Economy Sends Veteran Small-Business Owners to Seek Advice

Small-business owners seeking help these days aren't necessarily neophytes. In an extremely difficult economy, even veterans need a sounding board.

They find it from a growing number of resources, among them peer or networking groups, mentors, professional and trade groups, and government-sponsored organizations such as Score, an association of executives that counsels small-business owners. Often, this help comes free.

"I've been seeking a lot of help and advice recently," said Jeremy Brandt, founder and chief executive of 1-800-CashOffer, a network of professional home buyers based in Dallas. "A lot of it is about analyzing opportunities: when to get out of certain lines of business … figuring out what I should cut back on, what should I increase spending on."

Brandt, who has been in business for five years, has two main sources of advice. He belongs to the Entrepreneurs' Organization, which helps its members form peer groups. He also has a mentor through the World Presidents' Organization, an association of current and former CEOs of major businesses.

Brandt said one of the biggest problems he sees among fellow business owners is "they're making the same mistakes made 100 times over by other people who have been in the same position." By regularly meeting with "people who have been in economic ups and downs," Brandt said owners can avoid some of the pitfalls.

Megy Karydes uses a mentor from a Chicago-area organization whose services include consulting for business owners. In 2007, the first year of business for her public relations firm, Karydes Consulting, she met with her mentor at Chicago Community Ventures a few times, and this year, more frequently. Her mentor doesn't just soothe her or hold her hand; he challenges her.

"He almost holds me accountable—'Did you do any of this? Why didn't you do that?' " Karydes said. "It forces me to be more thoughtful about the actions I take."

She also finds her mentor can be a good source for new business. "I want to make sure I'm on his radar. If something comes up, he'll remember me."

Business owners may find mentoring or advice in many places, starting with trusted advisers such as accountants and lawyers. Many owners swear by their networking groups, formed either ad hoc or through organizations such as the ones Brandt and Karydes have used.

Professional organizations such as associations of women or minority business owners also can be a resource, as can industry groups, chambers of commerce and houses of worship.

Federal, state and local government agencies also may sponsor counseling or mentoring. The federal government's best-known resources are Score and the Small Business Administration's Small Business Development Centers, often located at colleges and universities. There are more than 1,000 centers across the country and may be found through SBA's Web site at SBA.gov.

Business owners can find a Score counselor at Score.org.