The theme of this month’s issue is beginnings, which is not surprising considering we’ve just crossed over into the new year. Unfortunately, 2008 looks to be one of the more challenging years for business in recent memory.

New data released by the federal government reveals homebuilding experienced the sharpest drop-off in nearly 30 years in 2007. Economists are wringing their hands over whether this means the country is merely headed into a recession or is already in one. It’s your classic “bad news/worse news” scenario.

The subprime mortgage crisis continues to send shockwaves throughout the economy, with Citigroup and Merrill Lynch reporting losses of billions and Congress discussing financial stimulus packages to boost consumer spending, as suggested by Federal Reserve Chairman Ben Bernanke.

Although the news looks uniformly bad, and should of course be taken seriously, many of the executives we interviewed this month are still optimistic about their prospects for 2008.

Whether based on their own sales figures or just a gut feeling, many of our featured executives say they aren’t scared of what 2008 has to offer.

The shaky economic situation will likely hit the hardest among the most vulnerable of businesses: start-ups. In this issue, we take a look at two of the biggest questions facing anyone wanting to break out and start their own business: “What do I do to get started?” and “How do I get someone to give me the money for it?” We spoke with entrepreneurs, as well as the venture capitalists who help entrepreneurs fund their enterprises, and collected some general advice from both vantage points.

There might not be much to celebrate about in terms of the overall economy so far this year, but the optimism and determination demonstrated by this month's issue should hopefully strike a good tone to start the year off right. Maybe by next January, we'll be able to paint a much rosier picture.