Now that the emotion, enthusiasm, energy and focus of the recent national election has subsided a bit, a number of entrepreneurial managers have been asking what does the outcome bode for their businesses? What can they do to advantageously position themselves? Interestingly enough, this same question and desire has been posed regarding the new Volkswagen assembly plant. Also interestingly enough, the answers to both of these questions is the same — survive!

This is not intended to be a prophecy of doom or a detached observation. This is the rallying call for what you have to do to be able to take advantage of any future opportunities, whether caused by the election or a successful recruitment. Neither of these two events are going to help you one iota get your next sale, build up your cash reserve or retain your talented employees. Difficult times are going to be here for at least the next year and probably even longer. So your entrepreneurial leadership challenge is to make sure that you can stick around long enough to capitalize on these potentials.

If you safely assume that access to capital and cash will continue to be very tight, then figuring out how to keep more of what you have is critical. While tight expense control is a requirement, there are limits to just how much blood you can get out of a turnip. On the flip side, however, increasing your sales is a tried and true and limitless method for increasing your cash flow. At no time will the reward for proactively changing and improving your selling approach be greater than in these next 12 to 24 months. And in my mind, the risk is minimal. If you don’t successfully change, you will fail!

Integral to any program for capturing such opportunities are ideas, and ideas can only come from talented people. As economic times tighten, talented people know that they will be in demand. When the supply of talent is low yet the demand is great, the price (compensation) has to go up. Many small businesses see this as a “no win” situation. They feel that they are under pressure to reduce cash, therefore they will not be able to meet the market demands, and they resign themselves to losing good employees. This self-victimization is not only a guarantee for failure, it is wrong, and it is stupid.

Talented employees have the need to feel that what they do is important. The usual measure of this importance is compensation and herein resides the approach for successful entrepreneurs. Compensation is not the same as salary. A piece of ownership or a more flexible work schedule are just two ways that an entrepreneurial owner can convey his or her appreciation to a valued employee. And let’s not forget the basic, heart-to-heart discussion that says you are appreciated, I need you for us to be successful and with your help, I am determined to put together a solution that will work for both of us.

Thoughtful action leads to success. Spend some time thinking about sales, talent, and compensation — three legs of the business tripod — then do something that will spell the difference between success and failure.

John F. Riddell Jr., director of the Center for Entrepreneurial Growth-Hamilton County, writes each Tuesday about entrepreneurs and their impact on companies and the marketplace. Submit comments to his attention by writing to Business Editor John Vass Jr., Chattanooga Times Free Press, P.O. Box 1447, Chattanooga, TN 37401-1447, or by e-mailing him at business@timesfreepress.com