Use Fear To Improve and Bullet-Proof Your Business

Is fear ever a good thing?

Absolutely. Fear can help you move off dead center and take positive action. And if used in the right way, it can save you and your business from going belly up. Fear is natural, and it’s there for a reason. But when that natural instinct is overdeveloped, it becomes an issue—especially if you remain stuck in the problem and don’t move toward a solution.

In my book, inaction is the biggest thing to fear about fear.

The other day, I talked about taking action to face your freelance fears—those things that you tend to put off or resist. In other words, things that are within your control. But today, I’d like to talk about how to manage the kind of fear that comes from legitimate causes, how to manage that fear, and how to use it to your advantage.

In particular, I’m thinking of the current economy and how much it’s impacting so many people I know. And I agree—it is scary. And it makes you wonder where and how low the bottom will be, and how soon we’ll hit it. There’s certainly no shortage of things to wring your hands over when you read the news or turn on the television these days. And for those of us who freelance or consider ourselves independent contractors, the current economic climate seems particularly precarious right now. Although as we’ve observed in the banking and auto industries, working for someone else doesn’t necessarily guarantee any kind of security either.

If you’re freelancing or doing independent contracting, you’re doing work for clients and banking on the fact that you’re eventually going to get paid, that the client will remain in business, and that the work will continue to flow in your direction. But as we’ve seen in recent months, many publications have suffered severe cutbacks and some have simply shut down. And now—in addition to the normal insecurities and fears that go along with self-employment—there’s suddenly the need to carefully consider and investigate the financial viability of a client before you accept an assignment or sign on any dotted line.

It’s one thing to have the kind of fears that I talked about the other day—fears that I would put in the category of hangups or insecurities that you just have to move through and get over. But the kind of fears I’m talking about today—the kind that come from legitimately concerning conditions—are more difficult to manage if you’re self-employed. Because let’s face it: there’s not a lot we really have control over when it comes right down to it. But that’s always been the case, has it not?

We’ve never had any control over when a client pays us or whether they stay in business. It’s just that our lack of control is more noticeable now with the current economic conditions and so many businesses shutting down or going bankrupt.

So what can you do? How do you manage the kind of fear that comes along with conditions that you don’t choose or that you didn’t ask for?

The key is to focus on what you can control, not on what you can’t. Here are some suggestions on how to do that in this economy:

1) Watch your attitude. I’ve mentioned it here before, but I truly believe our thoughts are more powerful than we realize, and that we tend to attract more of what we focus our attention on. So do whatever it takes to stay positive—despite all the bad news. Spend time with positive people—the kind who see opportunities for business growth in adversity, and limit your exposure to people or other business owners who are always peering through the glass darkly. Equally important, pay attention to what you’re telling yourself. Do you believe that you will find a way to make your business survive this recession? Do you see yourself coming out on the other side? That’s important. Because I think we also tend to live up to our own expectations—whether high or low. Just remember that many successful businesses launch during tough economic times because the rules change—and when they do, they sometimes create opportunities for the kind of forward-thinking people who are opportunity-focused.

2) Change your business model. You may have planned on continuing to freelance or do independent contracting full time, but you also might want to reconsider that business model. Working a full-time job and freelancing part time may be a better option for you right now. It all depends on your situation. Or perhaps you’ve always focused on performing a certain array of services or doing work for a certain type of client. Now is the time to listen carefully to what your clients need. Is there an opportunity for you to expand your services? Or if you’ve always worked for a particular sector, expand your vision and think about your skill set. Do you have skills that might be useful to companies and clients in other industries? You have no choice but to expand your vision and the definition of what you do—poor economic conditions force companies to do that. And if handled in the right way, it can be a real boon for your business.

3) Focus on what’s in front of you. I don’t know about you, but it can get overwhelming if you think about all the things you have to do whenever you sit down to work on an assignment. But studies have shown that the benefits of multitasking are a myth. When it comes right down to it, you can only focus on what’s in front of you at any given moment. Sure, there are times to look at the long-range view and to map out a plan. But doing that is different than worrying about everything. Worrying is not planning, and I think sometimes people confuse the two—or at least allow the worry to take over once they begin considering long-range plans or what lies ahead. Stay in today, it’s all you have anyway. There’s a reason there’s only 24 hours in a day, no?

I’m sure I’ve left a few things off this list, but I think it’s crucial to give some thought to how you’re managing yourself and your business in this economic climate. And I think it’s also important to understand how a refusal to change your business model and adjust to new conditions can be deadly for your business. One advantage of being a small business owner is that you can implement changes much more quickly than a larger company. So in that sense, you have a real advantage.

But the key is to cultivate that nimble attitude and to have faith that you’ll figure it out as you go. It is impossible to plan for every contingency that lies ahead. But it is possible to learn how to stay open to change and experiment with new tools and processes, so that when the big changes do come along, you’re better able to adjust to the new market conditions.

Inaction and a stubborn refusal to accept change and new conditions will kill your business. Especially in this climate. The change has arrived—it’s on your doorstep.

The question you need to ask yourself now is: What are you going to do about it?

I’m always interested to hear from readers. Drop me a line and let me know how you’re handling and managing your fears? What are you doing that might help other freelancers right now? What do you need help with?

Photo credit: haveweallgotthebends (Flickr)