxurious cars, lots of employees, big office buildings, you see their names everywhere, and you say to yourself that you don`t stand a chance. You are forgetting a crucial aspect regarding those businesses. They didn`t appear over night, they have a history of 10 -20 years, and when they started they didn`t have luxurious cars, big office buildings, they started just like you. They were happy if they didn`t go bankrupt, and their growth was small but steady. If we take a look at global companies like Gillette or Nike we will see that they started with a small amount of money. If they could do it, why can`t you?

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Employees in the crisis, hiring opportunity

With the crisis that we are dealing with many companies that have very competent people are on the brinks of bankruptcy. That is why is a good moment for you to hire excellent and very competent people with minimum costs.


Also is a very good time to try to devote your time and resources to your most valuable employees and try to make your best (if you are a manager) to not let go your most reliable employees. Hard times pass with devoted employees.

If you are a manager it’s a good time to listen to any ideas that your employees may have. You will never know where you can discover a talent. You can implement their ideas and make your business more efficient, they can have ideas on how to reduce the costs or how to be more productive.

Some companies tent to leave all regarding to the company’s management, don’t make this mistake, try to involve all your employees in this process, you will only discover new and good ideas.

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Words, a powerful tool

Words are not just a way of communicating, there are instruments that can help you close a deal, or not. Good words used good times can get you a closing deal, but when you negotiate with someone, a wrong words can change the whole negotiation in a bad way.


That is why I have tried to make up a list of words that you should avoid when you are making a sell:


1. “Yes, but….” – You have to avoid this phrase because it produces a negative connotation in the buyers mind. Let’s say that you are trying to sell him an expensive TV set. The buyer will say that is has the same characteristics with a cheaper model. You CAN`T say “Yes. But it has a different start button” If you say this, than the buyer will understand that you agree with him that is expensive and don`t worth to spend money on it.


2. “We have a team of experts” - When a customer asks you something about the product and you don`t know the answer, don`t say that you have a team of experts that will contact him in a couple of days and explain everything to him. In 90% of the cases the customer doesn`t return to hear the experts explications.
3. “To be honest with you” – Bad expression used by many sales agents. When you talk to a client and in the middle of the dialog say “To be honest with you, I would …..”, that is practically saying that have lied to him until now. Until now you haven’t been honest, but now you are.


4. “I will try” – “I have tried, but it wasn`t possible” - This expression doesn`t bring much confidence to your customers. Have you ever heard a surgeon say “I will try to make the operation”? He inspires a lot of confidence in the eye of the relatives, doesn`t he?


5. “I am sorry” – This is a phrase that that is very used by sellers. Don`t use it. Try a different approach if you have made a mistake, like: “It`s a very unpleasant situation, let’s see what we can do to fix it”.

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Is it good or not to enter on a competitive market?

A few days ago a friend of mine said that he wanted to bring on the market a new product, that in other countries was a success, but on our market it hasn`t been sold before. He was so excited, that I was a little bit of sad when I had to ask him the next question: “Did you think why that product is not yet on our market?” It’s a very thought decision that you will have to make.


Every situation has ups and downs.


Let’s take for the first example the situation when your company enters a market that is very competitive. You will need many resources, quality products, good prices and a good marketing strategy to success. But because that are so many companies in that segment of the market it means that those services or product have a high demand in the market, and that is very good.


In the second example, when you decide to bring a new product or a new service on the market you will have to put yourself the question “Why does this product is not on the market?” Maybe some other people found out that there was no demand, it didn`t bring high profits, the necessary investment was too big. On the other side if you come out on the market with a new product that is a hit, you will make money very quickly and profits will be very good as well.

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5 ways to take your business to the next level

Until now you have tried to make your business profitable with steady growth rate. Now when you have passed the first stage in business and have made a successful business is time to expand and take it to the next level. Here are some pointers that could guide you with your expansion:

Expand with another location – First of all make sure that you can financially support a new location. Don’t rush into renting one that is cheaper; find a location that matches your business needs.

You can invest into new domains – Domains that have a connection with your current business or domains that are completely new. For this you have to do a lot of market research.

You can target other markets – Make new products that are destined to other markets, and match consumer’s needs. In this way you can increase rapidly your revenues. But be careful with the market research, it has to be correct.

Franchise your business – In this way you can increase you brands awareness with minimal costs. Be careful, so those who buy your license keep your high standards.

Buy a business - If you want do diversify your portfolio, you can buy a business. In this way you have a client database, already established. The hard part will be to merge the two companies together.

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10 ways to save your business from bankruptcy - Part 2

This is a continuation of my post 10 ways to save your business from bankruptcy


6. Don`t ignore your competitors mistakes - usually in business publication you can only read about successful entrepreneurs and successful businesses, nobody writes about bankrupt businesses because that kind of business doesn`t sell the paper. Try to get in touch with business owners that got bankrupt and ask their advice, I know it is hard to do that but try it; it will help you a lot.


7. Having lots of clients – I know that sound normal, but think of those companies that have exclusive contract with just one client. In the beginning they will think that is going to be easy dealing with just one client, especially if it is a long term contract. But what if your “big” client decides to end the contract because you are not doing your job right? What would you do then?


8. Always get the experts opinion – Most times business people avoid asking business advices from certified companies, because they say it is a waste of money. But trust me a good certified opinion may save you a lot of money, even after you pay the experts fee.


9. Keep in touch with the latest technologies that go around your business – you will lose many clients and most important your competitors will go in front of you if you use the same old products or services.


10. Be careful when you launch new products – if you launch on the market new products that need a lot of recourses from your company make sure that you have studied that market very well and taking in consideration the risks. If the product is not a success your company may have lots of financial problems.

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10 ways to save your business from bankruptcy - Part 1

A friend of mine, that wants to start his first business, asked me the other day what are the most important things to watch out in order to avoid bankruptcy within the first year. So I came out with 10 factors you should watch out when you start your own business.


1. Watch out about the small loses you have in your company - Over 50% of the companies discover that their balance sheet is not so good as they hoped because of loses that relate with their activity, like: employees that you don`t need or unused space and equipment.

2. Lack of interest for human resources - American scientists discover that the management is so busy to maintain the profitability of the company and they neglect the human resource department. A manager should always take care of his employees, if they are unhappy they wont work as well and the team relations will disappear.

3. Building your business with your family - Don`t get me wrong, it is good to have a family business, but watch out if you hire a family member that is no so good trained as an other candidate for the position, it will drag down your business. You should forget about feelings when you discuss business.

4. Keep your files in order - If you don`t keep them in order you can have problems with the IRS, and you may scare your future clients when they see you have lost their order.

5. Costs - Don`t forget about costs. For a successful business you should always keep your costs as lower as possible. You may find out that by reducing costs, your business may become more profitable.

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What does your staff want?

To have a successful business is not just to develop services and products. Many entrepreneurs concentrate on increasing sales and revenues an forget about the human factor. This factor is very important because without out it the business could not run. In this post I would like to show you some suggestions regarding the relationship the owner has with his employees.



1. It is wrong for you to think that your employee cares only about money. He looks for recognition of his efforts, to be appreciated for his work, also he wants to know exactly what he has to do in the company. Statistics have shown that 60 % on the staff complains the lack of communication they have with their boss regarding what they have to do for the company.


Some entrepreneurs think that they could obtain the best results if they adopt a cold and distant attitude with his employees. They want their staff to see them like a rough officer that gives orders to his soldiers. This technique is not good in a company because unlike soldiers that can`t leave, employees can. That is why you should congratulate your staff with every good work .


2. Signs that people from your staff want to quit Do you think that when your employee gives you the 2 weeks` notice before he quits is a sign that he is looking for a new job? WRONG. The search for a new job started perhaps months ago, and now he found what he was looking for.


Some of the real signs are: a newspaper on his desk opened at the small publicity section, the increase of days he spends in medical leave (he has to go to interviews, doesn`t he?), he is not as active in the meetings as he was before (could mean that he doesn`t care anymore about the company)

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Get money from "angels"

If you don`t have money to finance your business, you should consider all your possibilities. It doesn`t matter if you need 5000 or 100.000 euro (7200 or 145.000 $), a business angel may help you to start your business.

The business angel concept it`s similar with the capital – venture financing. In both cases, investors and entrepreneurs put their money together in order to get the business started.


Some people may have brilliant business ideas, but if they don`t have any money to start them with, it is no use, like Thomas Edison once said: “An idea is worthless unless you use it”. A business angel can help you to start the business. An “angel” is just like you, an entrepreneur, but one with a little more experience, and a little more successful businesses.

In order to get the “angel” on your side and become partners you will have to know your business very well, because if you don`t, he won`t invest in a person who is not sure what he is doing. Another thing in attracting the investor is that you will have to be completely honest with the numbers and the profits, because before he invests he will make a market research and eventually he will find out the truth. It has both good and bad sides of having an angel as your partner.


The good side is that he has a lot of experience and can help you with different things, and you will learn a lot from him. The bad thing is that he usually expects high profits, and doesn`t struggle as much as you to make the business work.

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How do you make a business plan?

Making a business plan can be very difficult especially for someone who has little or no experience at all. You will find on the internet and a lot of books with a lot of models for business plans. You could make your own business plan, but it has to contain some part that is obligatory.


The structure

It is not a standard structure for all models, you should structure it according to the purpose of making it: for share holders, for the management, for getting finance. But all business plan should have the following parts:

The product / services, and what market it`s addressed to.

The competition - What technologies are they using, what is their market share, who are their clients

Clients and suppliers - Who are your suppliers (remember, you should always have more than one supplier because you should not depend on just one.), who are your clients.

Marketing - Market size, the segmentation of the market, who is your product address to.

Risks - You always take in consideration the risks and you should minimize them

Management - Who is the management of the company, what experience do they have

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How do you choose betwen a niche and a general business?

Niche businesses can be successful if you chose the right strategy, but also business where there is a high competition can be very profitable and can bring you lots of satisfactions. I will try to present you the pro and cons of each type.

If you are a business man that has already a couple of businesses in his resume, that could invest in any opportunity that the market gives you, because you have fleer, resources and experience.

If you are a young business man that is a beginner, you could have more chances to success if you choose a niche business that needs a smaller investment and fewer resources.
Choosing niche business or a general one?

A niche market is always interesting because it challenges your abilities to find new opportunities and new market demands. If you decide to start this kind of business you should know your clients very well and build long term relations. In order to run a successful niche business you will have to specialize: on a service or product, on quality or price. A niche business can bring you high profits if you run it right, and a general business gets high revenues.

If you decide to choose a general business you have to provide services and products that have something unique, special, that none of your competitors have. You have to stand up with something so the clients chose you over your competitors, like: smaller prices, less time to get the product, post sale assistance.

Usually niche businesses are formed in the shadow of big business, to help customers with a service or a product, that the big companies don`t care because they think that the market is too small.

Either types of business you will decide to start with remember that you should be very informed about that domain, and put passion in it.

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Make a mark with your business card

At a first look a business card doesn’t seem like a powerful marketing tool, but it is one of the most an important and cheap parts of the marketing plan. Just think about the production cost of a business card, very cheap, and now think of what an impact it can have. Of course, do not expect to say everything about your company, just to make a very good first impression that will remain in the customer’s head.


Choose a business card with a design that matches your company’s profile. Just think if you are a financial consultant, or a Forex market broker, a business card with pink flowers will end up in the first garbage can. That is why when you choose your design try to choose the image that your company wants to promote. Usually that means you would have to choose from around 5 styles.


1. Simple style - The card in this category is usually printed black on white. You choose this type when your potential clients are serious people that don’t like anything else except fact and figures.

2. Picture style - When you put your picture on the card you will make the client to remember you better. Also you can choose to put on the card a picture with your product, remember, a picture makes more than a1000 words.


3. Multi - functional style - A business card makes more than you show the address and the phone number of the company. You could print on the back a map of the location of the company, or a calendar. In this way you could make it useful for the people who have it and maybe they won’t throw it away.

4. Touch style - The shape of the card could be unconventional or if it is not made out of cardboard, it could be kept because it is special. You also could give it the shape of your product, lets say a car, and the business card would be easier remembered.


5. Crazy style - this style allows you to make anything you want with the card, anything to draw attention on it.

With all that said, I wish you good luck, and remember to verify 10 times the address and telephone number to be printed correctly.

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