For a dozen years Carole Rosenblat has worked as an independent on-site meeting manager. While she and her business have weathered economic crises before, this year, her comfortable career all but came crashing down around her. For starters, one of Rosenblat's biggest clients was Countrywide, one of the mortgage giants at the center of the subprime mortgage mess. After Countrywide collapsed earlier this year, other clients began canceling or postponing meetings, almost completely clearing Rosenblat's schedule. She worked only one week during each of the months of September and October.

"I'd love to ride it out again [like I did after Sept. 11], but I'm in a different situation now," Rosenblat said. "That year, I lost my down payment on a house, so I waited another year to buy a house. Now I have a house and a mortgage, and my health insurance just went up. I'm not sure if I have a choice to wait it out."

At press time, Rosenblat was considering a significant pay cut and a cross-country move from Arizona to North Carolina, to take a job with a meeting-planning company. "I turned them down because of salary," she said, "but after the stocks crashed, I called them back to see if the job was still available." Although independents must face the harsh realities of the current economy alone, their challenges are hardly isolated. Like Rosenblat, Eli Gorin, CMP, of gMeetings Inc., has watched his meeting lineup slowly shrink this year. "One of my pharmaceutical clients cancelled all their division meetings for the remainder of 2008, and my largest meeting of the year, another pharma, [will] not happen in 2009," Gorin said. "Another of my main clients just recently cancelled their last event of the year, due to the economic downturn during [the third quarter]."

Shawn Quish, CMP, of Worldwide Meeting Management Inc., became an independent planner after being laid off last year. In July, his largest client, Sprint, "cut all contractors," he said. "I had to start to rebuild my clients to fill in for losing a large client. To honestly make a living, I will need to have more clients in 2009, or more meetings."

Heading Back to the Corporate World
Bobbi Reed, a former independent meeting planner with BJ Reed & Associates, took a job earlier this year as director of operations at Infinity Park in Glendale, Colo. She had worked as an independent for more than 10 years. "Over the years, my business had gone through many phases; the best of times was when I was in charge of hospitality events at the Olympics and PGA tournaments," Reed said. "Then my clients began to disappear, through layoffs, mergers, and acquisitions. My strength was never cold calling. BJ Reed & Associates succeeded because I had a great network of clients who knew my worth and wanted their events to be managed by someone they could count on for an incredible outcome."

After an introduction by a contact in her professional network, Reed's company produced Infinity Park's grand opening and other events in 2007. Following that collaboration, Reed's client asked if she would be interested in a full-time job, and she jumped at the chance. "You just know when something feels right," she said. "This was the right place and the right time for me. I won't get rich on my salary, but it's nice having someone paying into my retirement account."

Even some independents who are experiencing success still say they wouldn't turn down the right job if it came along. Denver-based Suzan Patrick of Transformational Resources Inc. says the economy forced her to become independent, as she was laid off from a full-time job in March, but she's "actually doing very well," she said, "having to turn away some work."

Patrick plans corporate meetings and incentives, some social events, and nonprofit events, and has worked on big events like the Super Bowl and the Democratic National Convention. She hopes to work on the Winter Olympics in 2010. Despite her success, Patrick is keeping her options open. While she has looked for a full-time job, "there isn't much out there in Denver at this time, and the market is flooded with people looking," she said. "I'm still keeping my eyes open and wouldn't mind a full-time gig, but I am also enjoying the flexibility of project work."

Keeping It Going
For many independents, keeping options open doesn't mean considering full-time employment; it simply means sticking it out and finding new ways to make a business work in an iffy economy. For example, although Gorin has dealt with several cancellations this year, he's avoided losing significant revenue by incorporating safeguards into his contract. "I have terms in my contract which are similar to attrition clauses you may find in hotel contracts," he said.

The amount a client is required to pay depends on how close to the meeting they cancel. "My terms are always a minimum of a 50-percent deposit of the fee upon signature, which is non-refundable," Gorin said. "The remainder, depending on the timeframe, is due usually within a month of the event. When an event is cancelled a week prior, for the most part, fees are paid for in full and there are no refunds. I put in plenty of work from the time of signing to the moment leading up to the event, and that is what the fee is covering. In addition, the fee covers the work that must be done to renegotiate with the hotel and any vendors for deposits or penalties that may occur as a result of a last-minute cancellation."

Hannah Greenberg of Meeting Mavericks says her company also addresses compensation for a meeting cancellation in its contracts. "We sit down with the client at the time the meeting is initially proposed and agree on a dollar amount in the event a cancellation comes into play," she said. "We also bill the client for services rendered up until the point of cancellation."

But instead of simply agreeing to a cancellation, Greenberg tries other strategies first. "Rather than cancel a meeting completely, it is our practice to offer a rebook of the meeting for a future date within an agreed-upon time period," she said. "It may be within eight to 12 months, depending on any restrictions imposed by the venue. In this scenario, a percentage of the venue's cancellation fees may be used as a credit towards the future meeting. If everyone is on board with that strategy, it is a favorable solution for all parties, including us. If the client does not wish to rebook, our next step is to reach out to our customer base and offer the venue, dates, space, and guest rooms of the cancelled meeting. We have actually had a successful outcome using this strategy; although the specs of the two meetings were not identical, we were able to work out the logistics with the hotel and replace the cancelled meeting with a new meeting hosted by an unrelated company."

Safeguarding against cancellations is important - but if nobody's scheduling meetings, there's still no revenue to be had. That's why a number of independent planners have broadened their skills and service offerings, adding new revenue streams along the way. "As someone with 30 years in this business, I've been through this before," said Sandy Biback, CMP, of Toronto-based Imagination+Meeting Planners Inc. "That's why I've gone into teaching and doing consulting with clients and then letting them do the conference [themselves]. I have also developed a [partnership] with a private company that does seminars in many areas, one being event planning, to government agencies.

"I believe that those who diversify and aren't afraid to add new tools to their portfolio will survive," Biback said. "I believe that this is cyclical and we can trace this in the past. Some will fall by the wayside, others will take full-time jobs, and some will change careers entirely."

Charlotte, N.C.-based Bonnie Wallsh, who's worked as an independent planner since 1978, has also diversified her offerings. In addition to planning conferences for a nonprofit association, she is an adjunct faculty member in the meetings departments at three universities, and conducts training seminars for administrative assistants and others who must plan events without formal training.

Like Wallsh and Biback, other planners "may need to look into diversifying their offerings to clients," Gorin said. "Some [clients] may not be interested in full-service planning, but may be interested in other consulting work and assistance. It may not pay as much as the full-service planning, but with the economy, it's better than nothing. In fact, it could be a stepping stone for planners to get in with new clients. Offer a smaller service now when the need isn't so great, and when the economy bounces back, you may get a surprise call asking for full-service assistance for a major conference that the company needs to hold."

Even those independents who aren't expanding their services have found that they must renew their focus on marketing, networking, and building clientele. Quish says he spends a lot of time networking at local industry meetings, updating his profile on LinkedIn, and making connections. He's even posted an ad on Google AdWords.

"It's crucial to have a business plan and a network of colleagues," Wallsh said. "Get involved in associations like PCMA, and get involved online in such forums as MiForum and the MeCo list. People will get to know you by name if not by face, and they'll think of you when they need a partner." For instance, Wallsh invited a fellow independent she knew only from her posts on online forums to help with a five-day meeting earlier this year. The client was so impressed with Wallsh's colleague that "she'll be back with us next year," Wallsh said.

How to Make It Work
While networking - online and offline - can aid independents in finding help when they need a partner, it can also keep them in the running when someone else needs an event partner. Maintaining a network of like-minded professionals is also helpful for sharing ideas and successes as all members slog through the economy. "I decided in 2005 that I was ready for something new, though I did not know what that looked like," said Reed, who didn't take her job at Infinity Park until early this year. "I sent out an e-mail to my network asking them to help and kept the conversation going. The Infinity Park opportunity feels like it just dropped in my lap, but I know better. My network brought the opportunity to me, and then I made it a reality because it was a good fit for me. Let people know what you want to do, what you are good at doing, and where you want to go, professionally and geographically."

In addition to networking, Biback said, it's crucial to "diversify." Independents can consider public speaking, teaching, or training, or come up with additional angles to complement their planning businesses.

Finally, committed independents must remain focused on their goals and resist the temptation to shortchange themselves or their businesses. "The economy is helping no one right now, but being your own boss has its good and bad times," Gorin said. "We are heading into one of the bad times now, but if you can weather it, then there is plenty of good to come. Do not undermine yourself, and definitely don't let anyone undermine your business. Realize the true value of your work, and make sure your clients and potential clients know and understand it."

Contributing Editor Nancy Mann Jackson is a freelance writer in Birmingham.