When The Economy Goes South - Stay Close To The Money

There are ways you can position yourself to build security into your life. Stay close to these things and you be able to ride the downturns and emerge stronger.

When the “Great Recession” hit in 2009 I was 27 years old. I’d just got engaged to my future wife and we’d just put a deposit down on our first house.

Great timing.

In a way we’ve been incredibly lucky. Those crazy few years after the financial crisis didn’t last forever and, ever since, the economy has been in okay shape. Not amazing, but nothing like the panic stricken world of 2009.

I started work straight out of university in 2004 as a Transport Planner in a Consultancy based in London. We advised Government on Transport Policy, helped them plan transport networks and formulated strategies for making cities work better.

But the other work we did was for train operators who needed commercial advice. We would advise on strategies for growing revenue and ensuring they met their financial obligations.

It was spreadsheet heaven - if that exists.

I loved spreadsheets. That may sound strange but I really did. All the cells intricately linked together so that as you tweaked one input a whole ecosystem of changes cascaded through the rows and columns. Out popped the result.

As the recession bit hard, Government spending dried up.

The transport schemes so lovingly prepared in the good times were halted overnight. The shared spaces, the tram schemes, the cycle lanes and plans for new bus routes were parked (couldn’t resist).

People were laid off. That was a real shock when it came.

People who’d been there from the start with me. People who had families. People who, just a few months earlier, were going for promotions to director level. People who were great at what they did. All gone.

But my team were safe

It was still tough of course. We were put down to 4 day working weeks which was tricky but as it was only for a short time we could manage. I didn’t have any dependants and the mortgage was manageable.

So why were we saved?

It was pretty simple really. We were close to the money.

When the recession hit the rail industry, the train companies turned to us to help them grow there revenue back. They were desperate in a way. We had the skills to get the money flowing again for them. And in turn that meant, even in the teeth of the recession, our skills were in demand.

So we kept our jobs. Not only that, we thrived. We were able to help.

So staying close the money has always be a mantra for me. It’s given me security in times that were tough.

But we can extend this a little from just being about the money

This is about being as close as you can to a clear output for your industry or business. Money is the obvious one. If you can drive money to the bottom line then you will always be in demand but other things equally apply.

Think about what your industry or business can’t do without. What’s the skill that keeps the cogs moving? Whats the part of the business that enables the money to flow?

Stay close to what’s key for your business. Try not to be one removed from that factor.

This will keep you safe when the bad times come.

---

Two Recommendations - what to consume this week

1. 5 Reasons Why You’re Unhappy At Work

2. Tim Peake: Will humans colonise Mars?

---

Top 3 articles of the week

Finding great articles on Substack can be difficult. Fear not, I have been digging deep into the discovery areas of the platform so you don’t have to.

Here are my top three posts to read this week:

Experience the magic of Substack by

Winston

of

Coffee Times

You Can Steal My Substack Strategy But You Can't Steal My Croissants 🥐 by

Veronica Llorca-Smith

of

The Lemon Tree Mindset

Which Substack Publications Have the Most Subscribers (And What We Can Learn from Them) by

Casandra Campbell

of

Really Good Business Ideas

---

Substack Recommendations

A big part of this newsletter is the community we are building. Never Stop Learning recommends these Substacks that I suggest you check out.

Polymathic Being

Ruminations

Are You Okay?

---

Last week’s post

In case you missed it:

Uncool Runnings. One Misplaced Foot Was All It Took

Plus, one from the archive that’s totally free:

The Dos and Don'ts of Work Drinks for Senior Managers

---

Your Support Really Helps!

To support this newsletter and get access to all my How To Substack posts you can for the bargain price of $5 per month.

---

---

Thank you for reading and see you next week!