GoFaxer Blog

It amazes me how quickly the economy can rebound with one announcement. Last week George Bush announced that there would be an economic stimulus package put in place this year to mitigate the effects of several poor economic factors. Wall Street made an almost immediate comeback.

Jim Jubak suggests that the reason Wall Street recovered so quickly is that it believes that government intervention by the President, Congress, and the Fed can keep the economic downturn short.

Over the past two decades, recessions have been quite short. The assumption is that we’ve gotten really good at keeping the economy growing without severe downturns.

Jubak does point out, however, that there is a very real danger that this slowdown or recession could be worse than usual:

“Because so many consumers got used to drawing against their rising home equities to fund their spending, the bursting of the housing bubble and the crisis in the subprime-mortgage market have resulted in far more damage than usual to consumer cash flows.”

What does this mean for small businesses that have less available cash and profit to protect them in tough times? You must find every smart way to cut costs. And you must spend your money in wise ways that will increase your sales. In other words, it’s time to take that step to switch over to Internet fax and other technologies that will save you money and help you weather what will be a small or large storm.