These two bits from a 2012 Citibank small business survey really stood out as Rule 1: Plan for Zero moments. Both business owners and employees have gone without or delayed pay, to help the business survive.
Almost one quarter of business owners have gone a year or more without pay to keep their business alive.
“In addition to using their own money to help their business survive (69 percent), the majority of small-business owners (54 percent) say they have gone without a paycheck. Looking back over the history of their businesses, almost one-quarter (23 percent) have gone without pay for one year or more.”
“Demonstrating true commitment, employees showed thanks by their own investment in the success of the company: more than one-third (38 percent) of owners say their employees worked additional hours without pay; another 18 percent credit their employees with voluntarily missed or delayed paychecks.”
If you don’t seriously plan for zero in your business, you’re putting the business at risk.
Photo: pizza place owner happy at work in downtown Austin, Texas. Photo by Becky McCray.
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Small Town Rules: How Big Brands and Small Businesses Can Prosper in a Connected Economy is a book written by Becky McCray and Barry Moltz. It was published in 2012 by Que Biz Tech and was reprinted internationally in 2015.