How to Thrive in a Recession: A Strategic Playbook for Founders

If you’re a SaaS founder navigating uncertain times, the question isn’t “When will things return to normal?”—it’s “What’s the new normal, and how do I win in it?”

In this timely talk recorded at the start of the 2020 pandemic recession, Victor Cheng draws on over a century of economic patterns and business case studies to help founders pivot effectively—not just survive.

Here are a few key lessons from the session:

1. Recessions Don’t Kill the Economy—They Reshape It

Economic downturns don’t obliterate demand. They shift it. While GDP might shrink by 5%, the internal redistribution of spending is far more dramatic. Your goal? Stop waiting for recovery—and start realigning with new buying behavior.

“The winners don’t wait for normal to return. They redefine what’s normal and adjust accordingly.”

2. The Rigid Mindset Destroys, the Agile Mindset Thrives

Founders who emotionally anchor to their pre-recession playbook suffer most. The faster you accept new market conditions—even if you hate them—the faster you can adapt and grow.

3. The Rigid Mindset Destroys, the Agile Mindset Thrives

Step one: secure your cash flow. Step two: re-research your market—understand what your customers want now, not last quarter. Step three: grow from your new base.

This sequence is non-negotiable. Skipping to growth before cash and customer clarity is the fastest path to irrelevance.

4. Look for Shifting Priorities, Not Just New Needs

It’s not just that people want new things—it’s that they want old things for different reasons. Is your messaging aligned with this shift? Are you solving pain points that now rank higher in your customer’s priority list?

5. Real Companies Were Born in Recessions

Walt Disney. Charles Schwab. Costco. HP. These weren’t lucky anomalies. They were nimble companies that seized market gaps left by inflexible incumbents.

6. Align First, Then Scale

If your product solves a “new normal” pain point, get aggressive. Reposition, remarket, and let the market know you’ve adapted. There’s opportunity out there—just not where it used to be.

Want more clarity for your specific situation? Apply to work directly with Victor at: SaasCEO.com/request

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