Surviving the Credit Crunch


A credit crunch is the economic opposite of boom times when the perception is that loans, or credit, are easily available.  During a credit crunch, banks and other lenders reduce the ease with which a business or individual can borrow financing.

Companies are pulling back.  What can you do to thrive during this time?

Cut expenses


Simplify your life.  Look at every expense as “a need” or “a want.”  Do you really need the item or service, or do you just want it?  Can you hold off for now?

As your bills come in, review every statement and look for recurring items you can cancel.  Maybe you’ve already cut the extra lattes?  But there’s more.  Do you really watch all the pay-for-view TV stations on your bill? Music and software downloads at incremental amounts also add up annually.


Consider bringing lunch, cutting back on non-essentials, and just being more aware of where your income goes during the week.

Pay the most important bills first


Make sure you pay your mortgage or rent and other essentials on time.  Even if you’re unemployed, avoid taking on more debt that will only add to your financial issues.



Set up a savings account that is automatically tied to your payroll account, even if it’s a minimum amount such as $25 each pay period.


If you’re working, squirrel away as much as you can.  Don’t consider the funds a rainy day account as you don’t want to create a crisis as a reason to use your savings.  Create accounts earmarked for retirement, vacations and other positive events.


All savings, however small, is extra money in your pocket.


Evaluate every trip to determine its necessity.  Can you combine errands?  Can you car pool?  Can you take mass transit (if available) and drive less?


Without adding to your monthly overhead, is there a way you can trade in your car for a more fuel efficient model?

Keep your personal and professional networks strong


Now is actually the best time to get into the world and build stronger professional relationships.  The professional relationships you form and maintain can lead to new opportunities.  People remember those who are in front of them.  Be the one who is proactive and in front of your colleagues and associates.


Don’t feel you can afford professional networking events?  Ask the host if you can help out at the event or attend at a discount.  The important thing is to show up and meet as many people as you can.

The economy ebbs and flows.  Although this may be a challenging time period, create a new game plan and keep going forward.



To see more of Stuart Rosen’s work:


In this season of graduations and numerous economic issues, change is the only constant in our lives.   Change is on going.


Well-known speaker Terry Paulson compares changes in our lives to chapters in a novel.  “Sometimes,” he says, “the chapters are long.  At other times they are short.”  Each chapter can be synonymous with a segment of our lives.


Change is constant.  It’s not a loss, it’s just change.  Grieving over changes in your life can mean unhappiness over issues not resulting the way you wanted.  Think of change as letting go of what no longer serves you.  Focus on what does.


Change can be scary or it can be exciting.  The approach is up to you.  Change is not an end, but a fresh start and new beginning.

Change, in a positive sense, can mean one door closes and an even better one opens.


To see more of Stuart Rosen’s work:

Hiring in Today’s Economy?


An abundance of outstanding candidates are available for immediate hire. 

As a hiring manager, you post your job and you (or your HR department) are flooded with candidates, most applying electronically.  The volume of incoming candidates, many who appear very qualified for the position, can be overwhelming.

How can you select the right candidate for your team?

The process to find the right person includes the following steps:

  • Identify the top talent from incoming résumé and candidates who have applied to your company in the past
  • Screen (interview) the candidates
  • Rank candidates
  • Select the right person who has the background, skills and aptitude for the position
The hiring process can be time-consuming.  Even in today’s economy, good candidates who are anxious about extended periods of unemployment vanish fast.
If you have a job opening, it’s a win-win situation to find the right person for your team.  With so many outstanding candidates seeking work, you have a responsibility to hire and keep our overall economy humming.
To beat the gerbil wheel of interviewing and not making a decision, you might consider hiring on a contract-to-hire basis.  This “try before you buy” period can reward you with keen insights into working together.



Small vs. Large Company? What’s The Right Size For You?

With changes in the economy, many people are leaving large companies and looking for new opportunities.  The fastest growing sector is mid-to small-size businesses.  According to a report issued by the US Small Business Administration, small businesses represent 99.7 percent of all the nation’s employers.


Benefits of Working in Small Companies
• More job stability
• Easier to share ideas and have your voice heard
• Ability to participation in company-wide projects with broad responsibilities
• Strong sense of community
• Fewer barriers between upper and lower management.  You probably know the CEO.
• Great impact on local economy


Downside of Smaller Companies
• May not offer broad range of benefits, such as stocks
• Less corporate name recognition and clout at networking events
• Family businesses may be fraught with drama


Benefits of Working in a Large Corporate Environment
• Company name recognition
• Better overall benefits and compensation packages
• Better funding for research and development
• Opportunity to work on large cross enterprise projects
• Better ability to grow a professional network in your industry


Downside of Large Corporate Environments
• More politics and levels of management to get things done
• Difficult to grow outside of a specific niche
• Significant barriers between layers of management and ground workers
• Ideas can stagnate


Your job is your second home.  Depending on your personality and personal needs, through your research you can find the right fit in either large corporations or a small company.