Calling all service industry in the UK. Are you struggling too with this media inflicted credit crunch?

Question

We are in the vehicle hire market and business is so quite for this time of year!

Answer 1

Naturally many businesses will suffer through the credit crunch and the reasons are varied and a little convoluted. Yes in a sense the credit crunch is affected by 'hype' but there are some real underlying problems and it is time to get our 'houses' in order and there will be some fallout and some job losses and probably some banks going to the wall....

First off there is a lack of available funds for lending at previous cut rates (ie. the 100% subprime mortgage market), lenders will tighten the reins and it will be more difficult to borrow. This is actually no bad thing, but the previous free flow of borrowed funds around the market will have to cease. The Western economies have been living on borrowed time and borrowed money for some time and it will take at least two years to stabilise.

http://www.thecreditcruncher.com/2008/07...

That said, the market works very much on confidence and that's when the hype can kick only, only this time we will really have to curb spending - Government intervention is futile as the market will find it's own level.

Businesses will have to work harder to generate the sales they are used to, my advice is to get out there and work your client-base before the competition does...