This is truly an incredible time to let the entrepreneurial spirit shine. It may seem like an odd thing to say with the economic climate the way it is, but actually, there couldn’t be a better time to get off your butt and chase after that dream.
Here are three proven reasons why I think starting a business during a “recession” makes sense:
1. Just about everything is on sale, and in some cases, for a great discount. Thus making opportunities for start up costs lower than ever.
2. If you can launch and scale a niche market solution and gain traction during a recession, then it will more often than not position you extremely well for when the market turns, (I did this with my business, Blue Sky Factory. I started it in 2001 (horrible economic climate, dot bomb, yes people thought I was nuts), I hung in there and then things began to ramp in 2003, we’ve been profitable ever since, and are now hiring in this market.)
3. Bootstrapping is alive and well. The good news is, you don’t really need funding to go out there and start a business. Sure, you definitely need some runway funding to get things up and running, but the barrier to entry has been lowered in so many ways. This is the time to take advantage of it. Leverage every tool available to you online. When it comes to financing, use your own funds first, and a bank’s second. If your idea has larger capital requirements, there are plenty of angel investor groups out there looking to work with entrepreneurs.
This is a great time to start a business and go for your dream.