UK: SME - Batten down the hatches.

As the black clouds of recession gather overhead, surprisingly few firms seem to be taking steps to prepare themselves for the worst. Margaret Coles offers some advice.

Like Christmas with ghastly relatives, recession is a fate to which we are seemingly resigned. Some observers say our conviction that we are due one is bringing it on. Be that as it may, the experiences of the early '90s, when thousands of small and medium-sized companies were forced out of business, should provide valuable lessons in the present gloomy economic climate. At such a time, wise virgins reach for the oil can and wise bosses, if not trimming their wicks, make sure they are prepared.