For a lot of young entrepreneurs like myself, we have been fortunate enough to grow and develop our businesses through pretty benign economic conditions. Consumer demand has been good, investment has been forthcoming and the only real issue has been finding enough good people to employ.

The indications are that times are a-changing. Interest rates have been ratcheted up and macro economic forecasts have been consequently lowered. The US “credit crunch” has fed through to us Brits: banks tightening lending conditions, worries over lifetime savings in large banks and an expectation of lower City bonuses mean that across the entire income spectrum consumers are becoming worried.

My business is a retailer of relatively high value products and we are already seeing the effects: our showrooms in the West End and Knightsbridge are noticeably quieter; more deals are being financed on a buy-now-pay-later scheme and while overall sales are still healthy, it’s because we are working hard to promote lower-priced products.

Over the coming months, we should be buoyed by the usual Christmas increase in trading, but after that it’s a case of preparing for a slow down. Each business will have different ways of doing this, but for us it’s scaling back on stock holdings, slowing plans for cash hungry investments and making sure that each member of staff is focused on making sales, fulfilling sales or getting cash from sales into the business.

Depending on which economist you talk to, economies move in cycles of anywhere from 5 to 50 years. We are unlikely to face the huge booms and busts of 20 years ago, but the consensus is that it will be difficult for the next 6-12 months. Time to baton down the hatches and ride out the storm. Surviving through it will give you a leaner, meaner organisation well-prepared for the next bout of economic good times.

Elliot Zissman is the co-founder and director of online and high street fitness equipment brand Totally Fitness. http://www.totallyfitness.co.uk/