We're slammed with work. I advertize a lot, network with a group of contractors, volunteer in my community, treat my crew very well, hussle my butt off, and we do good work. I see lots of tree trucks sitting idle, which suggests that some tree people are sitting at home. My crew is eating steak, not top ramen.
I buy equipment when I need to, regardless of the economy. Of course, it helps to have great credit. I refuse to make decisions based on fear, and have faith that our country will rebound just fine. Give it 6 - 9 months. The outfits that take advantage of this buyers' market will reap rewards later. I'm looking to buy a grapple truck, skid steer, mini skid steer, and maybe another chipper. I'm spending $$ on more ads, throwing an open house with the Chamber of Commerce, and volunteering on high profile community projects. Oh, and I'm in 3 parardes each year.
Economy? It's all based on public perception. If people believe the dollar they spend will be replaced in a timely fashion, they'll spend that dollar. If not, they hold onto it. I'm spending my money, and it keeps coming back to me. Want the economy to turn around? Become part of a grass roots spending spree, and watch the DOW skyrocket! End the fear. End the recession... buy American. Boycott Walmart!!
I'm self-employed too--have been for 25 years. Out here in the colonies, we went through the worst recession from 1981-1989 since the Great Depression--even when the rest of the country was doing better by the late 80's. I started my business in the early stages of that recession, and ultimately prospered.
But that was a regional thing, this time it is Global. More importantly, we have systemic problems in finance, and we are deflating a super-bubble in virtually every sector of the global economy--including our federal government that is deeply in debt and is reliant on borrowing money from others in the form of Treasuries, etc. If (or when) other governments no longer have the excess money and stop buying our Treasuries, hang on........
The next big bailout will be state and local governments--and the fed government does not have the money to give out, and may not be able to borrow it.
This will NOT be a 12-24 month recession. We may (and probably will) stop seeing a declining economy in the next 12-24 months, but the recession won't be a "V" shape, it may not even be "U" shaped, there is a strong possibility it will be "L" shaped--with an open end. In other words we will see a very long bottom, unlike we have seen in post WW II.
In late summer of 1929, the Dow Jones Industrials stood at 350+ points. Over the next year, it fell to 50 points. It wasn't until 1952 that the DJI reached 350 points again. And that was with the significant help of WW II.
Right now, we are seeing a struggle between inflation vs deflation that is actually helping to moderate bigger changes in the economy. But if one gets the upper hand (and there are good arguments on both sides) we could see even more rapid economic changes than we have seen so far.
There will be a paradigm change in our economy--and maybe our lifestyles--over the next 5-15 years.
Having said all that, Lakeside does have it right. We will continue to work, and scramble, and live a decent life--we just will do it with a lot less leveraging of our money. We won't have the excesses we have grown accustomed to over the past generation or so. There will be a lot less $50k pickups with talking mirrors, or $1200 chainsaws. We won't be collecting rifles, smurf dolls, or vintage chainsaws at ludicrous prices on ebay. And we won't see very many 5000 sq ft McMansions being built--and the existing ones will be selling at half the cost.....
The prices of full-size pickups and SUV's declined by 30-50% this spring on craigslist here in Colorado. There ARE a lot of great deals out there when it comes to vehicles, tools, etc........
Casey