Starting a Business in a Recession

Re: Starting a Business in a Recession

leposava;40154 wrote: Starting your own business in today’s economy seems like a very bad idea, and most people are certainly going to wait for some brighter times to realize their dream of becoming entrepreneurs. The fear of failure is not baseless, but the truth is that with starting a business comes a possibility of failure regardless of the current economy. You should remember that some of the best companies started during the recession, they just knew how to recognize people’s needs at the time, and than grew along with the economy. That is a true recepy for success.

www.bizcloud.net

Yes, I am agree with you. That time is very bad for develop a new business.

Re: Starting a Business in a Recession

Hello
1 - Don’t borrow money if you can help itI learned a long time ago, “you can’t go broke if you don’t owe any money”, so if possible, keep things on a low budget, don’t buy it if you can’t afford it. Do small marketing campaigns and test how they work before spending any more money.

2 – Do something you know and have contacts in that industry.It’s much easier to start a business in an industry or craft that you have experience of and also have some contacts. If you “stick to your knitting|”, you have a greater chance of success. Having said that, some people start a business as a life changing decision to do something entirely new, and to get away from the job or industry they worked in, but hated. That’s fine, just be aware that anything completely new to you will have a learning curve and it may be a while before you are earning. On the flip side of this, if you start something you are passionate about, you are much more likely to succeed.

Re: Starting a Business in a Recession

Hi,

I am a new member here too but i am so so impressed by the knowledge of members here.The advices given are very helpful and mature.
Hope you enjoy learning here.

Regards
Frank Slade

Re: Starting a Business in a Recession

leposava;40154 wrote: Starting your own business in today’s economy seems like a very bad idea, and most people are certainly going to wait for some brighter times to realize their dream of becoming entrepreneurs. The fear of failure is not baseless, but the truth is that with starting a business comes a possibility of failure regardless of the current economy. You should remember that some of the best companies started during the recession, they just knew how to recognize people’s needs at the time, and than grew along with the economy. That is a true recepy for success.

www.bizcloud.net

The key to a successful venture of any kind is to identify a NEED that you are uniquely qualified to fill. This need could be a product (that's how paperclips and POST-its came in to being) This need could be a service. (Look around you today, what do people need?) This need could be both.

If you aren't sure what needs exist in your community, sit down and read the local paper, talk to people in your area of expertise. Do not tell them that you are starting a business--tell them that you are writing an article about the biggest problems in their business. Then try to find people or businesses patronizing that business. Find out what their needs are.

Starting a business at any time is risky. Starting a business in a depression has one great benefit and that is lowered competition. Most people are afraid to start a business in an economic downturn.

Braintrustee

Re: Starting a Business in a Recession

Hello
Starting a business today, with the way the economy is, can be scary for anyone. Don’t let it keep you from making your dream of owning a business a reality. It can be done with careful planning and consideration before jumping into owning your own business. Some of the most successful companies were started in a recession because they fulfilled a need for products or services that were necessary even in times of an economic downturn. These companies continued their success throughout the turnaround of the economy as well. Use the following 10 tips for starting a work from home business in a recession to help you get started.
1.If you are lucky enough to still have employment, keep it while you start your new business venture. Wait until you are sure that your business is going to make money before letting go of your regular paycheck. Jobs are hard enough to find, and if your business fails, you may be stuck with no income at all.
2.Careful planning will need to be done before deciding what type of business you will start during a recession. It must be able to prove it’s needed even during a time of economic downturns. A business plan is a must.
3.Research is a necessity while coming up with a business plan. Make sure you know everything there is to know about the industry you are breaking into.

Re: Starting a Business in a Recession

Hello Friends....

Recession-proof your business:

1.Write a business plan that would tailor your business opportunity to client "needs", not luxury products or services. Go for products or services that are less expensive.

2.Make sure you have enough funds to keep the business going until you become profitable.

3.Offer clients your best price. Do a market study on how much clients would be willing to pay for your products and then make sure they are priced less than those of your competition.

Thanks

Re: Starting a Business in a Recession

Thanks for your post,

Yes, I do believe that every disadvantage has it's advantages, and that
especially in an economic downturn there can be unique opportunities.

An other approach could be to start a business without having to keep any inventory
and that way not having to be at risk of not selling any of the products you invested your money in
to get a return on investement.

You can do this by simply (Pre) Selling other peoples products, because
with Affiliate Marketing you just have to bring people to a webshop and when it becomes
a sale, you get a commision, it's as simple as that. You don't have to keep inventory yourself, you don't have to have a
special customer service department when there are problems with the delivery or things like that.
You only have to bring people to a webshop, I do this by writing on my Blog(s) about for example the experiences I had with
certain products, writing (Blogging) about what I like (or dis-like) about a certain product.

'It might take some time to really get it going,
but the great thing about it is that you don't have to
work 'IN' it you can work 'ON' it when ever
you have the time '

All the Best,
To your Happy - Small Business - Inspiration,
HP

Re: Starting a Business in a Recession

Now a days the economy is going down so no one think about the best business to do. To grow up the economy the business plan forum will be created and apply it to further companies.

Re: Starting a Business in a Recession

I read a business book of the last semester, and to my surprise, I think they said that the current recession is a good time to start a business.

This is how I think its plausible. Today, everything is down, everything is sky high - as we all know, the recession bounce the graves to be in. Basically, when you invest early, you can benefit from increased sales, and proceeds will returned tenfold.

The same book says that the best known companies - like Microsoft, IBM and other big name companies - companies formed in periods of recession. This is not just their ideas that their activities have exploded to new heights. Its actually the right place at the right time mantra.

Re: Starting a Business in a Recession

# You get access to mentors and training,
# you get to focus on THE MOST IMPORTANT aspect of any business (marketing it),
# the start up costs and very small (compared to just about anything else),
# the product is already developed for you
# many great marketing materials already exist
# the right network marketing company ships products, and changes your clients for you
# you can enjoy tax benefits that can translate to more money in your regular paycheck before you even make a dime in your new busines

Re: Starting a Business in a Recession

Project management to further your thought, maybe due diligence is that much more important when looking to start or buy a business in a recession than a strong economic market.

Re: Starting a Business in a Recession

If you do decide to start a small business during a recession, there are many tactics that can be implemented to lower costs. For example, switching to a small business VoIP (Voice over Internet Protocol) can help your business save from 30% to 80% a year by eliminating monthly phone bills.

Re: Starting a Business in a Recession

Despite the economic downturn, some sectors are doing very well. They seem to be companies in the recession. If you want to start your own business, a recession may be one of the best times to take the plunge.