Bill Orben writes an article for the Orlando Business Journal about the Upside of a Down Economy. Orben suggests that a recession is the best opportunity to carve out your niche. He asks me what key moves to make and continues to speak about making a profit in a poor economy.

1. OrlandoBusinessJournal.com SEPT. 5-11, 2008
BY BILL ORBEN
O ut of adversity comes opportunity – at
least if you know where to look for it.
property.
Meanwhile, those in development are
The better option: Evaluate the wis-
dom of those expenses. That’s because
“there is a direct relationship between
For instance, the current economic using the down period in real estate to market presence and market share,” said
downturn is a perfect time to carve out a pursue entitlements for projects so they the head of the Orlando-based agency.
niche in your industry and pick up dis- are ready when the market begins to move,
tressed commercial and residential proper- even though many believe the market Business managers should use the cur-
ties at bargain-basement prices. won’t bottom out for another year. rent market conditions as a chance to “turn
the counters back to zero” and test their
It also could be an opportunity to re-ex- Key No. 2: Sell your way out marketing strategies to determine whether
amine your business model, if experienc- James R. Lumbra Sr., president of LRA they are motivating people to act, he said.
ing trouble, because weaker firms likely Insurance has a slightly different take
will continue to falter. Further, survival on surviving the slow economy. “The Those firms that do spend dollars on
may be pegged on marketing and promo- only way out of this is to sell your way marketing in a down economy will be
tion – an expense often slashed when sales out,” said Lumbra, who expects to record “rewarded” with more presence in the
are soft. between $45 million and $50 million in marketplace, he said, and “applauded for
revenue at his offices in Maitland, Merritt their creativity.” !
The bottom line, experts said, is to Island and Dade City.
do your research and be brave enough to
“pull the trigger” on any deal. Although Lumbra has renewed 93 per- KEY MOVES TO MAKE
cent of his clients, his premium totals fells
Key No. 1: Be ready to move “Keep an eye on distressed properties,
by more than $1 million.
“You always have to be ready for some- because activity will be brisk when the
thing,” said Christopher Hurn, president His answer was to offer $75,000 worth market shows signs of rebounding.” --
and chief executive officer of Altamonte of bonuses to workers to hit higher sales Jules Cohen, shareholder and chair of
Springs-based Mercantile Commercial targets, and to get outside sales representa- bankruptcy group, Akerman Senterfitt law
Capital. tives and office staff “sitting in the same firm
boat grabbing the same oars.”
Hurn has recent firsthand experience in “Give your employees a mission to make
doing just that: He’s part of an investment He also worked on finding ways for up for lost sales.” -- James R. Lumbra Sr.,
group that announced plans last month his workers to network to build more president, LRA Insurance
for a franchising entity for a men’s-only business, and is moving toward opening
“Focus on what you are really good at,
barber club at a time when most retailers a forth location in South Florida. Those
even if it means saying no to perfectly
are pulling back on extension plans and moves are paying off, with about $5 mil-
good business.” – Chris Hurn, president
new launches. lion in new premiums written in the first
and CEO, Mercantile Commercial Capital
quarter. “When we get through this, we
Now is also a good time to pay close want the rest of the industry to say, “Who “Use the slow time to process entitle-
attention to commercial property value, are they and where did they come from?’” ments for development so you are ready
some of which have fallen by nearly 50 when market begins to rebound.” – Jeff
percent in a trinkle-down effect from the Key No. 3: Make sure everybody Wieland, shareholder, Akerman Senterfitt
residential market bust, said Jules Cohen, knows your name law firm
a shareholder who heads the bankruptcy While it may be tempting to cut spend-
group at law firm Akerman Senterfitt. ing for marketing and promotion, when “Evaluate, don’t eliminate, marketing
the economy is slow, don’t move too efforts to maintain your presence in the
Smart investors know a turnaround in marketplace.” – Peter Yesawich, chairman
quickly in that direction, said Peter Yesa-
the residential real estate market eventu- and CEO, YPartnership
wich, chairman and CEO of YPartnership.
ally will drive interest in commercial