Leading From the Back: Part Two
In my second installment of Leading From the Back, I want to spend a moment in this economy.
First, a State of the Union—as I’ve observed it in Q1 and Q2 of 2025
I work across four different industries: Development, Real Estate, Rental Markets, and Mobile Transport.
Here’s what I’ve seen so far this year:
- For one of our development projects, we’re about to receive final costing. Lumber prices are up, steel is down, and labor seems to be trending downward. Our contractor remains optimistic that this project will still pencil out financially.
- In real estate, I’m seeing renters stepping into home ownership. These first-time buyers are looking for the stability of owning, especially with rising rent costs pushing them in that direction.
- The rental market is showing small gains but, overall, rates are holding steady.
- In transport, we saw a lot of enthusiasm right after the last election. There’s still growth in transport needs, but the demand now feels more cautious and measured.
💡 Overall: I’m seeing better profit margins across all of my companies this year than I did last year.
Last week, while talking with my hairdresser, we drifted into a conversation about the economy.
We agreed: before this current presidency, most of us (citizens of America) felt like we were on the Titanic. We knew the government’s operations weren’t sustainable. We knew we were sinking. In a way, we had resigned ourselves to it.
Now, it feels different. Like we’re all drunk at a bar. We are unsure where we are, where we’re going, or even what’s real.
With AI moving at lightning speed and the government making changes we’ve never seen before, the ground beneath us feels... unfamiliar.
There is no precedent for this. We don’t even remember what sober feels like anymore.
These shifts are starting to ripple into my organization.
Just last week, my chief of staff, who has been working on architectural renders for a project, asked if she should pause the zoning visuals in light of recent market changes.
It got me thinking. After a moment, I told her:
“The reason my role exists is because I continue to plow forward—even when things seem uncertain.”
We will continue to move our projects forward.
Cautiously. Carefully.
But not in fear.
Because business isn’t black and white.
People often divide business growth (and recession strategies) into two camps:
- Leveraging credit for faster acceleration
- Holding cash reserves for greater stability
This polarization isn’t unlike the classic conservative-versus-liberal debate. But just like politics, business rarely fits neatly into binaries.
Markets are shifting. New directions are emerging. And not everyone will benefit.
When I managed financial accounts during the 2008 crisis, there were a few principles I maintained that kept my clients afloat amidst so many sinking peers:
- Cash is still king.
- Move forward, but keep an eye on your accounts, daily.
- Run LEAN. Your business DOES NOT need those subscriptions, those coffees, or that new sign out front. This is not the season.
- Keep what is essential, ESSENTIAL. I’m talking toilet paper and payroll. If you struggle with that, try making it a game.
- And above all, don’t freeze. Don’t spend so much time analyzing that you panic and don’t do anything.
Good farmers still plant seeds—even when the forecast is unknown.
Maybe this is the year of soft rains and a bountiful harvest.
Maybe it’s the year of hailstorms, drought, and freezing winds.
But the farmer who doesn’t plant?
They may avoid loss, but they guarantee they won’t gain.
For the whole blog, check out the linked in article:https://www.linkedin.com/pulse/q1-q2-what-im-seeing-still-doing-joy-luedtke-n7gxc
