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No founding story is complete without mentioning major turning points for the business. For the founders of <a href="https://www.hereweflo.co/" target="_blank" rel="noreferrer noopener">Here We Flo</a>, one of those “really big deal” moments came in 2019 when they saw their products on the shelves of a Boots store for the first time in London.



Up to that point, co-founders Susan C. Allen and Tara Chandra were mostly running Here We Flo as a side hustle. After raising about £14,000 in a Kickstarter campaign a couple years earlier, the women were slowly building a customer base by convincing local shops and health food stores to carry their period-care products.&nbsp;



Here We Flo is among a number of period-care startups in the past decade—including Cora, Thinx and August—that use organic ingredients or a more frank marketing approach. Whatever unique spin these companies take, they’re all trying to chip away at the three behemoths—Procter &amp; Gamble, Kimberly-Clark and Edgewell Personal Care, which accounted for 78% of U.S. tampon sales in 2023, according to <a href="https://www.euromonitor.com/menstrual-care-in-the-us/report" target="_blank" rel="noreferrer noopener">Euromonitor International</a>.&nbsp;



Landing shelf space at the <a href="https://www.statista.com/statistics/1450622/top-uk-pharmacy-chains-by-total-revenue/" target="_blank" rel="noreferrer noopener">U.K.’s largest pharmacy chain</a>—no small feat, by the way—paved the way for Allen and Chandra to build out Here We Flo and hire its first two employees. The deal also meant Boots shoppers could scoop up an alternative to the likes of Tampax, Playtex, Kotex, and o.b.: a bright pink, ice cream tub-shaped package filled with 100% organic cotton tampons.&nbsp;



Playful packaging may help attract the eye of some shoppers, while fine-print details are the selling point for others. The company <a href="https://www.hereweflo.co/blogs/the-vagenius-diaries/how-we-give-back-at-here-we-flo" target="_blank" rel="noreferrer noopener">donates 5% of all profits to charity</a> from sales of its range of products—tampons, pads, period pants and condoms—that are all organically-sourced and sustainably packaged. The founders like to have fun, even in the pursuit of these environmental and social commitments, but they’re also chasing a more serious mission: To change conversations about feminine health and sexual wellness, stamping out any shame or stigma, so the next generation has a different experience when encountering life’s messiest moments.



<h2 class="wp-block-heading" id="h-here-we-flow-changed-the-age-old-conversation">Here We Flow changed the age-old conversation</h2>



“We want to make people laugh, then we want to make them think and then hopefully that'll sort of set them up to have a conversation,” Allen says. “It's having those conversations that’s really going to change the way society views these things.”



Conversations have always been at the heart of Here We Flo. During a break in-between classes at the London School of Economics in the mid-2010s, the duo were chatting about business ideas—where else but the bathroom—when inspiration struck. While Allen wanted to start the feminist mafia—like the PayPal mafia but better, she says—Chandra had a more tangible problem: The San Francisco native was having trouble finding organic tampons in London, a city replete with other natural fare.



That’s no longer a challenge for other women. Last year, Here We Flo sold nearly 2 million products across its various product lines: Flo (organic period care), Glo (sustainable bladder care) and XO! (eco-friendly vegan condoms). You can find the products seemingly everywhere, including Amazon, Target, Walmart, Whole Foods, Sprouts, Tesco and WHSmith, along with the bathrooms of the BBC, WeWork and Netflix offices.



Some key partnerships and accolades have helped the brand grow in recent years. Here We Flo recently teamed up with Netflix on a co-branded line of period-proof underwear. Then in 2022, the company debuted a 30-second TV commercial—dubbed <a href="https://www.youtube.com/watch?v=0J4PkAhW3Sk" target="_blank" rel="noreferrer noopener">“No More Period Drama”</a>—after it was named the Grand Prix winner of the inaugural Sky Zero Footprint Fund, which came with a £1 million budget for advertising on the British broadcaster. In 2023, the company was named a <a href="https://www.bcorporation.net/en-us/find-a-b-corp/company/here-we-flo-ltd" target="_blank" rel="noreferrer noopener">Certified B Corporation®</a> in recognition of its social and environmental impact. And this year, its products were featured in the first-ever period care display at Whole Foods.



Key partnerships—like the one with Netflix—have given the company more clout and brand recognition, Allen notes. Armed with a “very tiny” budget, Allen has overseen a marketing strategy defined by a voice she describes as funny, feminist and fierce. “That brand voice has really resonated with our customer, who we lovingly call ‘the genzennial,’ as well as their parents that are shopping for young Gen Z and Gen Alpha.”



<h2 class="wp-block-heading" id="h-earning-trust-on-social-media-via-transparency-and-authenticity">Earning trust on social media via transparency and authenticity</h2>



While success has come via a mix of hard work, luck and timing, <a href="https://successcom.wpenginepowered.com/6-tips-for-rapid-social-media-growth-in-2022/">social media has played an important role in growing the brand</a>. Here We Flo has consistently seen high engagement on social media—where followers number about 40,000 across Instagram, TikTok and LinkedIn—where you’re as likely to see posts celebrating the company’s milestones as you will find meme-worthy posts, shoutouts to trailblazing women who inspire the minority-led team and primers on more serious topics like cervical cancer.&nbsp;



“I’m proud to say everything that we have done has always been authentic, and we tried to move as transparently as possible so I think that our customers and community are able to grow with us,” Allen says. While the team is trying to change the narrative—one pinned Instagram post advocates people stop using the words “hygiene” and “sanitary” in reference to menstrual care—they also listen to conversations happening online.&nbsp;



Those conversations have become “much more raw, honest and organic” in the past decade, which has led to a notable shift in how companies market feminine care products, notes Olivia Dreizen Howell, who founded the marketing agency March Lion Media in 2013. Social media storytelling has unleashed a whole new marketing methodology that draws on vulnerability and honesty—and she’s done the same in building her divorce registry business, <a href="https://www.freshstartsregistry.com/" target="_blank" rel="noreferrer noopener">Fresh Starts Registry</a>, by sharing “raw and honest” stories, including about her divorce.



“Marketers quickly realized that the best way to sell to women was to gain their loyalty on social media,” Howell says. “Once consumers felt seen and heard, and they could relate to what the influencer or ad was saying, they found themselves more likely to purchase the product.”



<h2 class="wp-block-heading" id="h-ensuring-customers-feel-valued-and-heard-as-the-brand-evolves">Ensuring customers feel valued and heard as the brand evolves</h2>



Making sure that consumers feel seen and heard has also been a core value at Here We Flo. <a href="https://successcom.wpenginepowered.com/feedback-take-it-or-leave-it-but-dont-defend-yourself-against-it/">Feedback</a> from customers has allowed the company to learn as it has grown, Allen says, and they’ve even made some tweaks, including changing the composition of combo packs, as a result. And you may see Here We Flo popping up in the comments section to respond to negative feedback.



Additionally, some younger customers have been a driving force in demanding transparency on its organic and sustainability commitments—or, as Allen puts it, “verifying our integrity as a brand.”&nbsp;



For Here We Flo, the founders are looking ahead to new opportunities to grow. Some seven years into business, it remains scrappy and lean—the current headcount is 12—and Allen says the company has consistently been “punching above its weight.”



With plans to raise money from institutional investors soon, Allen is looking forward to growing the team—and her marketing budget. Still, Here We Flo is making traction as a challenger brand, particularly in the U.K., and is on a quest to gobble up market share from its much larger competitors.&nbsp;



“My dream is to be everywhere corporate period care is,” Allen says.



Photo courtesy of Here We Flo

Feminine hygiene company Here We Flo leveraged humor and honesty while building their business—and successfully broke into a crowded market.

Feminine hygiene company Here We Flow leveraged humor and honesty while building their business—and successfully broke into a crowded market. | SUCCESS

How Humor and Honesty Have Helped Here We Flo Break Into a Crowded Marketplace

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How Here We Flo Broke Into a Crowded Marketplace | SUCCESS

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Anna-Louise Jackson

StretchLab flexologist uses technology to stretch a client

Your dog or cat probably does it every morning and after rousing from a long nap: a long, deep stretch, the type that’s inspired the names of yoga poses. We humans mostly stretch as a quick pre- or post-workout activity, though we have something to learn from our four-legged friends.



Studies have shown that regular stretching has proven benefits ranging from increased flexibility and range of motion to improved blood flow and injury prevention. One fast-growing company, StretchLab, is helping athletes and non-athletes alike learn how to incorporate stretching into their routines so they can move their bodies better. If you haven’t already spotted a StretchLab location near you, you may soon. <a href="https://www.stretchlab.com/" target="_blank" rel="noreferrer noopener">The company</a> is growing fast and has opened more than 900 locations worldwide since it was founded in 2015.



In a famously active state like Colorado, clients have plenty of different stretching needs to keep the licensed “<a href="https://www.stretchlab.com/flexologist-training-program" target="_blank" rel="noreferrer noopener">flexologists</a>” busy at the three Denver-area StretchLab studios owned by Andrea Schott and her husband, Trey. During one-on-one assisted stretching—or the occasional group session—these flexologists might help recreational skiers, snowboarders, golfers and pickleball players prepare for their seasons or recover from injury. They also help competitive ice skaters, gymnasts and bikers who want to progress in their careers. But there are plenty of people who have more relatable goals, like improving flexibility for their fitness routine, bending down to tie their shoes with more ease or feeling less achy when playing with their grandkids.



“There's just so many ways that we can touch people's lives and <a href="https://successcom.wpenginepowered.com/embrace-what-makes-you-different/">make an impact</a>,” says Schott, whose background is in physical therapy and athletic training. “When you don't have mobility or your full mobility or you have some pain or something that's limiting your activity, life kind of stops. And you don't have to live that way.”



<h2 class="wp-block-heading" id="0-what-is-stretchlab">What is StretchLab?</h2>



Unlike other fitness studios, the environment at StretchLab is intentionally calming and interactive, though it sometimes takes people a few sessions to “melt into the stretch,” Schott says. Most people enroll in assisted stretching sessions for at least three months at her studios, with some attending for more than a year. Success looks different depending on a client’s goals, and Schott says one of the most gratifying experiences has been helping a professional cellist return to performing in area orchestras.



That cellist is Andrea Meyers, who has attended 340-plus stretching sessions since 2020. Like many people, stretching was mostly something she did alongside regular workouts. But her perception of the benefits of stretching profoundly transformed after she could no longer play cello or conduct orchestras in the wake of her 2016 breast cancer diagnosis—and a double mastectomy and subsequent medical treatments that followed thereafter.



“Music, particularly playing the cello, had always been my source of strength and liberation,” Meyers says. “However, the trauma and depression that followed the diagnosis made even the simple act of lifting my cherished instrument seem insurmountable.”



<h2 class="wp-block-heading" id="1-the-benefits-of-stretching%E2%80%94beyond-being-a-pre-workout-activity">The benefits of stretching—beyond being a pre-workout activity</h2>



Meyers sought out StretchLab as part of a holistic approach to her cancer recovery because she wanted to explore a more comprehensive and specialized technique for stretching. Within a month of consistent assisted stretching, she was performing with more ease, greater confidence, less pain and more mobility.&nbsp;



Though it’s been more than seven years since her initial diagnosis, Meyers continues with assisted stretching even now that doctors have deemed her cancer-free. “Consistently incorporating these stretches into my routine not only brings <a href="https://successcom.wpenginepowered.com/whats-most-important-sleep-exercise-or-diet/">physical benefits</a>, but also provides a sense of empowerment and control, making stretching a cornerstone in my journey of recovery and allowing me to maintain a fulfilling and active lifestyle,” she says.&nbsp;



For Schott, seeing the type of impact stretching has had on Meyers—restoring a passion that cancer had seemingly taken away—is one of the “really great” parts of her job. And unlike her former life, Schott says StretchLab offers dedicated time just for stretching, which many physical therapists have to forgo and assign as homework instead.&nbsp;



<h2 class="wp-block-heading" id="2-stretchlab-is-spreading-the-word-on-stretching">StretchLab is spreading the word on stretching</h2>



Relationships with other health providers including physical therapists, athletic trainers and even stores like <a href="https://www.fleetfeet.com/" target="_blank" rel="noreferrer noopener">Fleet Feet</a> help spread the word about the benefits of a dedicated stretching practice, Schott says. And some insurance companies are beginning to extend their policies to cover a few sessions each month. Otherwise, sessions at Schott’s locations start at $29 for a first-timer in a 25-minute session or $49 for a 50-minute session. Subsequent sessions are $60 or $105-plus.&nbsp;



Still, she hopes people see the value of stretching in the context of <a href="https://successcom.wpenginepowered.com/what-good-self-care-looks-like/">self-care</a> and wellness as an opportunity to learn how to better move the “amazing machine” that is their body. Helping people walk out of the studio feeling better than when they came in is the goal.&nbsp;



“We love what we do because <a href="https://successcom.wpenginepowered.com/defining-your-purpose-living-with-intention/">we can impact lives</a>,” Schott says. “And if you can do a job like that every day, it makes you feel pretty good at the end of the day.”&nbsp;



Photo courtesy of StretchLab Colorado.

Have you noticed StretchLab new locations near you? Well, there’s good reason for it. Learn about the successful new stretching gym today.

Have you noticed StretchLabs opening everywhere? Well, there’s good reason for it. Learn all about the successful new stretching gym today. | SUCCESS

StretchLab Is Taking Stretching from a Pre-Workout Activity to Part of a Holistic Wellness Regimen

How StretchLab Is Taking Stretching Beyond Exercise | SUCCESS

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Hello Alice Founders Carolyn Rodz and Elizabeth Gore

Falling down a rabbit hole in pursuit of an elusive white rabbit is the first of many fantastical experiences for a young girl in Alice’s Adventures in Wonderland. A journey filled with unexpected events is an apt comparison for what many small business owners encounter in entrepreneurship. That’s why Carolyn Rodz and Elizabeth Gore drew inspiration from the classic book when launching Hello Alice, a small <a href="https://helloalice.com/" target="_blank" rel="noreferrer noopener">business platform that connects entrepreneurs with financing opportunities</a> and facilitates a supportive, like-minded community. Like the fictional Alice, they’ve also experienced some “curiouser and curiouser” events in their founding journey.



A tent atop a mountain, rather than a rabbit hole, marked the beginnings of Hello Alice. During a conference in 2015, the future co-founders started talking about a mutual passion to address the problem of equity in the small business space. They only loosely knew one another then, despite much overlap—both women grew up in Houston, graduated from Texas A&amp;M University and have connections to Bolivia. (Rodz was born there; Gore spent time there while in the Peace Corps).



Disparate journeys ultimately brought the co-founders to the same place. Rodz was a two-time entrepreneur who had most recently launched a virtual accelerator for <a href="https://successcom.wpenginepowered.com/how-women-are-rising-in-business/">female founders</a>. Gore worked for the United Nations for nearly a decade, including on the UN Foundation’s Global Entrepreneurs Council, before becoming an entrepreneur-in-residence at Dell Technologies.&nbsp;



Their different perspectives quickly aligned. “Both of us saw this incredible opportunity to build more equity and more efficiencies into the small business ecosystem and how that benefited every stakeholder,” Rodz says.



<h2 class="wp-block-heading" id="h-what-is-hello-alice-moms-raising-babies-and-growing-a-business">What is Hello Alice? Moms raising babies and growing a business</h2>



Come 2016, Hello Alice was in its infancy, and Rodz and Gore were second-time moms to new babies. They were bootstrapping the company when they got an opportunity to build out the costly data infrastructure for the platform at a lab backed by Michael Dell, the billionaire tech mogul. The problem? They needed to be in San Francisco; Gore lived two hours north of the city, but Rodz was hundreds of miles away in Houston.



“I knew Carolyn—not that well—[and] I was like, ‘Well, you could move in with me, and we could commute down to the city together,” Gore says.



Thus began a six-month adventure that saw the Rodz and Gore families living together while the co-founders shared a babysitter and swapped caretaking and business-building duties. Six days a week, one or both of them would board a $7 bus to San Francisco, often departing around 5 a.m. so they could make it back by bedtime with the kids.



“That time was full of <a href="https://successcom.wpenginepowered.com/motherhood-and-solopreneurship/">motherhood</a> and fighting for capital and building and excitement and tears—and it was incredible,” Gore says. While she describes it as “the craziest time,” the experience also showed they could work together to build a successful company.



<h2 class="wp-block-heading" id="h-success-in-shared-values">Success in shared values</h2>



That time together also meant the co-founders really got to know each other. Rodz describes the duo as having “a certain chemistry,” while Gore likens their partnership to a marriage, with highs, lows and a decision to stick together because of a strong foundation of shared values. They even play off each other’s attributes: Rodz is the visionary and a night owl, whereas Gore is the executor and a morning person.



The women quickly aligned on core values for growing Hello Alice and developed a deep admiration for each other. “I think it’s evident when you meet Elizabeth and myself how much we really value the other, and we’re constantly reminding each other of how much we value the other,” Rodz says.



But a successful business requires more than a <a href="https://successcom.wpenginepowered.com/this-is-my-key-to-a-successful-partnership/">successful partnership</a>.



Since its founding, Hello Alice has grown to serve 1 million-plus entrepreneurs—an achievement they hit much sooner than the co-founders expected, prompting them to revise their “north star” to 2 million entrepreneurs, Gore says. Now valued at more than $100 million—bigger than some small banks—the company’s goal is to be profitable within the next year or so, she adds, though they prefer to measure the company’s success as a by-product of the success of its small business community.



The company has a few different ways of trying to achieve its goal of helping build the healthiest, strongest and most sustainable businesses, Rodz says. The platform connects entrepreneurs with financing resources via credit, grants and loans, and fosters a collaborative community of small business owners who support one another.



<h2 class="wp-block-heading" id="h-hello-alice-small-business-pioneers">Hello Alice: Small business pioneers</h2>



In April, the company debuted a new feature: the <a href="https://helloalice.com/bhs/" target="_blank" rel="noreferrer noopener">business health score</a>. This is designed to help small business owners prepare for long-term success and allows Hello Alice to offer tailored information as a business’ health score changes. Hello Alice uses this information to track the health of its user base, and it also measures its business with the tool, Rodz notes.



Still, like any adventure, there have been surprises along the way. Gore chalks up lessons learned that include spending too much time raising venture capital rather than focusing on sales and hiring too slowly and not firing fast enough. Meanwhile, Rodz says it took them a bit to find their lane in the small business space. Although she’s learned something at every stage of Hello Alice’s journey that she strives to share with their community—from how to effectively manage a team to how to scale technology—some of her best teachings came from her first business that ultimately failed.



One challenge that persists for both Hello Alice and its community of small business owners is access to capital. As Rodz learned following her prior business pursuits, even the same entrepreneur can have very different experiences, based on their knowledge and access to resources, she says.



And that means there’s still more work to do to support small businesses. “I would like to be seen as a <a href="https://successcom.wpenginepowered.com/disruptors-and-innovators-what-is-a-disruptor-in-business">full disruptor</a>—that we stomped out the predatory credit industry, that we have provided the appropriate commercially valuable tools, that that industry just dies away because we are a better alternative to that,” Gore says.&nbsp;



<h2 class="wp-block-heading" id="h-why-technology-is-at-the-core-of-hello-alice">Why technology is at the core of Hello Alice</h2>



Providing equal access to funding to small business owners previously left out of the conversation is core to Hello Alice—but it wouldn’t be possible without technology. The company’s free platform is powered by machine-driven technology that helps entrepreneurs access credit, loans and grants.



It was while running a small business accelerator prior to launching Hello Alice when inspiration struck Rodz. Even though she and her colleagues were repeatedly answering the same types of questions, solving the same problems and connecting entrepreneurs with the same types of resources, there weren’t one-size-fits-all answers. Rather, solutions varied based on things such as where entrepreneurs were located and the type of company they were running.



“That’s when a lightbulb went off,” Rodz says. <a href="https://datasmart.hks.harvard.edu/disruptive-public-technology-and-need-embrace-it" target="_blank" rel="noreferrer noopener">Utilizing technology</a> could help tailor responses from a limited subset, based on an owner’s personal or business profile, making the experience more efficient and scalable, she adds. But there are still daily reminders that make their work both gratifying and satisfying—such as when a small business owner emails to share good news about information they found via Hello Alice.



“I think I have one of the greatest jobs in the world,” Rodz says. “This is work that absolutely has to be done.”



<h2 class="wp-block-heading" id="h-the-value-of-believing-in-your-mission-nbsp">The value of believing in your mission&nbsp;</h2>



Gore and Rodz founded a for-profit company driven by a mission to ensure every entrepreneur in the “new majority”—women, people of color, members of the LGBTQ+ community, veterans and people with disabilities—has access to funding, networks and services to grow their small business. That mission may not seem so radical now, but the co-founders were trying to address issues in small business equity even before some major cultural events shifted the dialogue in their favor.



That’s because Hello Alice predates the #MeToo movement in 2017 that sparked conversations about gender equity, the murder of George Floyd in 2020 that ignited more frank discussions about racial inequities and the COVID-19 pandemic that highlighted the need for small businesses. “I don’t like saying we were right because we didn’t know all that was coming,” Gore says.



“We’ve been here for a long time,” Rodz adds. “We were in the totally wrong place at the wrong time for years, but we believed in our mission and we knew there was value, and we knew everybody stood to benefit if we could just make it happen. And it’s been incredible and rewarding to see resources open up, but I think the idea that any part of that journey was easy is very untrue.”



<h2 class="wp-block-heading" id="h-despite-pressure-hello-alice-stays-true-to-their-cause">Despite pressure, Hello Alice stays true to their cause</h2>



Part of <a href="https://successcom.wpenginepowered.com/good-leadership-stems-from-finding-your-purpose/">believing in their mission</a> also meant proving Hello Alice was a viable for-profit company, even though they were getting pushed in those early days to structure as a nonprofit, Rodz notes. “If small business owners succeed, governments succeed, corporations succeed, all of the vendors selling into these small business owners succeed, certainly the small business owners succeed,” she says. “Surely, there was a piece of that pie to generate a profitable business entity from.”



As for where Hello Alice may prove to be an early leader once again, Rodz is focused on how the company can help build a more equitable and transparent underwriting process. Doing so will address a core fundamental problem, which is that banks and venture capitalists continue to rely on “incredibly limited” data to make underwriting decisions that often ignore qualitative attributes such as an entrepreneur’s scrappiness or leadership abilities.



Photo by ©Cayce Clifford/courtesy of Hello Alice.

Learn how Hello Alice co-founders Carolyn Rodz & Elizabeth Gore brought two different perspectives together to address small business equity.

Learn how Hello Alice co-founders Carolyn Rodz & Elizabeth Gore brought two different perspectives together to address small business equity. | SUCCESS

Hello Alice Co-founders Carolyn Rodz and Elizabeth Gore Are Fueling the Small Business Ecosystem

Hello Alice Wants Your Small Business to Succeed—Here’s How | SUCCESS

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A business woman on a rooftop with the city in the background embracing failure and looking up towards the sky

Personal Development

Personal Development Archives

Personal Development | SUCCESS | What Achievers Read

Erin Diehl is on a mission to share a simple message: Failure is OK.&nbsp;



Letting go of your perfectionist tendencies and feeling free to make mistakes can help you innovate and ultimately achieve more success and happiness. If even a few people in an audience of hundreds walk away from one of Diehl’s keynote speeches armed with this new perspective on failure and a toolkit to apply tangible learnings to their lives, then she’s done her job. “My purpose in this mission is to make people feel less alone in their own journey with failure,” she says.



Diehl’s journey to becoming a self-described “fail-fluencer” follows stints working in marketing and recruiting, along with several years performing in Chicago’s improvisational comedy scene. Humor can be a powerful way to forge connections. It's core to the team-building and professional development programs of <a href="https://www.learntoimproveit.com/" target="_blank" rel="noreferrer noopener">Improve It!</a>, the company she founded and heads as CEO. And you’ll hear Diehl laugh easily and regularly during the hundreds of episodes of the <a href="https://www.learntoimproveit.com/podcast" target="_blank" rel="noreferrer noopener">Improve It! podcast</a> that she hosts.



<h2 class="wp-block-heading" id="h-what-we-can-learn-from-embracing-failure">What we can learn from embracing failure</h2>



Whatever the forum, Diehl—whose roster of clients includes Walgreens, Amazon Web Services, U.S. Cellular, LinkedIn, the University of Chicago Booth School of Business and the Obama Foundation—tries to give people “the gentlest nudge” to get out of their comfort zone. Improv’s experiential approach is useful because one of its core principles is an apt metaphor for life—the idea that there are no mistakes, only gifts. “If we constantly look at things that may be deemed <a href="https://successcom.wpenginepowered.com/the-silver-lining-of-every-failure/">failures</a> in our life as failures, we haven't learned the lesson,” she explains.



To teach these lessons, Diehl draws on personal experience. “I've had so many instances in my life where I've had to be resilient and bounce back from failure and do it quickly,” she says. “Through those lessons, I have learned tips and tricks that, if I kept [them] to myself, I would feel wrong doing.”&nbsp;



<h2 class="wp-block-heading" id="h-erin-diehl-s-lessons-from-covid-era-failures">Erin Diehl’s lessons from COVID-era failures</h2>



Audiences may not receive these tips and tricks quite so well today were it not for the COVID-19 pandemic. At the onset of the crisis, Diehl remembers hearing many people—particularly women—lament they were failing in their personal or professional lives. Her approach to talking about failure now was influenced by that period because she wanted to create the type of message she needed to hear back then. She reckoned it would resonate with other “recovering” people-pleasers and <a href="https://successcom.wpenginepowered.com/the-secret-to-ending-perfection-paralysis/">perfectionists</a> who might benefit from reimagining how they perceive setbacks.&nbsp;



“What I really think failure teaches us is to stop looking outwardly for validation,” she says. Rather, an inward evaluation of why you seek validation and what motivates you will “teach you more than getting a trophy, a certificate or an accolade.”



<h2 class="wp-block-heading" id="h-how-to-move-on-from-failure">How to move on from failure</h2>



But even the teacher needs to be reminded of her lessons. Diehl is still healing from a recent accident that she’s termed a failure. In May, while vacationing in Costa Rica with friends, she jumped off a 40-foot cliff into a waterfall and hit her head on the water. It was only after Diehl began experiencing a range of health problems that she learned she had suffered a concussion. Doctors diagnosed her with post-concussion syndrome.&nbsp;



“I beat myself up about that jump for a really long time—a really, really long time,” Diehl says. Finally, she recognized it was time to take her own advice, and she began to work through six steps she teaches about how to move on from failure. Here’s how the “move on method” works:&nbsp;&nbsp;



<h3 class="wp-block-heading" id="h-erin-diehl-s-move-on-method">Erin Diehl’s ‘Move On Method’</h3>



<ul>
<li>M—Marinate. “When you have a failure, you have to give yourself time to process and heal from that failure,” Diehl says. Marinating doesn’t happen overnight; it can take weeks or months or even years. But it’s important to “sit in the suck” and feel the emotions brought on by failure. Ignoring these feelings can lead to other problems, like stress-induced physical pain.</li>



<li>O—Own it. After sufficient marination, you need to take ownership for your part in the failure. “And the most important piece in owning it is forgiving yourself for what you might have done in that failure.”&nbsp;</li>



<li>V—Verify lessons learned. This is your opportunity to assess at least two to three things you’ve learned from this particular failure that will serve as a takeaway.</li>



<li>E—Evaluate next steps. By this point, Diehl says many people have already healed in some way, shape or form, but an action plan is helpful so you can course-correct. “Because there was a reason this failure happened, you have to take that lesson and apply it.”</li>



<li>O—Ohm. This stage entails sitting in a <a href="https://successcom.wpenginepowered.com/how-to-use-meditation-to-reduce-anxiety/">meditative state</a> and processing what you’ve learned and how you’re going to apply those lessons in the future, Diehl says. That’s important to do so you’re queued up for your…</li>



<li>N—Next failure. More failure awaits you, she says, but going through this method will make you better prepared when that happens.</li>
</ul>



Going through these steps, Diehl realized that the waterfall accident was no accident; it was meant to teach her some important lessons. Not only was her fast-paced approach to life unsustainable, but as a mom, business owner and speaker, her obligations to others outweigh her tendency to appease.&nbsp;



<h2 class="wp-block-heading" id="h-how-redefining-and-embracing-failure-can-redefine-success">How redefining and embracing failure can redefine success</h2>



As a result, Diehl has made some radical life changes, particularly in her approach to how she prioritizes work and the people in her life. She’s takes more breaks during the day, practices a <a href="https://successcom.wpenginepowered.com/why-self-love-is-important-and-how-to-practice-it/">self-care routine</a> and sets strict boundaries on her hours. Later this year, her team will experiment with a four-day workweek.&nbsp;



“A successful day to me looks completely different now,” she says. “I have found a sense of inner peace that I would have never known without that ‘failure.’”&nbsp;



More broadly, Diehl is optimistic that the narrative around failure in the workplace could also start to look completely different. “Great leaders see the value in embracing failure” she says. Benefits include improved retention and morale if people aren’t so scared to make mistakes.&nbsp;



“Failure means that they're trying and failure means that they're innovating,” she says. “If we allow this culture of acceptance, we allow people to feel like they're seen and they're heard and they're valued.”



But some type of failure is inevitable—be it societally recognized ones like losing your job or personal ones like accidents. That’s why Diehl wants to share her fail-fluencing mentality as a way to achieve success. By letting go of control, you can move out of a state of stagnancy and be freed up to embrace an abundance of ideas—and each other. “We need more love and less criticism and cynicism.”&nbsp;



Photo by Dirima/Shutterstock.com

A recent setback for Erin Diehl has been a pertinent reminder of the lessons she teaches others about how to embrace failure.

A recent setback for Erin Diehl has been a pertinent reminder of the lessons she teaches others about how to embrace failure. | SUCCESS

Why Erin Diehl Is Comfortable Embracing Failure (And You Should Be Too)

How to Embrace Failure with “Fail-fluencer” Erin Diehl | SUCCESS

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employee sitting on concrete steps working on her laptop

Future of Work

Future of Work Archives

Future of Work | SUCCESS | What Achievers Read

When Sara Davenport realized her workplace was making her miserable and taking a toll on her mental health, she faced a difficult dilemma. The then-TV anchor couldn’t just swap one TV station for another; rather, a strict noncompete clause limited her career choices. To continue pursuing her dream job, Davenport needed to stop working for an entire year to remain in the Houston market or she would be forced to once again uproot her family, including four school-aged children, to take a job in a different area.



Davenport recalls feeling trapped as she struggled to figure out how to navigate this crossroads in her career. She ultimately decided to leave the industry altogether to <a href="https://successcom.wpenginepowered.com/what-i-wish-i-knew-about-entrepreneurship-before-i-got-started/">pursue entrepreneurship</a>. Although she’s happy in her new career, Davenport still wonders about what might have been, had she not been subject to that noncompete clause—an inherent feature of most employment contracts in TV news. “It massively affected the direction of my career and the next decade of my life,” she says. “If I did not have a noncompete, I would not have left the industry I was so excited to be a part of for so many years.”



<h2 class="wp-block-heading" id="h-bound-by-noncompete-clauses">Bound by noncompete clauses</h2>



The type of predicament Davenport faced is one that millions of American workers may encounter at some point in their careers, in roles ranging from hair stylists to health care professionals, fitness instructors and security guards. In fact, about <a href="https://www.ftc.gov/legal-library/browse/federal-register-notices/non-compete-clause-rulemaking" target="_blank" rel="noreferrer noopener">one in five workers</a> are bound by a workplace noncompete clause that restricts their employment options, according to estimates by the Federal Trade Commission (FTC).



But change could be on the horizon. President Joe Biden issued an <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2021/07/09/fact-sheet-executive-order-on-promoting-competition-in-the-american-economy/" target="_blank" rel="noreferrer noopener">executive order</a> in 2021 calling on the FTC to ban or limit noncompete agreements, and this January, the commission <a href="https://www.ftc.gov/news-events/news/press-releases/2023/01/ftc-proposes-rule-ban-noncompete-clauses-which-hurt-workers-harm-competition" target="_blank" rel="noreferrer noopener">proposed a new rule</a> to prevent employers from entering into new noncompete clauses and to rescind existing ones.&nbsp;



Meanwhile, other government agencies have been tackling the thorny issue of noncompete clauses. They’re <a href="https://www.shrm.org/resourcesandtools/legal-and-compliance/employment-law/pages/states-restrict-noncompetes.aspx" target="_blank" rel="noreferrer noopener">banned in four states</a>—California, Minnesota, North Dakota and Oklahoma—while other states have enacted a variety of restrictions for these clauses, including compensation thresholds, according to the Society for Human Resources Management. And in May, Jennifer Abruzzo, general counsel of the National Labor Relations Board (NLRB), <a href="https://www.nlrb.gov/news-outreach/news-story/nlrb-general-counsel-issues-memo-on-non-competes-violating-the-national" target="_blank" rel="noreferrer noopener">issued a memo</a> outlining her view that noncompete clauses are unlawful.&nbsp;



Keeping up-to-date on noncompete clauses requires employers and employees to track developments in state governments, while the FTC examines whether these clauses are an unfair method of competition, and the NLRB looks at the impact on workers, notes Wendy LaManque, a labor and employment attorney based in the New York City area. What’s clear, however, is that “a very interesting shift” is underway, she says. “The writing is kind of on the wall right now: Noncompetes are going out of favor.”



<h2 class="wp-block-heading" id="h-why-some-employers-favor-noncompete-clauses">Why some employers favor noncompete clauses</h2>



Noncompete clauses have existed in some form for hundreds of years, though they became a popular retention tactic more recently among a wide variety of employers. These clauses place restrictions on the time frame and proximity with which workers can enter into competition with their former employer.&nbsp;



There are legitimate business cases to be made for employers to enforce noncompete clauses, in that they may help to protect trade secrets, LaManque notes. But many employers also see these clauses as an opportunity to reduce the probability (and related costs) of employee turnover. This may, in turn, help companies justify paying for costly training or other expenses to retain their workforce, she adds.



In TV news, for example, a station might justify noncompete clauses for on-air talent because it heavily promotes the TV lineup in advertising to appeal to viewers, Davenport says. But off-air news personnel are often subject to the same clauses. This type of one-size-fits-all approach is often cited as problematic by the people who oppose noncompete agreements—and is similarly a reason why employers oppose an across-the-board ban.



Several trade groups openly denounced the proposed ban on noncompetes, including the <a href="https://www.uschamber.com/finance/antitrust/the-ftcs-noncompete-rulemaking-is-blatantly-unlawful">U.S. Chamber of Commerce</a>, the <a href="https://www.aha.org/lettercomment/2023-02-22-aha-comments-ftc-proposed-non-compete-clause-rule">American Hospital Association</a> and the <a href="https://www.nam.org/nam-to-ftc-noncompete-rule-would-harm-manufacturers-20561/?stream=policy-legal">National Association of Manufacturers</a>. These groups cited concerns about the potential damage of a ban to their respective industries, highlighted the value these clauses provide in promoting innovation and competition, and even questioned the FTC’s legal authority to enforce such a ban.&nbsp;&nbsp;



<h2 class="wp-block-heading" id="h-why-noncompetes-can-be-problematic-for-employees">Why noncompetes can be problematic for employees</h2>



Not surprisingly, proponents of a noncompete clause ban have been equally vocal. Davenport wrote a letter to the FTC expressing her support of the proposal, citing her own experience along with other people working in TV news who have similarly struggled with the challenges a noncompete presents. “This clause literally affects peoples’ lives,” she says, adding that it’s more harmful to women than men, in her experience—a claim backed up by <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3455381" target="_blank" rel="noreferrer noopener">research studies</a> that show these agreements exacerbate gender and racial wage gaps.



What’s more, forcing people to choose between their personal and professional lives may leave them with “massive regret” about the choice they must ultimately make, Davenport says. “It really limits your ability to leave a <a href="https://successcom.wpenginepowered.com/how-to-recognize-and-prevent-toxic-work-environments/">toxic work environment</a> or a low-paying job or terms and conditions that aren’t working for you anymore,” LaManque adds.



Equally problematic is that these clauses may not take into account the nuances or realities of many roles. Many workers subject to noncompetes may not be privy to trade secrets, or their day-to-day contributions don’t directly dictate a company’s success, LaManque says. As such, non-competes may reflect workplace power dynamics rather than an effort to preserve legitimate business interests, she adds.



Combined, the restrictive nature of noncompete clauses ultimately hampers economic growth, according to proponents of a ban. The FTC estimates that a noncompete clause ban would increase earnings for American workers by between $250 billion and $296 billion each year.



<h2 class="wp-block-heading" id="h-what-employers-and-employees-need-to-know-now">What employers and employees need to know now</h2>



For employers and employees alike, it’s business as usual with respect to noncompete clauses unless relevant state law has changed, according to LaManque. But now may be a good opportunity for both camps to understand what types of agreements are currently in place.&nbsp;



LaManque recommends that employers explore alternative ways to protect their legitimate business concerns currently covered by noncompete clauses. She also suggests they be aware that whatever prohibitions employees are subject to may be struck down as a noncompete clause, even if not termed as such. Companies may consider less restrictive measures that promote employment longevity, including <a href="https://successcom.wpenginepowered.com/perks-employees-want-at-work/">incentives to stay</a> rather than punishments for leaving, she adds.&nbsp;



Unless the FTC enacts a ban, employees will continue to have little recourse. Employers can enforce noncompete clauses even if you are <a href="https://successcom.wpenginepowered.com/how-to-negotiate-severance/">fired without cause</a>, which is why LaManque recommends anyone who is subject to such an agreement to consult with a labor attorney to better understand your obligations and options, especially if you weren’t aware of the clause when you signed your employment contract.



As Davenport learned, while TV stations might negotiate on other terms of a contract, noncompetes were an “absolute non-negotiable.” So rather than sitting out of work for a year, moving locations or contemplating the daunting (and costly) idea of waging a legal fight with her then-employer, Davenport ultimately finished out her work contract and started focusing on a post-news career that now includes mentoring other journalists on their careers and navigating noncompete clauses.&nbsp;



<h2 class="wp-block-heading" id="h-is-a-noncompete-clause-ban-on-the-horizon">Is a noncompete clause ban on the horizon?</h2>



Proponents and opponents of noncompetes have something in common: They must wait for a decision by the FTC. And that may not come until <a href="https://news.bloomberglaw.com/antitrust/ftc-expected-to-vote-in-2024-on-rule-to-ban-noncompete-clauses" target="_blank" rel="noreferrer noopener">April 2024</a>, according to reporting by Bloomberg Law. Even if the FTC ultimately strikes down noncompete clauses, expect this debate to continue. “There’s a lot of speculation already that the FTC will be challenged in court,” LaManque says.



While Davenport is hopeful the FTC “makes the right call” to ban these clauses, she also wants employers to recognize how harmful they are for employees who are forced to stick it out in jobs that make them miserable in lieu of leaving for something better—which would ultimately be a win-win for both sides. “We should have the right to work, period. We should have the right to earn money, period.”

The Federal Trade Commission proposed a noncompete clause ban, which could introduce countless benefits for employees. Here's what to expect.

The Federal Trade Commission proposed a noncompete clause ban, which could introduce countless benefits for employees. Here's what to expect. | SUCCESS

A Noncompete Clause Ban Is on the Table—Here's What Employees Should Know

A Noncompete Clause Ban Is on the Table—Here&#8217;s What Employees Should Know

A Noncompete Clause Ban Could Be on the Horizon | SUCCESS

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black and white picture of the Wall Drug storefront, a business that has learned how to survive a recession

Millions of Americans were unemployed, a spate of bank runs swept the country, drought and dust storms ravaged the state—and yet none of that dissuaded one couple from opening a drugstore in a small South Dakota town in December 1931. Almost a century later, that store with humble beginnings has grown into one of the most iconic roadside attractions in the U.S.



Ted and Dorothy Hustead answered the call of entrepreneurship during the Great Depression. Wall Drug was by no means an overnight success, and the couple gave themselves five years to see out their vision as they awaited the completion of Mount Rushmore and, hopefully, a wave of tourists.



Those tourists started arriving—but not as customers. “There was a lot of talk about going broke,” says Rick Hustead, grandson of Ted and Dorothy and the third generation to run Wall Drug in his current role as chairman. His daughter, Sarah, is manager and vice president. “They weren’t doing hardly any business.”



In their fifth year of business in 1936, as Dorothy lay awake from the drone of traffic passing by Wall, she was struck by inspiration to post a series of signs along the road: “Get a soda… get a root beer… turn next corner… just as near… to Highway 16 and 14… free ice water… Wall Drug.”



As the legend of Wall Drug’s beginning goes, the first customers had already stopped into the store before Ted returned from putting up those signs. And the rest, it seems, is history.



<h2 class="wp-block-heading" id="h-to-survive-a-recession-focus-on-profitability">To survive a recession, focus on profitability</h2>



While Wall Drug isn’t recession-proof, as Hustead notes, it has survived and thrived through more than a dozen economic downturns. Speculation of another impending recession battered the confidence of small-business owners, as indicated by monthly surveys conducted by the <a href="https://www.nfib.com/surveys/small-business-economic-trends/" target="_blank" rel="noreferrer noopener">National Federation of Independent Business</a>.



But other crises—the ones no economists can predict—have really tested Wall Drug at times.



Time and again, <a href="https://successcom.wpenginepowered.com/how-do-you-survive-when-your-business-isnt-profitable-at-the-start/">keeping the focus on profitability</a> has been crucial to helping small businesses survive a recession. “You’ve got to be profitable to sustain a small, private business,” Hustead says.



Drawing on his 40-plus years with Wall Drug, and lessons he learned from older generations, Hustead shares advice for other small-business owners who may be tested by the next economic downturn or another unforeseen crisis.



The key to staying in business and being profitable, Hustead notes, requires regularly monitoring your overhead, labor, inventory expenses and revenue: “If you run out of money and go broke, you’re out of business.”



<h2 class="wp-block-heading" id="h-the-impact-of-covid-19">The impact of COVID-19</h2>



The COVID-19 pandemic dealt a blow to millions of small businesses, and Wall Drug was no exception. The store was forced to close for 70 days, so the Husteads had to lay off most of the year-round staff. “It was one of the hardest things that I had to do in my career,” Hustead says, adding that all furloughed employees were able to return to work by June 2020.



Still, the total headcount for the business was lower. To keep the 76,000-square-foot store running with only 120 employees, down 40% from the prior year, and with 50% fewer staff in the restaurant, they had to find efficiencies like streamlining the restaurant menu. By the time the “tourism floodgates” reopened in 2021, the Husteads had found ways to cut costs and learned to run the business with fewer staff than pre-pandemic years, making for the most profitable year in the store’s history.



<h2 class="wp-block-heading" id="h-wall-drug-s-tried-and-true-tips-to-help-you-survive-a-recession">Wall Drug's tried-and-true tips to help you survive a recession</h2>



<h3 class="wp-block-heading" id="h-plan-for-a-recession-before-it-happens">Plan for a recession before it happens</h3>



The store has been tested by other events over the past 50 years. A gasoline shortage in 1973 led to a 25% drop in business and profitability as fewer people crisscrossed South Dakota. A fire in the restaurant’s kitchen in April 2002 forced the owners to scramble to become operational again before the summer rush. They faced a costly repair after a water main line break in February 2013 sent 100,000 gallons of water rushing into Wall Drug’s basement and knocked out every single big power panel.



These types of dreaded, so-called “<a href="https://www.masterclass.com/articles/black-swan-event" target="_blank" rel="noreferrer noopener">black swan</a>” events are difficult to predict, so it’s important to have a plan in place before crisis strikes, advises Frank LaMonaca, a mentor with SCORE, a network of volunteer, expert business mentors. “Events that you can’t fathom will occur, and you need to plan ahead for those, even though you don’t know what that can be,” he says.



Don’t wait for the bad event to occur, LaMonaca urges. Instead, <a href="https://www.netsuite.com/portal/resource/articles/business-strategy/recession-plan.shtml" target="_blank" rel="noreferrer noopener">recession planning should be done</a> at the onset of your business—or you should catch up ASAP—so you can draw on a plan B and a group of key professionals when disaster strikes.



<h3 class="wp-block-heading" id="h-review-finances-regularly">Review finances regularly</h3>



While customers returned to Wall Drug fairly quickly after those COVID-era shutdowns, other challenges persist. Namely, Hustead must ensure that he remains a competitive employer by offering benefits and an hourly wage that will both attract and retain employees.



What’s more, in light of concerns about <a href="https://www.protolabs.com/resources/blog/top-supply-chain-disruptions-in-2022/" target="_blank" rel="noreferrer noopener">supply chain disruptions in 2022</a>, Wall Drug increased its inventory “quite a bit,” which has tied up more of the business’ assets, a challenge Hustead has continued to grapple with this year. As a result, he began monitoring the company’s finances on a weekly basis.



A weekly cadence for reviewing financials is a good idea, particularly if economic conditions are tighter, things get “a little rocky” or the business is in early stages, advises Stephanie Sims, a member of the U.S. Chamber of Commerce’s Small Business Council. During “normal” times, that cadence could fall back to quarterly.



What does that look like in practice? “Regularly reviewing your financials and understanding which parts of your business are profitable, or close to profitable, and which parts of your business are actually pulling your profitability down,” Sims says, adding that such a review is particularly important for businesses that sell a wide range of products.



<h3 class="wp-block-heading" id="h-pitch-in-often">Pitch in often</h3>



As a fourth-generation family business, Hustead says Wall Drug strives to treat its employees like they’re part of the family, and some employees have even worked at the store for as long as 50 years. That loyalty and dedication, along with the employees helping the business through “a really tough time” during the pandemic, means the Husteads—Rick, his wife Patt and Sarah—feel it’s their obligation to pitch in during busy times.



“We’re here at the store a lot and working with our employees, and we think that’s what it takes for us to run the business well,” Hustead says. “My dad told me: ‘Rick, if you want the restaurant to run well, be in the restaurant.’ Great advice.”



<h3 class="wp-block-heading" id="h-keep-customers-close">Keep customers close</h3>



Wall Drug sees an estimated 50% of business come from repeat customers, so <a href="https://successcom.wpenginepowered.com/take-control-of-your-customer-service/">employees play a valuable role</a> in the overall business. “You can’t run a business without staff,” Hustead says. “I have to think part of the reason that our employees do such a good job with customer service is we emphasize how important it is, and they deliver on it.”



Employees can also be an important resource when problems arise, and they may be able to help identify changes among your customer base, notes Elizabeth Gore, president and co-founder of Hello Alice, a free platform for small-business owners that offers networking, learning and funding opportunities. “Customer behavior can get willy-nilly in a recession or prerecession,” she says, adding that that may include changes in how people spend money, whether they’re frequenting stores or buying online, and whether they opt for short- versus long-term contracts with service providers. That’s why it’s “very, very important to stay close to your customers” so you can pivot, she notes.



<h3 class="wp-block-heading" id="h-keep-lines-of-communication-open-with-employees-and-vendors">Keep lines of communication open with employees and vendors</h3>



Finally, you need to establish a two-way dialogue with employees, especially if your business is faltering, LaMonaca recommends. Lay out your preexisting plan for such an event, engage with your employees to find solutions and err on the side of more, rather than less, communication. “Rumors are going to go quickly throughout your employee group when things are difficult, and those rumors are worse than the truth,” he says.



Hustead can draw upon the vision of generations past and present when making key business decisions. Beyond family, he says the accountant Wall Drug has been working with for years has served a valuable role as an adviser and is very helpful to the business.



Likewise, LaMonaca’s recommendation of establishing relationships with a team of professionals—a banker, an accountant, an insurance agent and a lawyer—is important to do early in your business tenure so you can lean on them through these periods of uncertainty. Reaching out to a free SCORE mentor can also be helpful, LaMonaca says: “We are not judgmental; we are accessible; we’re kind of a safe place for people to go when they’re under stress.”



Ensuring you have a solid relationship with your bank and understanding what services it has available can also be key to business survival, Gore says. Those resources might include lines of credit, small-business loans, small-business grants and operational credits. “Walk into the branch of your bank and actually establish a relationship with your banker before the whole world needs them,” she says.



<h2 class="wp-block-heading" id="h-know-that-other-businesses-are-in-the-same-boat">Know that other businesses are in the same boat</h2>



The reality of a recession is that other businesses you interact with may be going through some of the same challenges at the same time, and this shared experience can be helpful. To feel less isolated, Gore recommends engaging with business groups in your area, such as those run by your local Chamber of Commerce, or seeking out peer-to-peer mentorship opportunities or webinars.



As Wall Drug has proven, even the worst financial crisis in U.S. history couldn’t stop a successful idea—and nor could the other serious tests of the business that followed.



Likewise, small-business owners who endured the pandemic have been tested by a range of challenges, including natural disasters, power or utility disruptions and staffing issues, Gore says. “Those who made it through the last five years are going to be incredibly strong—they’ve had to go through a lot,” she continues.



Finally, as has been the case since 2020, another recession could lead to more small-business formation. “<a href="https://successcom.wpenginepowered.com/entrepreneurs-are-in-the-drivers-seat/">This is fertile ground</a> for the next great wave of innovation,” Sims says.&nbsp;



“History shows businesses and entrepreneurs who launch during times of crisis tend to be incredibly resilient and very smart about their assets, so I have a lot of optimism about the new folks launching right now,” Gore adds.



<h2 class="wp-block-heading" id="h-prepare-now-to-survive-a-recession">Prepare now to survive a recession</h2>



It can take time <a href="https://successcom.wpenginepowered.com/how-to-prepare-for-a-recession/">to get recession-ready</a> if you’re not yet. It will include having a solid understanding of your core costs so you can increase (and diversify) cash flow and building strong relationships with key professionals who will help during a crisis. By carving out dedicated time each day or week, Gore estimates small-business owners can get a plan in place within a month—and ultimately increase position themselves to survive a recession.



“The biggest weakness people have here is taking the time to do it,” she says, adding that she “guarantees” it will support dividends to do so. “This is not an ‘I’ll get to it when I can;’ it’s not an afterthought.”



Regularly reviewing your profit and loss statement will help you understand your financial situation, so you can pivot as necessary. “Don’t ignore the reality hoping that it’s just going to get better,” Sims says. “If you’re going into a period where things are going to get tighter, the best thing you can do is improve your gross margin first; only sell things where you know you make money and where you’re making the most money at the gross margin level.”



Finally, consider the personal toll a decline in business can have, including if you’ve intermingled your personal and business finances, Sims says.&nbsp;



Taking care <a href="https://successcom.wpenginepowered.com/how-to-protect-your-mental-health-at-work/">of your mental health</a> is also important during periods of stress, notes Gore.



LaMonaca recommends asking yourself and your team two questions: What can we control? What can’t we control? Once you have a plan in place to tackle what you can control, keep at it, he says: “Nothing takes the place of being persistent.”



This article originally appeared in the July/August 2023 <a href="https://store.success.com/by-media/success-magazine-july-august-2023-chance-the-rapper.html" target="_blank" rel="noreferrer noopener">issue of SUCCESS magazine</a>. Photo courtesy of Wall Drug Store.&nbsp;

One South Dakota drug store has endured the ups and downs of the last century. Here, they share their tips on how to survive a recession.

One South Dakota drug store has endured the ups and downs of the last century. Here, they share their tips on how to survive a recession. | SUCCESS

How to Survive a Recession, According to a 91-Year-Old Business

Insider Secrets to Help Small Businesses Survive a Recession | SUCCESS

https://successcom.wpenginepowered.com/wp-content/uploads/2023/07/how-to-survive-a-recession.jpg

When she was 18, Kim Gravel read a book she credits with changing her entire mindset: <a href="https://amzn.to/3AsU2iN" target="_blank" rel="noreferrer noopener">The Magic of Believing</a> by Claude Bristol. Decades later, and with a wide range of <a href="https://www.kimgravel.com/" target="_blank" rel="noreferrer noopener">business and life experiences</a> to draw upon, Gravel’s first book is out this month—one she says could be a “beautiful companion” to the classic guide that first inspired her.



In <a href="https://amzn.to/3HbR85T" target="_blank" rel="noreferrer noopener">Collecting Confidence</a>, Gravel shares lessons she’s learned from her public successes—including building an empire that spans hosting several QVC shows and episodes <a href="https://plus.qvc.com/series/the-kim-gravel-show/VmlkZW9fVmlkZW9TZXJpZXMKZDYzODU0MDFlN2Y4YzFiZjdiYmQ5MGE1OQ==" target="_blank" rel="noreferrer noopener">as well as a podcast</a>, launching beauty businesses and mentoring young women—and private failures or challenges. More than anything, however, she wants readers to come away feeling empowered.



“Don't look at your life as a basket full of mistakes or a basket full of hardships, look at your life as just this <a href="https://successcom.wpenginepowered.com/4-ways-to-turn-obstacles-into-opportunities/">plentiful harvest of opportunity</a>,” Gravel says. “I promise you, <a href="https://successcom.wpenginepowered.com/if-you-want-to-change-your-life-change-what-you-think/">if you shift</a> the way you look at it, everything in your life will shift.”



We talked with Gravel about <a href="https://successcom.wpenginepowered.com/how-finding-your-calling-changes-everything/">why finding your calling</a> is so important, and how it can help you <a href="https://successcom.wpenginepowered.com/start-with-the-foundation-the-7-building-blocks-of-a-fulfilling-life/">find contentment and fulfillment</a> that’s bigger than any other measure of success.



<h2 class="wp-block-heading" id="h-why-did-you-decide-to-write-this-book-and-why-now">Why did you decide to write this book, and why now?</h2>



Kim Gravel: This book has been in the making for quite some time, but I think the time is now because—I’ve seen, heard and what I’m doing in business and what I do when I train young girls—it seems people are <a href="https://successcom.wpenginepowered.com/the-pandemic-sabotaged-our-decision-making-abilities-heres-how-to-start-regaining-that-self-confidence/">having this crisis of confidence</a>. Do we have what it takes, are we confident enough to move in what we're called to do?



I just thought that the timing was right for this book. It's basically about my journey and how I've had to navigate the ups and downs, the peaks and valleys, and how all of that experience has led to this unwavering confidence. Now when I say unwavering, I'm always confident but it does wax and wane, it goes up and down depending on what you're going through. And it's just a different philosophy on how to be confident in today's world.&nbsp;



<h2 class="wp-block-heading" id="h-did-you-have-confidence-at-a-younger-age">Did you have confidence at a younger age?&nbsp;</h2>



KG: I think we're born into confidence and I think what happens is circumstances, the world, mistakes rob us of that as we live out our lives. If you think back to when you were younger, you had this fearless confidence. You didn't know not to really believe in yourself, you didn't know not to look in the mirror and love what you see, you had to <a href="https://successcom.wpenginepowered.com/youve-been-conditioned-into-low-self-esteem-heres-how-to-get-it-back/">learn how to doubt yourself</a>.&nbsp;



You were born with fearlessness, with fearless confidence. And then as you live on, life chips away at it. We all have it, we lose it, and so this book talks about how you go about through your life collecting it back again.&nbsp;



<h2 class="wp-block-heading" id="h-on-your-website-you-say-about-yourself-what-s-most-important-is-not-what-she-s-doing-but-who-she-s-being-what-do-you-mean">On your website, you say about yourself ‘what’s most important is not what she’s doing but who she’s being’. What do you mean?</h2>



KG: We mistake our “do” with who we are.&nbsp;



Who you are as a person is what you lead with, not what you do or what you've done. But it's who you are. And I think that's the big get for all of us. I think we're born into this life, always trying to figure out who we are and why we're here.



<h2 class="wp-block-heading" id="h-is-this-book-an-autobiography">Is this book an autobiography?</h2>



KG: It’s basically my life stories but it’s all with that reader in mind. Meaning, you get the takeaway from it.&nbsp;



It’s perspective for me. I don't look at messes and mistakes as problematic. I look at it as something to lean into, to actually learn from, and those messes become your message. So it's all on how you look at your life. Nothing was a mistake and nothing was by happenstance or chance. It's all for a reason and it's building this confidence in this calling in your own personal life to live out what you were born to do.



We really are made for something. We have value to add and we forget that in the business of life and the mistakes of life. But all of that adds up to that purpose.



<h2 class="wp-block-heading" id="h-you-re-a-multihyphenate-entrepreneur-television-personality-author-podcaster-life-coach-and-a-former-miss-georgia-how-do-you-blend-all-of-those-titles-with-being-who-you-are-called-to-be">You’re a multihyphenate—entrepreneur, television personality, author, podcaster, life coach and a former Miss Georgia. How do you blend all of those titles with being who you are called to be?</h2>



KG: We're all very distracted by what we do. When I say it's who you are and not what you do, everyone has a calling in their lives. So everyone starts with that foundational calling. My particular calling is edification or the building up of things—so I can do that in business, I can build businesses, I can build people, I can build communities.



I can build, that's what I do, that’s what I love, that’s who I am. I’m a builder, I’m an edifier. As long as I'm moving out of that edification calling, I have this supernatural, energized, abounding abundance of energy to do those things.&nbsp;



My main focus is to find out what that calling is. When you move out of that place, then you can do a lot of different things and do it with ease. Now, I'm not saying there won’t be obstacles and it won’t be hard work, but it's a little bit more effortless because it rejuvenates you, it energizes you.&nbsp;



True confidence comes from knowing who you are, and why you're here.&nbsp;



<h2 class="wp-block-heading" id="h-do-you-think-some-people-are-nervous-to-answer-that-question-about-what-their-calling-is">Do you think some people are nervous to answer that question about what their calling is?</h2>



KG: I do.&nbsp;



We're so conditioned to look at everyone else and think everything else is outside of ourselves. And I think that's so true with our purpose, I think we're actually afraid to know what that really is because it's not maybe what our parents wanted for us.



We're afraid to fall into what that purpose is because we might let our friends, family, parents down. We’re also afraid to do it because when we know what it is, we’ve got no more excuses to use to not be about it.



But when you take a taste of it and you see how good it is to live from that place? It's the best feeling ever.&nbsp;



<h2 class="wp-block-heading" id="h-how-does-the-book-align-with-your-other-work-is-it-part-of-a-broader-mission-to-support-women-in-business">How does the book align with your other work? Is it part of a broader mission to support women in business?</h2>



KG: Truly confident people want other people to be confident. Truly successful people want other people to have success. I have found my calling in life, so I want everyone else to find theirs.&nbsp;



<h2 class="wp-block-heading" id="h-have-you-had-periods-in-your-journey-that-were-particularly-difficult-compared-to-men-around-you-and-in-what-ways">Have you had periods in your journey that were particularly difficult compared to men around you, and in what ways?</h2>



KG: I’ve been beat down more than a yard dog, that’s what we say in the South.



I have been rejected. I have been flat-out insulted. I have been sued frivolously. I have had people tell me I wasn't skinny enough. I've had people tell me I wasn't feminine enough. You name it, I have been through the trials and tribulations. I've been divorced. I've had a near-death experience.



Sometimes I handled it right, most of the time not. Most of the time I was just a big ol’ F-O-O-L, big ol’ fool in it all, but every bit of it, I would do it again. I would do it differently, I do have some regrets, some of the things I've done in my life, but I will tell you everything has been used to fulfill my life's purpose.



Those bad things can work together for your good if you will allow it. And that sounds cheesy and easy and maybe that sounds trite to some people, but all I can tell you is I’ve lived and I am nothing special from that retrospect.



What I do know is what I'm called to do and nobody can take that from you.&nbsp;



<h2 class="wp-block-heading" id="h-what-are-things-you-ve-discovered-seen-or-heard-along-your-journey-that-have-encouraged-you-in-business-and-that-you-d-like-to-pass-along-to-other-women">What are things you've discovered, seen or heard along your journey that have encouraged you in business and that you’d like to pass along to other women?&nbsp;</h2>



KG: I'm a girl's girl, so I always say help your fellow woman.



People say find your tribe, but a lot of times when you just find a tribe, they’re all alike. I’m going to say find a whole, big ol’ universe full of women that knows what they do and do what they do well and partner with them. That's the beautiful thing about women—women get together, there's nothing we can’t accomplish.&nbsp;



Go find you some women that love what they do and do what they do well and partner up, because it will change your communities—it will change our world.



Photo by Sylvia Lee Photography

We talked with Kim Gravel about why finding your calling is so important, and how it can help you find contentment and fulfillment.

We talked with Kim Gravel about why finding your calling is so important, and how it can help you find contentment and fulfillment. | SUCCESS

Kim Gravel on the Importance of Finding Your Calling and Your Confidence

Kim Gravel on Finding Your Calling & Your Confidence | SUCCESS

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Achieve financial success and freedom

Gone are the days when new employees received a list of the company holidays during onboarding and a packet with information about how to sign up for health care and retirement benefits. Employers are now providing <a href="https://www.shrm.org/about-shrm/press-room/press-releases/pages/shrm-releases-2022-employee-benefits-survey--healthcare-retirement-savings-and-leave-benefits-emerge-as-the-top-ranked-be.aspx" target="_blank" rel="noreferrer noopener">a broader suite of benefits</a> and are <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2022/09/bank-of-america-study-finds-84--of-employers-now-say-offering-fi.html" target="_blank" rel="noreferrer noopener">increasingly recognizing the importance</a> of financial wellness programs for employees.



<a href="https://www.nerdwallet.com/article/investing/inflation" target="_blank" rel="noreferrer noopener">Amid high inflation</a> the need for such benefits has become even more apparent. Human resource leaders have observed cash-strapped employees reducing retirement contributions and talking about how <a href="https://successcom.wpenginepowered.com/money-remains-a-top-stressor-for-us-adults-here-are-some-tips-to-better-manage-stress-and-finances/">money-related stress</a> has negatively affected their work lives, according to a <a href="https://www.morganstanley.com/content/dam/msdotcom/atwork/state-of-workplace-financial-benefits-study-results-2022/state-of-the-workplace-study.pdf" target="_blank" rel="noreferrer noopener">2022 financial benefits study</a> conducted by Morgan Stanley at Work. And 85% of these HR leaders reported that financial wellness benefits are more important than even a year ago, the study found.



In fact, 54% of employers currently offer financial wellness programs, based on responses to an annual survey conducted by the <a href="https://www.ebri.org/docs/default-source/ebri-issue-brief/ebri_ib_573_fwes22-27oct22.pdf" target="_blank" rel="noreferrer noopener">Employee Benefit Research Institute</a> (EBRI). Such benefits can yield significant results. “Employees <a href="https://successcom.wpenginepowered.com/how-to-create-a-budget/">who maintained a budget</a> experienced significantly lower levels of stress and distraction at work during the pandemic,” according to a survey by <a href="https://www.ynab.com/employee-financial-wellness-survey/" target="_blank" rel="noreferrer noopener">You Need a Budget</a> (YNAB).



Because financial stress seeps into other aspects of an employee’s life—including their <a href="https://www.psychologytoday.com/us/blog/the-bridge/202211/in-sickness-and-wealth-financial-stress-can-make-us-sick" target="_blank" rel="noreferrer noopener">physical well-being</a> and <a href="https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0264041" target="_blank" rel="noreferrer noopener">mental health</a>—offering financial wellness programs isn’t just another fringe benefit, but it can meaningfully improve retention, productivity and loyalty, says Jesse Mecham, founder of YNAB.&nbsp;



“A financially content, non-stressed employee stays at their employer longer,” he says. “We want them to be productive and happy and creative and we don't want money stress to get in the way.”&nbsp;



<h2 class="wp-block-heading" id="h-how-financial-wellness-programs-benefit-employers">How financial wellness programs benefit employers</h2>



Employee retention is the No. 1 value proposition that Mecham touts when talking with company leaders about why focusing on the financial wellness of their workforce is important. In 2022, YNAB launched a <a href="https://www.ynab.com/employee-financial-wellness-program-by-ynab/" target="_blank" rel="noreferrer noopener">financial wellness benefits package</a> for employers that includes access to online classes, workshops and more.&nbsp;



The biggest uptick in adoption of YNAB’s financial wellness benefits program is among smaller companies with 50 to 500 employees, Mecham says. As with benefits focused on mental health, interest in financial wellness has increased since the onset of the pandemic, he adds. “Employers just seem to be far more inclined to think about their employees more holistically.”



<h3 class="wp-block-heading" id="h-employees-are-more-productive-at-work">Employees are more productive at work.</h3>



Because a financially stressed employee <a href="https://www.pwc.com/us/en/services/consulting/business-transformation/library/employee-financial-wellness-survey.html" target="_blank" rel="noreferrer noopener">is an unproductive employee</a>, this can affect the bottom line for employers, Mecham notes. “There are a lot of hours spent every week by employees <a href="https://successcom.wpenginepowered.com/5-ways-to-better-handle-financial-stress/">managing their financial stress</a>, juggling bills, doing all kinds of things that don't add value—and they're doing it on the employer’s time,” he says.&nbsp;



Some business owners who question the value of offering financial wellness programs may be more inclined to do so once they see the direct impact on the company—which includes workforce productivity, engagement and loyalty, adds Deniece Maston, an HR knowledge advisor with the Society for HR Management (SHRM-CP). “That’s really important in this day and age: How can we engage and retain employees in the workforce?,” she says.



<h3 class="wp-block-heading" id="h-offering-financial-wellness-programs-can-help-retain-employees">Offering financial wellness programs can help retain employees.</h3>



Finding a balance between “the right” wages and “the right” benefits is difficult, especially for small employees, Maston says. But business owners must adapt because the landscape has changed significantly, even compared with five years ago, and benefits that focus on <a href="https://successcom.wpenginepowered.com/corporate-wellness-programs-need-an-overhaul-starting-with-these-3-components/">the holistic health of employees</a> are becoming more and more common, she adds.



“Financial well-being programs are being added or improved to increase worker satisfaction and retention,” according to the EBRI study. And employers report that “financial (non-retirement) benefits” are more important than offerings such as “wellness benefits,” “education benefits,” “technology benefits” and “transportation benefits,” according to the findings of the <a href="https://www.shrm.org/hr-today/trends-and-forecasting/research-and-surveys/pages/2022-employee-benefits-survey.aspx" target="_blank" rel="noreferrer noopener">2022 employee benefits survey</a> conducted by SHRM. However, they were rated as less important than offerings including “health-related benefits,” “retirement savings and planning benefits” and “leave benefits.”



“Employers who want to stand out from the competition should offer financial wellness benefits to keep employees interested,” Maston says. “<a href="https://successcom.wpenginepowered.com/should-i-stay-or-should-i-go/">People are looking for</a> those types of benefits.”



<h2 class="wp-block-heading" id="h-how-financial-wellness-programs-benefit-employees">How financial wellness programs benefit employees</h2>



One potential problem for companies is whether they know that there’s a need for benefits focusing on financial wellness in the first place. For example, they may see low attendance among employees in seminars focused on participation in the company 401(k) plan but they have no way of knowing that some employees aren’t attending because they’re grappling with other financial woes, like recently overdrafting an account, Mecham says.



“The message mismatch was what we noticed,“ he says, adding that YNAB’s program strives to teach employees to “love <a href="https://successcom.wpenginepowered.com/3-ways-to-spend-your-money-wisely/">how they spend their money</a>” and that yields tangible results. “They’re <a href="https://successcom.wpenginepowered.com/empower-yourself-to-pay-off-debt/">paying off debt</a>, they're <a href="https://successcom.wpenginepowered.com/how-to-plan-for-retirement/">putting money toward retirement</a>—they're doing all those things that the employers intended to have happen, but we've addressed the root issues first.” 



Employees are often grappling with a wide range of financial stresses, including recovering from a layoff, paying off high medical bills or credit card debt and grappling with student loans—but those stresses may not be known to their employers, Maston says. Companies can gauge employees’ interest in financial wellness programs by conducting anonymous surveys, she adds.



What’s more, because people often experience some shame around some of their financial challenges, employees can participate in YNAB courses anonymously. “We’re really going after behavior change,” Mecham says.



<h2 class="wp-block-heading" id="h-find-a-program-that-caters-to-various-life-stages">Find a program that caters to various life stages</h2>



While YNAB has courses relevant to people of all ages, ranging from recent college graduates to impending retirees, Mecham says the heaviest participation is among employees in the age range of 32 to 48. More than age, he adds, the programs are meant to target specific life events.



“We teach the employers about times where you want to talk about this benefit,” Mecham says. Those times might include significant life milestones when an employee gets a raise, decides to buy a home, gets married, is having a baby or even when they’re receiving W-2 forms ahead of tax season, he adds.&nbsp;



Engaging HR departments to help deploy the message can be a good way to make sure people know about these benefits, and especially related to those life events, Mecham says. “That’s part of a financial wellness program—not just having that benefit, but thinking of ways to continuously engage and remind people that that benefit is there,” he adds.



<h2 class="wp-block-heading" id="h-changing-behavior-so-the-results-follow">Changing behavior so the results follow</h2>



Many of the companies that become customers of the financial wellness program learn of it because an employee or manager has previously completed a YNAB budgeting program, according to Mecham. And no matter whether people take classes on their own or as part of an employer benefit program, the teaching is centered around <a href="https://www.ynab.com/the-four-rules/" target="_blank" rel="noreferrer noopener">a four-step rule</a>:&nbsp;



<ol>
<li>“Give Every Dollar a Job”</li>



<li>“Embrace Your True Expenses”</li>



<li>“Roll With the Punches”</li>



<li>“Age Your Money”&nbsp;</li>
</ol>



“We teach people how to think about their money differently and then we find that the behavior follows and the results shortly thereafter,” Mecham says. People who follow the YNAB rules report an increase in savings, lower debt and a higher credit score, he adds.



Offering an outlet for employees to talk about some of the financial stressors in their lives, and providing tools that can help alleviate them, can be very impactful both personally and professionally, Maston says. “All that stress can have a mental impact and that mental impact could create days lost from work and that would impact productivity,” she adds.



And seeing the broader impact of eliminating this stress can be a boon to employers and employees alike, Mecham says. “If businesses end up doing this for their employees, I feel like it’ll be a big win just because you’ll have one less person stressed and a little happier,” he adds.



Photo by fizkes/Shutterstock

Employers are providing a broader suite of benefits and increasingly recognizing the importance of financial wellness programs for employees.

Employers are providing a broader suite of benefits and increasingly recognizing the importance of financial wellness programs for employees. | SUCCESS

How Financial Wellness Programs Can Benefit Employees and Employers

How Financial Wellness Programs Benefit Business | SUCCESS

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2023 Financial Forecast: How to Prepare for the Year Ahead

If it feels like the months are whizzing by, the weeks bleed together and the days feel shorter and shorter, there is actually a little science at play—at least with days. Back in June, scientists reported that Earth had its shortest day since the 1960s, making its full axis turn milliseconds faster than expected.



Admittedly, that’s not much of a time difference, but then again, somehow it’s almost time to bring out the 2023 calendars. And with a new year approaching quickly, it can be a good opportunity to take stock of what’s happened in the past year—in your personal life, career and with your finances—and think about what changes you’d like to make in the year ahead.







<figure class="wp-block-image size-large"><img src="https://successcom.wpenginepowered.com/wp-content/uploads/2022/10/2023-Financial-Forecast-Graphic-1024x682.jpg" alt="" class="wp-image-66868"/></figure>



Although a trusty crystal ball may help you avoid any pitfalls, there are bound to be both good and bad surprises that await you in 2023. First, some bad news: Experts are cautioning that the year ahead <a href="https://successcom.wpenginepowered.com/how-to-prepare-for-a-recession/">could bring more uncertainty</a>. Now, for the good news: Although there’s bound to be factors that are beyond your control, feeling more confident about your finances can help you navigate whatever comes your way.



What does financial security look like in 2023? We talked with five experts about everything from the economy to the job market to financial markets to find out what to expect. Here’s what they told us.



<h2 id="h-get-your-financial-house-in-order">Get your financial house in order</h2>



Just to set things straight, Doug Boneparth isn’t a big believer in New Year’s money-related resolutions. “Just because the earth went around the sun once doesn’t mean anything,” says Boneparth, a certified financial planner and president of Bone Fide Wealth. “No matter what the calendar says, it’s always a great time to focus on the foundational pieces that lead to success.”



That said, a new year can be a good excuse to take a fresh look at your finances—and make some changes, as needed. If you don’t already have a good understanding of how money comes in and out of your life, that should be your No. 1 focus heading into 2023 because so much of managing your personal finances comes down to behavior and establishing good disciplines that you stick with, Boneparth says.



“You need to get a firm understanding of what you’re spending your money on so you can become a disciplined saver or investor,” he says. “If you don’t have a good idea of what those numbers are, then you’re not giving yourself the opportunity to succeed.”



<h2>Expect inflation and higher interest rates to stick around</h2>



It’s become more difficult in the past year, however, to know what your expenses will be each month—and that makes it all the more challenging to stick to a budget.



Americans increasingly pulled out their credit cards to pay for a whole slew of more-expensive goods and services, which resulted in the biggest <a href="https://www.newyorkfed.org/newsevents/news/research/2022/20220802" target="_blank" rel="noreferrer noopener">surge in credit card debt</a> in more than 20 years. As you think about your personal finances heading into 2023, credit card debt should be top of mind. “It’s important to not take on too much credit card debt,” cautions Megan Horneman, chief investment officer of Verdence Capital Advisors, a financial planning firm.



In the past year, two dynamics in the broader economy have made it especially difficult to stick with a budget and avoid racking up debt. The rate of inflation, or measure of price increases, hit the highest level <a href="https://www.bls.gov/opub/ted/2022/consumer-prices-up-9-1-percent-over-the-year-ended-june-2022-largest-increase-in-40-years.htm" target="_blank" rel="noreferrer noopener">in more than 40 years</a> in 2022. Meanwhile, after a multi-decade period of low interest rates, it’s now more expensive to borrow money from lenders (such as credit card issuers).



If you’ve found yourself grumbling about higher prices, your days of grumbling may not be over quite yet. Inflation likely peaked in 2022, but will probably come down only gradually in 2023—and may not get back to pre-pandemic levels by year-end, Horneman says. That means you may need to brace for a “new normal” of higher inflation—possibly into 2024, she adds.



That’s because the factors that caused such high inflation in the first place, namely “huge” imbalances between supply and demand, will take some time to work through the global economy, adds Jeffrey Roach, the chief economist of LPL Financial, a brokerage firm. “It’s going to be unlike the ride up,” he says. “The deceleration will take much longer.”



In the backdrop, the Federal Reserve, AKA the central bank of the U.S., has been aggressive in its attempt to temper inflation by ratcheting up interest rates in an effort to cool demand. A major theme that’s likely to continue into the new year is how Fed policymakers will thread the needle of bringing down inflation—but not the overall economy.



<h2>Plot smart career moves in a slower economy</h2>



Speaking of the economy, forecasting the pace of growth in the year ahead is a bit tricky. It wasn’t a surprise that the economy slowed in 2022 following big gains in 2021—rather, the main question was just how much the pace of growth would slow, notes Luke Tilley, chief economist at Wilmington Trust, which is part of M&amp;T Bank.



What’s different about 2023 is that it’s not so obvious what direction the economy is headed, Tilley says. “Is it going to slow even more or is the economy going to accelerate?”



Given some of the uncertainty about the economy, it’s likely that companies may pull back on hiring. “There’s almost certainly going to be less opportunities for workers next year than there are this year,” Tilley says. In turn, that could mean workers have less bargaining power in negotiating things like raises, he adds. “It’s going to get more challenging next year.”



Companies aren’t likely to pull back on remote work optionality in the year ahead—rather, employers are likely to experiment with finding the right ratio for a <a href="https://successcom.wpenginepowered.com/how-to-organize-your-hybrid-workweek/">hybrid work setup</a>—but there could be a little higher premium on being in the office, notes Roach. Specifically, if you’re worried about the long-term prospects in your current job, this may be a reason to seek out more face-to-face time with your boss and colleagues, he adds.



<figure class="wp-block-image size-large"><img src="https://successcom.wpenginepowered.com/wp-content/uploads/2022/10/2023-Financial-Forecast-Graphic_2-953x1024.jpg" alt="" class="wp-image-66869"/></figure>



That said, being in the office isn’t going to necessarily protect you from the risk of being laid off, because that depends more on your industry and role, says AnnElizabeth Konkel, an economist in the Indeed Hiring Lab, which is part of the jobs listing website. Even if the labor market cools, it’s still relatively hot, which means workers are largely in the driver’s seat when navigating their careers, she adds.



But if you do start to get jitters, particularly amid layoff announcements, you may want to think about your career, Konkel advises. “It’s never a bad thing to just ponder: If I was going to get a new job, where would it be and what would I do?” she says. “Even if you don’t take any definitive actions around it, figuring out what’s my plan B, plan C, and plan D, that can go a long way in alleviating anxiety if you’ve worked through some of these scenarios in your head.”



<h2>Make wise saving and spending decisions</h2>



People naturally get a little nervous about the economy when there’s a lot of chatter about a recession, as there has been in 2022, and when they feel like they increasingly can’t afford everyday purchases. That’s why scenario planning with your personal finances can also be a helpful exercise at any point throughout the year, Konkel says.



In light of a potential slowdown in the economy, you may want to increase the amount of money that you have <a href="https://successcom.wpenginepowered.com/want-financial-security-prepare-for-the-worst/">set aside for an emergency</a>, advises Boneparth. Experts generally recommend that you have an emergency fund that can cover three to six months of living expenses, but “this may be a time when six to nine months may feel more comfortable,” he adds.



And you may want to carefully consider big spending decisions. After two especially hot years for housing, the market cooled considerably in 2022. That doesn’t necessarily mean that there will be a “dramatic” decline in home prices ahead but because mortgage rates have gone up, the home buying equation has changed somewhat, Roach says. “Try to <a href="https://successcom.wpenginepowered.com/think-youre-ready-to-buy-a-house-read-this-first/">be a discerning home buyer</a>,” he advises. “Don’t enter into the housing market lightly.”



Even as you plot out some of those big money decisions you face in the year ahead, don’t lose track of other goals—namely, retirement. “Think about long-term planning, develop a plan and stick to the plan,” Roach advises. “Don’t think it’s too early to develop a plan to retire; even if you’re at the front end of your career you should develop a plan for the back end.”



<h2>Stay invested in financial markets</h2>



The path to a comfortable retirement requires you to take a leap of faith in financial markets, and this is arguably where you’ll have to just accept that you don’t have so much control over what happens in the year ahead. Consider 2022: The S&amp;P 500, a benchmark for the U.S. stock market, had its <a href="https://www.nytimes.com/2022/06/30/business/stock-market-worst-start-50-years.html" target="_blank" rel="noreferrer noopener">worst six-month start</a> to the year in more than 50 years and fell into a bear market, defined as a decline of at least 20%.



What made that weakness in the stock market all the more frustrating for investors is that it followed a “really good run” the prior three years, notes Tilley. Although he expects the stock market to rebound in the year ahead, uncertainty about the economy does create more uncertainty for financial markets, he adds.



Politics could add to some of the market uncertainty as professional investors try to predict the potential outcome of the 2024 election well in advance. What’s likely to be “a very heated political environment” leading up to November could cause some additional volatility in stock prices, Horneman says.



But history points to at least one favorable trend for investors, Horneman notes. In the year following midterm elections, the U.S. stock market has only declined once since 1935, she says.



No matter whether the market is up or down, it’s important to continue investing so that you can get closer to your long-term goals, such as retirement. And periods of market volatility can actually create opportunities for investors to buy stocks at low prices and benefit from an eventual rebound in prices, Boneparth notes. “This is where you can be very effective at accumulating wealth.”



<h2>What financial security looks like in 2023</h2>



If all of the above dynamics make you a little nervous, rest assured: It’s always difficult to predict potential pitfalls that await us in any given year. And although the experts here are generally cautious about what to expect, there is always the potential for a surprise and a year that shapes up to look much different come Dec. 31 than it did on Jan. 1.



That’s why a goal should be to ensure that your financial security doesn’t ebb and flow with fluctuations in the broader economy, but rather to take steps to ensure you <a href="https://successcom.wpenginepowered.com/4-smart-money-moves-to-plan-for-financial-security/">feel confident about your finances</a> no matter the year on the calendar.



Creating a strong foundation with your personal finances and maintaining discipline—rather than shooting from the hip or guessing at what you’re doing with your money—you also increase your odds of feeling confident in all areas of your life, Boneparth says. “It’s all about being able to deal with volatility in the market, in the economy and in your personal life.”&nbsp;



This article originally appeared in the <a href="https://store.success.com/by-media/success-magazine-nov-dec-2022-sophia-bush-and-nia-batts.html" target="_blank" rel="noreferrer noopener">November/December 2022</a> issue of SUCCESS magazine. Photos by&nbsp;Shutterstock/APGHEDIA

What does financial security look like in 2023? We talked with five experts about everything from the economy to the job market to financial markets to find out what to expect.

What does financial security look like in 2023? We talked with five experts about everything from the economy to the job market to financial markets to find out what to expect. | SUCCESS

2023 Financial Forecast: How to Prepare for the Year Ahead | SUCCESS

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