In 2002 I was living the good life in LA. I was working as a business advisor with the Small Business Development Center (SBDC) network of Los Angeles County.

SBDCs exist in every state to provide assistance with launching and growing a business. There is usually a statewide SBDC office, with regional offices scattered throughout the state.

SBDCs provide assistance in the form of 1-on-1 counseling, seminars, and help with getting prepared for an SBA-guaranteed loan.

Many times a small business development center is affiliated with, and co-located with, a college, chamber of commerce, or local economic development agency.

Enter The Mini-Mogul

One of the SBDC offices I worked at was located in Van Nuys, CA, a stone's throw from Hollywood, and the boyhood home of Financial Mogul Michael Milken.

Because of my strong technology background, and a little experience with distressed businesses, I was unofficially designated as the "tech guy" and the "turnaround guy".

One particularly sunny day in the Spring of 2002, I was staring out of the window, California Dreamin', when a man walked into the SBDC office.

Let's call him Jimmy The Mini-Mogul.

Because Jimmy's business was in distress, and I was the "turnaround guy", he was shuttled to me for help.

Jimmy was maybe 5'10", slender build, thinning hairline.

But the most noticeable thing about Jimmy was his face.

It was reddened, and spoke of deep anguish, the kind that keeps you up at night worrying about all sorts of things, and increases your blood pressure to dangerous heights.

In fact, Jimmy looked so stressed that I kept a hand by the phone, ready to call 911!

I'm A Business Advisor ... And I'm Here To Help

Jimmy The Mini-Mogul told me all about his problems.

He owned a nuts and bolts supplier business.

In the 3 to 4 years leading up to 2001, his firm had consistently been in the $1,000,000 to $1,200,000 revenue range.

But this was post-911. And his customers had severely cut back purchases.

Sales were down to $700,000 ... and he was in a panic!

In the ensuing weeks, here's what we did (and what you can do):

• Set up a spreadsheet to forecast and monitor cash flow

• Identified all expenses that could be cut

• Evaluated all assets that could be sold or leveraged to raise short-term capital

• Established an aggressive marketing plan

• Planned new services to introduce

The Moral Of The Story

The big relief for Jimmy The Mini-Mogul was seeing his true cash flow.

Yea, it took a big hit. But it wasn't as bad as he thought.

But Jimmy's biggest problem was not the post-911 reality.

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It was a lack of pre-911 differentiation!

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To customers, he looked just like his competitors. All the trees in the forest looked the same.

Since purchasing was based on nothing but price, customers could go to any competitor.

My advice to Jimmy, short of buying out his competitors, was:

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Create a "must-have" product/service combo that separates him from the other little trees in the forest ... and target a higher paying but lower competition specialty. You'll still get hit in a downturn, but not as bad as all those un-differentiated competitors.

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About a year later I heard that Jimmy The Mini-Mogul was still surviving.

Yea, but probably still just another tree in the forest!

Listen To, And Learn From, My Interviews With Emerging Growth Technology Mini-Moguls!

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Blake Glenn is the Chief Looney Officer of The Looney Executive brand.

With the mantra that "Business ... It's Just Not That Damned Serious!",

The Looney Executive produces content that makes you Smile ... Laugh ... Cringe ... Think ... and Learn!