Woodworth & Frisella

In a down-turning economy, December is the best time to collect debt. The season really starts in September, and if you are inclined to send cases out for collection, diary them for the day the kids go back to school, or at the latest when the leaves begin to turn because they will then be ripe by year’s end.

The reason is simple: Companies can write things off at year end, and if they have the cash, they want the write-off.

Back in 1999 when the dotcoms were busting, everything settled in December. Companies were tripping over themselves to write checks.

One of the ways that I can tell the economy is doing well is that we simply don’t have the same rush to settle. The companies who owe money aren’t yearning for write-offs, they are simply limping along. Secondly, and more interestingly, the amount of debt out there has diminished with slight upticks here and there.

After they got burned in 1999, many companies got more serious about who they will sell to. The VC movement came and went. Spending money was no longer a sport, and the old models of buying and selling were back in vogue. That’s a good thing from a business perspective.

None of that changes the impact of December and year end. If you haven’t called those who owe you lately, call them and make a deal. If you reduce the amount owed make it due on a date certain. December 20th is good, or at the latest December 31st.

Tis the season and all that.

Sometime in 1999, some friends of mine Feng shui-ed my office. I concentrated most of the energy in the “wealth sector” and tripled my income in one year. Since then, I’m a convert, albeit a sloppy one.

Feng Shui is the ancient Chinese art of placement. Each space is broken into a grid with nine sectors:

Wealth – Fame – Love

Family – Health -Children

Wisdom – Career – Helpful People

The trick is to move your stuff around to enhance the flow of energy in the sectors where you want it to concentrate.

It works better if you keep the place neat and tidy – not one of my better skills. Still I’m a convert based on past results.

In the office we just moved from, the wealth sector was inaccessible. In this office I’ve plunked myself down in the middle of it. It’s too early to tell if it is working, although so far the signs are all positive.

For a good book on the subject, I recommend MOVE YOUR STUFF, CHANGE YOUR LIFE by Karen Rauch Carter. It’s easy and fun to read. In the meantime, move your desk into the wealth sector and see what happens.