Times have changed. So many people today are out of work, working from home, or just looking for a new path.
You might have heard that it isn’t the best time to start a new business. But that’s not necessarily true – there are countless businesses and startups that can succeed anytime, even in a recession.
Best Recession-Proof Businesses
If you’re daydreaming about starting your own business, this article is for you. Here are 12 awesome business ideas that are recession-proof and actually achievable.
1. IT and computer repair
If the past few months have taught us anything, it’s that online work is the way of the future.
With more and more people relying on laptops, phones, and computers to get their work done, IT specialists are in high demand. Chances are, it’s going to stay that way!
What makes this industry recession-proof? It’s something people need to spend money on. Businesses and individuals will always require professional tech help to stay productive. In fact, in a recession, more people will be looking to repair their tech instead of replacing it.
If you have some IT experience already, now is a great time to take charge of your career and start your own tech services business.
2. Delivery services
Come rain or shine, mail gets delivered. And these days, much more than mail is being sent from doorstep to doorstep!
Whether it’s food, packages, newspapers, or retail goods, delivery services are always in need. Mobile apps have made it even easier to order and send packages, so now is a great time to get into the courier or delivery industry.
If you’re interested in starting your own delivery service, the best thing to do is pick a niche. Find something that you can specialize in and offer fast, affordable delivery – you’ll always be able to find business.
3. Baby supplies
One thing’s for sure – a recession doesn’t stop life! As long as babies are being born, baby supplies are in demand.
Handmade baby clothes, organic baby food, non-toxic toys… the list goes on. If you have a niche product that you can sell for an affordable price, you’ll find plenty of customers during a recession.
The key is to keep your prices reasonable, and to offer something competitors in your price range don’t have. So, when people can’t afford their overpriced baby supplies in a recession, they’ll come to your business for a budget-friendly alternative!
4. Collection and removal services
Even if people aren’t doing as much shopping, trash is still piling up. Collection and removal businesses make a living by helping people get rid of the things taking up space in their yard.
Clearing yard waste, removing old trailers and RVs, or helping people tow a car that needs to be sold are all great ways to help people out while you’re making a buck. Most of us don’t have the machinery needed to clear out waste on our own!
The best part about this industry is that it doesn’t take much initial overhead. All you need is the right vehicles and tools to help people remove their waste.
5. Content creation
Ever heard that a recession is the worst time to monetize your skills as an artist? That’s not the case anymore!
Especially in a recession, tons of people are growing their digital businesses and looking for ways to make money online. That’s where creative people like you come in. Content writing, graphic design, video production, and branding services are always in demand.
If you’re interested in starting a creative online business, freelancing is a great place to start. Market your skills online and build up your client base and reputation. Eventually, you’ll be able to use your creative talents and help businesses grow as your full-time job.
6. Food and beverage services
This one is tricky. While a lot of restaurants struggle during a recession, that doesn’t mean every food and beverage company will take a hit.
The fact is: people need to eat! Affordable, fast, delicious food services will always be needed. The key is to get creative and offer something no one else has.
Meal kits are a great example. Tons of businesses have taken off lately by delivering fresh ingredients directly to their customers’ homes. That way, they don’t have to spend time grocery shopping, or waste their money at an expensive restaurant.
Another good opportunity in this industry is cooking inspiration. Cookbooks and cooking videos can help people create delicious dishes at home while they’re saving money.
The childcare industry is never affected by a recession. Kids need to learn, and parents need to work!
This is especially true for single-parent families in a recession. Daycare provides an engaging, safe space for little ones to stay while their parents are working.
Offering affordable childcare services is a great way to support families in your community and make a consistent salary. Preschool, daycare, sports education, and nannying are all wonderful businesses for someone with some childcare experience. It’s also one of the most rewarding industries out there!
8. Consignment retail
Boutique stores and clothing brands are often hit hard during a recession. Thrift stores, on the other hand, thrive.
When new clothes and home goods become too expensive to afford, people tend to start shopping second-hand. A used clothing or consignment store is a recession-proof business that will always have plenty of customers.
Second-hand stores have gained a lot of popularity in the past few years. Not only are they more affordable, but they are also an eco-friendly shopping option.
If you don’t want to put in the work it takes to open up a brick-and-mortar store, you can also sell consignment online. This is an option that takes very little overhead, and will provide steady income by flipping products through a recession.
9. Health and senior services
Healthcare and senior care are indispensable industries. When it comes to recession-proof jobs, working as a doctor, nurse, or other medical professional is always a stable career path.
But you don’t need a medical degree to work in this industry! There are countless ways to get involved in healthcare, including selling and producing medical equipment or working as an assistant in a doctor or dentist’s office.
Similarly, senior care services are always needed. Working as a caregiver or attendant is a rewarding career that will continue to support you through a recession.
10. Accounting services
Accountants help businesses and individuals manage their budgets. In times of economic recession, accounting professionals are always in high demand.
As an accountant, you’ll have the ability to start your own firm or work for another business. This is one of the most reliable career paths in terms of job security – most people aren’t going to fire their accountant or bookkeeper in hard times.
11. Commercial cleaning services
While housekeeping services generally decline during a recession, commercial cleaning professionals are always in demand.
Most large stores and businesses outsource their cleaning to independent companies. Private cleaners come with their own staff and supplies, which means it’s more cost effective for businesses to hire them than to handle their own cleaning.
Even in a recession, no company can cut back on their sanitization and cleaning. This is another business idea that comes with low overhead – you don’t need to invest in a brick-and-mortar location. All you need is the right materials, trained staff, and reliable transportation.
12. Auto maintenance and repair
Mechanics and auto shops are hardly affected by recessions. That’s because when a recession hits, people are less likely to buy a new car, and more likely to need their old car repaired.
On top of that, services like smog checks and tire replacements are always necessary. If you have any experience as a mechanic, starting your own shop is an excellent recession-proof business idea.
What does “recession-proof” mean?
A recession effects everyone in the economy, whether you’re an employee or a business owner. When less people are spending money, every business is impacted.
In that sense, no business is 100% recession-proof. So, what do I mean when I say “recession-proof businesses?”
I’m talking about businesses and services that people will continue to spend money on, no matter the state of the economy. In other words, these are businesses that supply things people will always need.
Recession-proof businesses are also trend-proof. No matter how the times and styles change, certain industries will always be able to succeed.
Does that mean guaranteed success? No – there is always some risk in starting a business, no matter the economic times. However, a recession-proof business will be able to continue growing and earning revenue even when the economy takes a hit.
Can you make your business recession proof?
The 12 ideas listed above are great for anyone who wants to start a business that won’t be impacted by a recession. But does that mean recession-proof businesses are your only option?
Not necessarily. If you’re an entrepreneur with a creative business idea, you shouldn’t abandon your dream. There are plenty of ways to prepare your business for tough economic times, even if you aren’t in a recession-proof industry.
Here are a few steps you can take to make any business more recession-proof:
1. Protect your cash flow: The most important thing you can do to help your business is to make sure cash keeps flowing in, no matter what happens. Having diversified sources of traffic and multiple income streams will be a huge help if a recession hits.
2. Focus on what you do best: Diversification is great – but adding unnecessary products and services to your business won’t help you survive a recession. It’s best to focus on what your business does best, stand out above the competition, and make sure your loyal customers keep coming back.
3. Don’t cut your marketing budget: You might have to cut back on some business expenses, but it’s important to maintain your marketing budget. Consistent marketing is the best way to keep cash flowing into your business, even when people are spending less money.
To sum it up: no matter what industry you’re in, as long as your business provides great quality services and can consistently bring in customers, you’ll be able to make it through a recession.
The bottom line: Be the best at what you do!
A recession doesn’t have to be a death sentence for all small businesses. There are plenty of industries that will continue to bring in customers and succeed even in the worst recessions.
So, if you’re considering starting your own business, don’t be scared away by a recession. Just find an industry you love and be the best at what you do! Whether you’re a teacher, a mechanic, a creative, or a tech expert – a recession-proof business is possible.