It's been some week for Wall Street (just take a look at our previous post). But what about for the rest of us? This week we asked whether you felt the market's recent "activity" (let's use euphemisms, it is Friday) will impact you as an entrepreneur or small business owner—for better or worse. We also inquired whether it makes you more or less likely to consider launching your start-up.
While it was a black week for nearly everyone on Wall Street, you guys see a silver lining. Reader benpirie argued that those small businesses that do crop right now are likely to be stronger than those that launch during fatter times. He writes:
"The problems facing the economy seem to stem in no small part from intemperance and excess. If one is forced cut corners and find efficiencies in the beginning, these are more likely to become habits. This should make businesses, and the economy as a whole, more resilient."
And reader Mahesh agrees:
"A business that begins during times of turbulence can be stronger for it. I co-owned a small retail business a few years back, and for the first eighteen months of its existence, the arterial road in front was shut down. People walked through the mud to come inside. The road was finally fixed ... (wait for it) ... in August 2001. We survived the next few tumultuous months by staying conservative, and we had a good liquidity that saw us through less-than-stellar months. The majority owner (hi Mom!) also had a good pulse on her target market, and was able to remain nimble, and the store eventually became profitable."
So, maybe it's not such a bad time to start a business. But, don't expect that you won't feel the weight of Wall Street's fall this week just because you haven't yet. While entrepreneurs—and even the average Joe—might not yet experience the repercussions of Lehman's bankruptcy and AIG's bail out, they may down the road. Check out our post on how the experts say all this may eventually affect small business. But, bear in mind: these guys may as well be getting their predictions from reading tea leaves— because no one really knows what's going to happen.
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