I don’t watch the news much, but I know that most are saying we’re in a recession. If you’re smart, you won’t participate. And if you are savvy, I know you’ll be interested in what I’ve found on recession-proofing your income.

First of all, I believe the media is at the center of all this. This stuff sells papers and advertising on TV because people are drawn to it. When you get together with your circle of friends, what is the first thing you talk about after the weather?

“Say, did you hear how many foreclosures in Fort Myers?”

So you, too, become the bearer of bad stuff. And what is the recipient supposed to think? They hold back even more money and become part of the problem. Why are places closing? Is there really a lack? No – we’re just not buying out of fear. It’s a house of cards.

OK, so now for some good stuff. First, with all this stuff going on, how secure do you feel in your job? My wife had a cushy summer job at a local interior design firm. She was office manager. But one day – out of nowhere – the boss came in and asked her to sit down. And that was it. Sorry… we ran out of money.

Here’s what most will do. Panic. Or, wait and hope. Or maybe even get another job. But in times like these, you could sit down and take control. I mean the timing doesn’t get much better than this, people.

I am so into how businesses are stretching and molding themselves to the new economy. And I think it’s important that we do the same thing. In fact, during these so called “recessions” more people start little businesses than at any other time. Cool!

What if there was a way, with a little investment, you could own your own business. I mean something you could make some money at part time, in addition to your 9 to 5. I’ve found that network marketing offers this kind of ease and the cool thing is you are able to engage with like-minded entrepreneurs – like you. Really! Take a look at my Facebook page.  These guys are capturing a piece of today’s marketplace, with very cool cutting-edge products.

I didn’t realize the power of network marketing until my wife and I built one up to the second to the top level.  And even today we are paid residual checks from it and we don’t lift a finger.  It’s like I wrote a cool song, and people liked it, and still like it – and it gets played – and I still receive a residual on it.  I did the work – once.

This is a real cool way to have great income during this “recession.”  You get real resourceful in times like these and we come up with all sorts of money-saving skills.  Small niche businesses thrive!

So consider it – network marketing.  More than 61 million people are doing this and more joining each day with a myriad of goods and services.  It’s really as basic as it sounds.  You rely on a network of people in which you market your business.  Money that most companies spend on advertising is paid to you.

Look.  I’ve done this form of business for over 20 years.  And I’ve owned a few businesses – still do.  A lot of friends and family will rain on your parade, but they aren’t paying your bills.  Look at the people who are making a good income with this and ask yourself if you couldn’t do the same.  And remember my story… I love that check that comes in, every month without fail.

Do you think network marketing is a good business model?

Do you guys remember when I wrote about what jobs would be best to work in a depression?  What I did – which I thought was pretty cool – was to look back into what areas were doing gangbusters during the Great Depression.  It was fun research and I kinda knew what areas would be the ones we just don’t give up on even when we have more bills than income.  It reminds me of the story Randy Gage tells about all of his stuff being repossessed and the last thing he let go was his couch and TV.  Why?

You probably already know the answer to that.  It’s the same reason why at work you have this fantastic idea to make changes and you get home and sit down and watch four hours of TV instead.  We are wired in such a way that we have to fight for progress.

And as much as I know you want to know what areas thrive in a depression, I want you to grasp that small businesses explode during this time.  It’s all a matter of filling a need.  So pay close attention.

One reason to start your own business is because you’ve been affected by this recession.  Hey, millions are also looking for a better way to keep incomes flowing. These downturns make it prime time to do this.

Another reason is you want to stretch your paycheck.  If you’re like most households, you know how important it is to keep working – even keep your spouse working, because money doesn’t go as far as it did.  Groceries rose 5.5 percent in 2008.  That number will go up this year.  Owning your own business can bring in an extra stream of income.

And how many of us HATE their current job?  Any hands?  Job losses increase each day.  Most people feel they can’t quit their job.  Why not work for yourself?

It is COOL to work from home. I’ve been doing it since 1997.  Very cool.  I can go on all of my kids field trips, vacations, etc.  when I want to.  And you can work from almost anywhere with the right business.  Set your own schedule, baby!

Haven’t you always wanted to own your own business?  It take considerable passion, yes.  But don’t you want that to stay ahead of the recession?

And here’s my takeaway – Owning your own company often brings with it a sense of personal pride and a paycheck to match.  It isn’t too late, it isn’t the wrong time and you’re not underqualified.  Anyone can start a network marketing business and succeed if they dedicate themselves to it.  I’m living proof.

What are your thoughts?

If you were a visitor to this planet, you’d probably wonder why everyone was under such stress.  Looking around, it’s not apparent that we’re in a recession – not at this writing.  And I know you can choose not to participate in that, but I want to tell you what I think about the current situation with the U.S. economy.

Most Americans have lived beyond their means for the past two decades.  I don’t claim to understand everything about it, but so much credit has been extended that now the strength of many companies is withering.  Everything around us is so tightly woven into our earnings that complete companies can fail if too many of us can’t make our monthly payments.

And it really struck me the other day, while listening to Tom Alkazin on home based businesses, that it really is a tiny amount that brings down the house of cards.  He said something like the extra $200 – $300 a month that a small business would give you, is just what is needed to stop bankruptcy.

The way that works is remember, if you have a bill for $250 each month, and can not pay it for a time – it snowballs.  It doesn’t go away – so a little money from another stream would help.

Think of that on a nationwide scale and you have what is happening to thousands of companies.  And thousands upon thousands are being sent home from work without a job.  As bleak as that is, there is a silver lining in it for you.

The first wave you will see will be normal stores begin to offer better customer service.  Competition will become fierce as companies place prices as low as they can and still remain in business.  With the huge cuts, companies will have lower overhead.  Still some will fail.  And I believe those companies that play around with creative pricing will fail as well – because deep discounters will put them away.  We all want a good deal.

So look for pricing wars, and customer service bonuses galore, right now, in the bigger retailers.  For example, at cosmetic counters see special treatment, and businesses that sell similar products – take advantage of the pricing wars.  Unfortunately, the only way you can do that is by subscribing to your local newspaper, and by watching the local newscast – both which are appaling to me.

The next wave will bring service closer to home.  The days of doctors making house calls will return.  Specialists in all sorts of areas will be knocking at your door offering special deals.  You’ll have to be keen to know which is best.  Try creating a neighborhood group, or even a small group of neighbors that come over to play cards and discuss these “deals.”

Home based businesses will spring up everywhere.  The problem is knowing which one may be right for you.  Here is my view.

Look for a company with a strong history.  There are many new companys coming online.  Stay away from them.  There are enough old companies with workable businesses that you can get involved with.  My view here is that the track record for brand new home based business companies is atrocious.  You’re going to have to work to make money.  Why not work for a company that is going to be around for a long time.  Many people have been burned badly by companies that folded overnight – after having put years of hard work into them.

I’ve started a few home based businesses, and there are a few things that need to be right in order for you to succeed.  One, is the company, as I mentioned.  Another is the product.  I am amazed at how many companies out there are set up for one time sales.  Find a company that is producing something that is consumed on a daily basis.

And finally, find a company that has a low to zero start up cost, and doesn’t require you to buy stock.  With the Internet, it is just too easy to order online and drop ship.  This is efficient.

So watch for the markets to adjust, or correct; be aware of the many advantages of huge sales companies will have.  And then start your own stream of income.