This week, I received a number of calls from friends and family about the incredible events in the financial markets. I've tried to be optimistic, but it wasn't easy. Every day, there seemed to be a new avalanche of bad news.

So what does this all mean for your business?

Well, I think it's critically important to be careful and conservative. Basically, assume the following:

• It's going to take longer to raise capital -- and the terms will be tougher.
• It's going to take longer to get customers.
• Oh, and customers will take longer to pay you (and that's assuming they actually do pay you).

In other words, you need to find ways to manage your cash flow. You can use some nifty online tools, such as NetBooks. There are also some great books on the topic, like Tim Berry's The Plan-As-You-Go Business Plan.

And another thing: Be sure to focus on your existing customers. In tough times, it can be easy to lose them. And, of course, it's always expensive to get new customers.

Continue reading Entrepreneur's Journal: What does the financial meltdown mean for your business?

Entrepreneur's Journal: What does the financial meltdown mean for your business? originally appeared on BloggingStocks on Sun, 21 Sep 2008 18:37:00 EST. Please see our terms for use of feeds.

I read many business plans. And, unfortunately, there are many that are lackluster. After all, an entrepreneur doesn't want to get bogged down in process.

Then again, there are many examples of successful businesses that didn't have formal business plans. For example, Compaq Computer was based on the scribblings on a napkin.

And yes, I agree you don't need a business plan.

However, the fact remains that a successful business still needs effective planning (former President Dwight Eisenhower once said: "the plan is useless, but planning is essential").

Well, the good news is that Tim Berry -- who is the founder of Palo Alto Software (the biggest provider of business plan software) -- has recently published a book on the topic. The title is spot-on: The Plan-As-You-Go Business Plan.

Of course, this can be a broad topic. Hey, don't many business books talk about planning?

This is true. But Tim focuses on the needs of small businesses; that is, those key things that move the needle.

Continue reading Entrepreneur's Journal: Do you really need a business plan?

Entrepreneur's Journal: Do you really need a business plan? originally appeared on BloggingStocks on Sun, 07 Sep 2008 16:00:00 EST. Please see our terms for use of feeds.