It may seem like an odd question to ask as experts are predicting one of the worst recessions in our history. But, as millions of people across the world are starting to panic about the future, many might have been preparing to create a new business venture. So is it time to stop and wait? Or, should we continue with our plans and focus on the future.
Firstly, there isn’t ever a good time to start a business. Whenever you make the leap, you are going to come up against all kinds of issues. The key to success is a healthy business plan. If you started on this before the current global crisis, then it’s time to revisit it. You need a good financial advisor who can help go through your plan and all of the economic forecast. They will be able to help you highlight areas of concern once the recession begins. This could mean making a few changes and bringing in some extra measures to help you get through the most challenging months ahead.
Many large businesses have started during a depression, from Walt Disney during the Great Depression to companies like Apple and Amazon. So it is possible to forge ahead with your new business, and with innovative thinking, you could create something bigger and bolder than you may have first imagined.
One type of business that does well during a recession is real estate, mainly if you are a wholesale real estate agent—essentially acting as the middle man between seller and real estate investor. During a recession, you could sell more wholesale real estate with Visi’s partner program, and you may also be able to invest in properties and build your portfolio of rentals.
Although restaurants have taken a hit during the pandemic, they offer a place of joy and normality in a recession. So if you are starting up a new cafe or diner, then work out some nights when you lower your prices to keep people coming through the doors.
If you are offering a service such as kitchen installations or plumbing services, do lots of research on your competitors in the local area. Find a USP that will deliver something that the competition doesn’t. Make your marketing snappy and personal so that consumers remember you. Even if money is tight, people still need home services and might also find a new kitchen is affordable if you offer staged payments.
Take your original plan and fit it around the worst-case scenarios. How could you change what you do to offer the consumer something they can’t refuse. How could your business capitalise from the financial crisis that is happening around it?
Essentially the world keeps turning even during a recession, so yes, it’s possible to start your new business and make a success of it, you may also find that it was the best time to kick start your future. Have a strong plan and be confident.