With their unemployment on the verge of running out and no new job prospects on the horizon, how are the unemployed staying afloat?

Some have become unintentional entrepreneurs. They had no intention of becoming an entrepreneur or maybe they were waiting until they retired to turn their hobby into a small business. Some have been working a small side business for years for the extra money before turning it into a full fledged business due to a layoff.

It is all you hear in the news right now. Companies all over are reporting hour reductions, layoffs, and closings due to the economic down turn. Nothing is more heart wrenching than to receive a notice saying, “Management is sorry to inform you that your position will end at 5 PM today. Please take all of your personal belongings when you exit the building at 5 PM. Security personnel will be present at the time of your exit. The company would like to thank you for your length of service and wish you the best in your future endeavors.”

The US Department of Labor reported a ten percent unemployment rate as of November 2009, with an average national job loss of 135,000 for each month of August, September, and October. The Bureau of Labor Statistics recently reported that the unemployment rate for managers and professionals increased to 5.2 percent in September 2009. It was at 2.8 percent in September 2008. It is almost impossible to get an accurate statistic on the unemployed because the government only tracks those actually drawing unemployment benefits. Those whose benefits have run out are essentially lost in the cracks, leading one to believe that the actual unemployment rate is higher than the reported ten percent.

As the newly unemployed hit the pavement to try and secure a new position before their benefits run out, they are finding that it is not as easy to find employment as it once was. Some remember a time when they could change positions every few years in order to move up the proverbial ladder, but now it is just not that easy. Some unemployed have reported sending hundreds of resumes out while attending job fairs that have people lined up around the corner.

Recently interviewed for a New York Times article, Stephen Gallison, the director of Professional Outplacement Assistant Center said, “People typically found jobs in the past within five months, but in this economy that is not a reliable gauge.”

For San Francisco based Annie Wilson, who lost her job at William-Sonoma in January 2009 said, “I had worked in the retail operations department of West Elm and William-Sonoma Home, creating credit information resources for both of those brands. There had been a few layoffs before, but I had survived the first round. Then the second round came where I was part of the 1,400 eliminated corporate positions.” Annie went on to say, “Shocking as it was I also stood optimistic at the same time.” While Annie had never been without work in her life, she thought it would be a nice break to determine what it was she really wanted to do in life. Annie decided to start not one, but two companies. Sourdough (http://www.sourdoughsf.com/) was the first company Annie started. Annie sells her Sourdough line of jackets and small accessories made from vintage fabrics in her Esty shop. She actually had started the line before her layoff, but now finally had the time to finish the samples, website, and graphics, while getting the shop up and running. Annie’s second company, Pointed Letters Creative (http://www.pointedletters.com/ ), offers product marketing services to all types of companies.

After San Antonio based Todd Schoenberger was laid-off in July 2009, he started LandColt Trading, LLC (http://www.landcolttrading.com/ ). Todd said, “I was an executive for a Fortune 200 financial services firm, and what made the lay-off even more complicated was the fact that I relocated my family to the area just to take the job. Needless to say, losing your job after moving 1,600 miles really added a new layer of anxiety to the situation. Unable to find employment, not to mention relocate to another city (companies are not offering the lush packages they once were), I decided to start my own business. In addition, I freelance write to help make ends meet”.

Portland based Jeremy Aasum said, “After four years of working as a graphic-web designer for a local design firm the company had to file for bankruptcy, leaving the entire agency without work. We even had projects waiting to be completed.” Jeremy went on to say, “I partnered with two other designers to form, KAAB (http://kaabstudios.com/ ) to stay afloat and ride out these tough economic times.”

After Baltimore based Martha Rhoades-Spivey was laid-off on December 31, 2008 she started MRS Photography (http://www.mrsphotography.com/ ), a wedding, portrait, family, and corporate event professional photography business. Martha said, “I had been in the photography business off and on over the years, but as a new graduate of Women Entrepreneurs of Baltimore, Inc. this summer, I have a new approach to my business.”

Like entrepreneur Martha Rhoades-Spivey, many are utilizing the various entrepreneurial–learning programs that are available to help entrepreneurs take their business idea, and turn it into a full-fledged business like Women Entrepreneurs of Baltimore, Inc. (http://www.webinc.org/ ) who is a 501(c) nonprofit that empowers lower income and unemployed women to achieve financial stability through entrepreneurship.

Another well utilized entrepreneurial-learning program is the FastTrac (http://www.fasttrac.org/ ) program purchased in 1993 by the Kauffman Foundation. The Kauffman Foundation is frequently referred to as the largest foundation devoted to entrepreneurship in the world. Since 1993, the award winning program has served an estimated 300,000 entrepreneurs educating them in key business insights, leadership and networking skills while also providing mentoring opportunities.

As the news continues to report that more and more employees are receiving that dreaded layoff notice, some who have already received the news have been proactive. They have turned lemons into lemonade by turning into an unintentional entrepreneur, leaving them excited about the future ahead.

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Julie Barnes is a Freelance Writer focusing on her passion of entrepreneurship. Julie published “So You Want to Start a Business…Now What?” (Available on Amazon) in December 2009. Julie lives and works in the Kansas City suburb of Overland Park, KS with her husband Ron and lovable dog Hank. You can visit her site at http://www.onewhowrites.com.

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