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Aligning yourself with a trusted business adviser is one of the most valuable pieces of advice that anyone can give you. Entrepreneurs are by nature mavericks—–daring, inspired, “idea-people” with the grit to overcome extraordinary obstacles.  They are visionaries who are empowered by an innovative idea, a passionate drive to set out on their own, and a burning desire to succeed.  This independent, pioneering spirit is not only the power that drives entrepreneurial innovation, but it is also the perennial Achilles heel for entrepreneurs seeking the help of others.

There are three key processes in operating a small business—management, strategy and operations—all of which are tightly integrated. The management process provides a framework for hiring, training, and managing people to produce results.  The strategic process defines your short-term, as well as, your long-term goals—where you want to take your business (earnings, sales, and revenues) and how you will get there.  The operational process provides the road map, tools, and resources for getting there.

An economic downturn is a phase of the business cycle in which the economy as a whole is in decline. This phase basically marks the end of the period of growth in the business cycle. Economic downturns are characterized by decreased levels of consumer purchases (especially of durable goods) and, subsequently, reduced levels of production by businesses.

While economic downturns are admittedly difficult, and are formidable obstacles to small businesses that are trying to survive and grow, an economic downturn can open up opportunities. A well-managed company can realize the opportunity to gain market share by taking customers away from their competitors. It is very possible and probable for resourceful entrepreneurs to capture available opportunities, during an economic downturn, by developing alternate methods of doing business that were never implemented during a prior growth period.

The challenge of successfully navigating your business

An important stakeholder of any business is the bank. Banks are arguably the leading source of capital for entrepreneurs. While they’re reluctant to provide start-up capital in the early stages, commercial lenders play a major role in helping businesses grow and expand. Your relationship with your banker is extremely important as you grow your business.

Many entrepreneurs think of their bankers as sources of capital for funding their businesses or resolving monetary issues. However, your relationship with your banker can have a huge impact on your business. Know your banker as a person and build a relationship based on trust. Get your banker involved in your business versus having him/her stand on the sidelines. Bankers are a great resource – - – so put them to work.

A paradox is currently surfacing on the business landscape: Companies that have abundant resources are still falling short of success in today’s competitive world. In such scenarios, one can only question what exactly is going “wrong.” Companies with appropriate and abundant resources, plus smart management, usually make their mark. With the exceeding number of competitors in the market, it is not shocking to see large companies liquidate early in their business life cycle. In order to survive in the current competitive world, it is crucial to profile the competition so that you knowwhat they are doing, why they are doing it,how they are doing it, and when they are doing it. Companies today spend a great deal of time and resources on Competitive Intelligence.

Competitive Intelligence is the process of regularly monitoring your competition, within a specific market place, to ensure that they do not steal your market share. It consists of having the knowledge of what they plan to do, along with the strategies they will employ, even before they bring them to light. It involves careful planning in the selection of the business strategies that they will use to counteract the competition.