I kept looking out my window yesterday, and seeing parking spots. This happens occasionally, but not usually all day. At one point, 8 spots out of 12 were open, and rarely less than 4. One of my little gauges for how business is going.
The other guage, of course, is my cash register. The thing I didn't know was whether the drop off I started to see last August, (After 10 years of increases) would stabilize or continue to drop into a fresh year. Well, after August and the first half of Sept., I'd say bottom isn't here yet.
I'd hoped, planned and tried to get a good profit this month, instead it looks like I'll break even. Considering the drop, I feel as though I should be pleased that I was savvy enough to see it coming. All bills paid in full, no resorting to cash or credit, credit cards paid in full, employee taxes paid on time, etc.
So I want to emphasize that I'm in good shape; indeed, I've not been this solid in the fundamental finances since....well, ever. Mostly I scrambled those first 20 years, so the last five years, including this one, have been like a stress-free vacation in comparison.
But, dammit, I wanted to try to make money.
This is one of those times when I can't really tell what others might be feeling. Linda doesn't like me to talk about her store, much, but I think it would be O.K. to say her store is doing well. Perhaps used books are recession proof.
Comics obviously aren't. As I've said before, I started seeing in mid summer that beneath all the activity, my regulars seemed to be cutting back, leaving town, leaving comics on their shelf for next time. So, I had guessed that when the tourists started fading I might see a retreat. So I ordered according.
This is where my experience has really kicked in. I don't hesitate to prepare. The way my business works, most of my prime product is ordered far in advance and once I order it, I pretty much have to receive. But ordering just what I need is not the same as ordering what I need and what I want.
I figure I can order what I 'want' at an instances notice. Just pick up the phone, and say, I want that and that, and five minutes later I'm committed. And less than a week later the stuff shows up.
I've resisted both overordering and reordering, pretty much this month. Keeping in the base stock, the evergreens, but letting the stuff I buy for fun or at a whim or as an experiment go.
The other encouraging thing is how well books, new and used, continue to sell. With the used books, my margin is great and I have a constant flow of material. So that has turned into a real backstop.
Hell, I've decided to relax and enjoy the slower activity. There's a positive side to even that!
Subscribe to:
Post Comments (Atom)
5 comments:
Glad to hear that you're experience is paying off. You've obviously worked hard at it over the years. Now, if only I was in to comics :(
Duncan,
The key to these situations is to save your cash and wait for the opportunity to come along. People tond to take too long during transitions both to recognize the top and for that matter the bottom as well. Patience is quite important during times like this.
The key is not so much with the Fed and the US Governemnt at this point. The real key is what do the other central banks do. The EUCB really needs to cut rates. That would have a much more positive impact then a rate reduction by the fed.
Cash, yes. But even more important is not to incur any debt -- that compounds every month.
My credit card bill this month is DINKY. Smallest ever. Laughably small.
Hah.
So, that's the way to go....
Experience really does count in these situations.
As I've said before, the temptation is to keep cutting after the fact and never quite catching up.
There is an equal -- more emotional -- reaction, which is to buy nothing at all. And that doesn't work either.
You have to find that ground where you keep up your store without over spending.
I was downtown today (Thursday) at about 10:30 and there were, indeed, surprisingly many parking spots open. Of course this is the "shoulder season" between Labor Day and when the mountain opens.
I've often wondered why Bend doesn't hold one or two of its numerous "fests" at this time of year instead of spring. The weather here from September to mid-October typically is much better than the weather in May to mid-June.
Post a Comment