The Beam Team

When are banks going to start acting like banks again?  Now that there are plenty of signs the economy is rebounding, what’s the main ingredient needed to sustain growth?  If you said cash, you are spot on.  Our customers need cash to invest in their businesses.  Updating retail graphics and rolling out new displays requires cash.  Cash is needed to rebuild operations and unfortunately, many banks are still holding their purse strings tight to their vest.  Some people are predicting a second round of problems with our economy due to difficulties securing financing.  Let’s hope they’re wrong.  Our customers need cash to make necessary capital improvements.   We need cash to grow our work force to support the retailers who are proactively investing in their business.  It’s the one business lubricant we can’t do without.  Let’s hope banks return to their roots of lending money (wisely and prudently), so we can keep this rebound moving in the right direction.

One of the reasons I haven’t been able to make a new Blog post in a while is our work load.  After a very slow year in 2009 the pendulum is clearly swinging the other way, thank the Lord.  Along with the increase in demand comes a host of related challenges and for us staffing is the most critical.  Rebuilding your workforce becomes a top priority.

Along with the increase in project activity, expect vendors to get more selective with the projects they pursue.  The mentality of winning “at any cost” seems to be disappearing.  And, it’s realistic for retailers to see some increase in costs which is a healthy thing, because too many of us in the industry have been willing take projects even if the margins were too thin.  No one can work and lose money for very long.

I also hope we can get back to building relationships.  The old “I’ll scratch your back if you scratch mine” approach to business would be a nice change.  Who knows…maybe it will become more than just wishful thinking.

Leading retailers have made major cuts in personnel and other vital resources and squeezed vendors to create solid profits through the current recession. Cash  is stockpilling in accounts as dividends have been trimmed to substitute financing resources and capital improvements have been put on hold. These more successfull retailers must now feel unsatisfied with money market returns and will look to either raise dividends, aquire companies, or invest in stores and capture additional market share. All three will no doubt happen with capital improvements leading the way after being stymied most of the recession. The Christmas season will determine the level of projects and their reach through out the chain. This event is mirrored in the vendor community as more successful manufactures look to take marketshare through inovative promotions and merchandising champaigns.  Many capital improvements have built up over the last 2 years and now there is a sufficient amount of  cash to implement.  Remoldeling and retail merchandising will take a more prominent role in the coming year. www.thebeamteam.com will be ready to answer this call.