If you are planning to start a small business during a recession, there is still the chance that your business can thrive in a less than perfect economy. These businesses are often referred to as counter-cyclical or recession-proof businesses.
The following are the best businesses to start in a recession. They are not only viable businesses to start during a recession, but they are also sustainable businesses for when the economy picks up.
Yes. Even during a recession, accounting services are essential and can prosper. Accounting services offer small businesses counsel and advice regarding financial matters during a recession. Accountants have been proven allies in these uncertain times by boosting the confidence of business owners.
Bulk Grocery Sales
Buying in bulk is just one way to save money on the food items we purchase weekly. When the economy is not as strong as it is usually is, people turn to bulk food shopping to stock up on staple items they will need and can store on a more long-term basis. Some commonly purchased bulk food items include flour, sugar, and laundry detergent.
Affordable Luxury Items
During a recession, people often feel like they cannot get the luxury items they are used to because the price is just out of their reach. However, affordable luxury items that are more mid-tier options are a good alternative.
For example, not many can afford top-level chocolate during a recession, but they can afford a mid-level luxury chocolate offering. The same can be said about a travel agency choosing to cater to more affordable and luxurious vacation offerings.
Even during a recession, people need tutors. People go back to school in the hopes of landing better jobs, and more jobs will become available. Tutors will be in high demand and are a versatile business that can be done online, in person or even both.
Many businesses outsource staff rather than hire people on site. A virtual assistant is one such position. Much of the communication between the virtual assistant and business is done online and over the phone. Virtual assistants are also a more affordable option for businesses and are practically recession-proof.
People will always need to buy products, regardless of what’s going on in the World. The beauty of an online shop versus a bricks and mortar store is the low overheads. So whilst you might see retailers closing down physical stores, this doesn’t always translate to things are not going well for retail in general. Usually it’s the lack of profits and high costs the reason why bricks and mortar close their doors. So if you want to start an online business think about products that people will always need such as furniture, food items (vegan, organic), skin care and baby & kids products.