Yes, you can start a small business even during a recession. Some small businesses thrive during a difficult economy. These businesses are called counter-cyclical businesses. Starting any small business during a recession is a baptism by fire, but if you can survive, you will thrive as the economy recovers. These business ideas are viable during a recession. As the economy recovers, they will still be sustainable businesses that will prosper.
1. Accounting Services
Who would guess that accounting services would prosper in a recession? According to a survey done by Intuit
in 2009 of 250 accountants and 250 small business owners, about 80% of small business owners said they felt more confident having an accountant as a close business advisor during this uncertain economic time. About 73% of accountants are proactively advising their clients on how to conduct their businesses during this trying economic time. Rich Walker, an executive with Intuit, said, in a recent interview, that the accountant was a piece of the puzzle for the small business that included others such as the banker, the attorney, and the financial planner.
2. Bulk Food SalesWhen economic times are tough, many people buy food in bulk. They buy large quantities of items like flour, sugar, laundry detergent and any other products they use on a long term basis. A good idea for a small business is a bulk foods operation.
3. Affordable Luxury ItemsAffordable luxury items seem like a contradiction but it isn't. During a recession, people tend to feel deprived. Starting a small retail operation that sells a mid-level luxury chocolate instead of a top-level luxury chocolate might do very well. An ice cream shop that sells a cut above regular ice cream, but in small quantities, might prosper. You could start a travel agency that specialized in affordable, but luxury vacations. An example would be a luxury vacation in the United States instead of in Europe.
4. Debt Collection Agency
An obvious business to start would be a debt collection agency
since many people can't afford payments on credit cards or other debt during a recession. To reduce your overhead costs
, you can actually run this type of business out of your home.
5. Resume-Writing ServicesDuring a recession, unemployment is high. Many people lose their jobs. Along with unemployment, there is also underemployment where people aren't working up to their potential. Everyone is looking to polish up their resume. There is a demand for experienced resume-writers, another business you can run out of your home.
6. Auto Repair ServicesAuto repair services grow by leaps and bounds during a recession. The last thing people want to do during a recession is make a large purchase like a car. They try to keep their current cars running instead. If you are an unemployed auto mechanic or if you are a business manager who wants to start an auto repair business, you're in luck during a recession. It's probably one of the best businesses you can start. Even when the recession is over, there is always a demand for auto mechanics.
7. Home StagingMany people have never heard of this business, even though it has been around for a long time. During this difficult economy and the bursting of the housing bubble, it has become more difficult than ever to sell a home. A home stager has become vitally important. Simply put, a home stager makes your house look good and appealing to possible buyers. They know what buyers want and how to make your home appeal to them. If you are an interior decorator, this is a recession-resistant business for you.
8. Virtual Assistant
The job of Virtual Assistant didn't exist just a few years ago. During the recession, this profession has really grown has companies have not had the money to hire expensive staff people on site. As a result, they have had to outsource many functions. The Virtual Assistant serves as an administrative assistant to executives, CEO's, entrepreneur
s, and entire businesses. The communication is done online and on the telephone. Virtual Assistant's are cheaper and just as efficient for businesses as in-house assistants. The job is nearly recession-proof.
9. Tutoring Services
Tutoring services is another job that is virtually recession proof. Many individuals go back to college when the job market is tight. As different sorts of job become available, such as jobs in green industries, tutoring
services are going to be even more in demand. If you are a tutor, you can conduct your business online, in person, or both, which makes it very versatile. If your field is a popular field, then all the better as your services will be in high demand.