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When it comes to starting a new business, you will no doubt want to choose an industry or niche that has the best possible chance of making a profit. While most business ideas fall under that category, one thing that entrepreneurs don’t always consider is the economy. What happens when there’s a new economic recession? Will your new business survive and make it to the other end unscathed, or will it crash and burn?
As you can appreciate, few people want to have a business that will fail during the first sign of economic doom and gloom. So, with that in mind, if you’re thinking of starting a new business venture soon, take a look at these ten recession-proof startup ideas for some inspiration:
1. Accounting Services
There is no denying that service industry businesses are less likely to fail during an economic downturn. One such example is accounting services. If you’ve got previous experience of working for an accountancy firm, and you hold some relevant degrees and qualifications, an accounting services startup business is a great idea.
Why does such a business niche make sense? The answer is simple: most businesses need a professional to manage their accounting and file the right returns with their local or regional tax offices!
2. Construction Products
Did you know that even during a recession, the construction industry is still turning a profit? That’s because there will always be a need for new homes, commercial and industrial premises. Plus, there’s always a demand for property renovations and refits. As you might imagine, such service companies rely on building construction products to facilitate the development of new properties or the improvement of existing ones.
So, why should you set up a business supplying those firms with the raw materials and tools they need to get their projects completed? You’ll never have any “quiet” periods because you are supplying essential products.
3. Bulk Food Wholesaler
When people need to purchase groceries, they will usually do so at their local supermarket. But, when those supermarkets or similar businesses need some stock to fill their shelves, they will often buy from a food wholesaler. As a bulk food wholesaler, your business will help to supply those other businesses with the food products they need for retail consumers.
It won’t just be local and regional stores that will buy their food products in bulk from you. Other businesses and organizations will also do that to keep food available for cafes, event catering, and food market stalls, to name a few examples.
4. Debt Collection Agency
Do you have previous experience in a credit control environment? If so, another example of a recession-proof startup idea is a debt collection agency. As the name suggests, their job is to work on behalf of their clients (other businesses) that are owed money from their customers.
There are many reasons why customers may not pay their bills on time (or even at all). As a debt collection agency, part of your job description is to be a detective and find those customers and request payment for your clients.
5. Auto Shop
Even amid a recession, individuals and businesses still need to have their vehicles maintained. As most people don’t have the skill or inclination to service and repair their cars and trucks, they’ll pay an auto shop to do the work for them.
To start an auto shop, it makes sense to lease an industrial unit that offers plenty of space for vehicle storage and repair. You will, of course, need to invest in the tools and equipment to work on each customer’s vehicle. But, those costs will soon get recovered – even when there is a dire economic outlook in the country.
6. Virtual Assistant
Are you looking for a recession-proof startup business idea that you can run from home? If so, a perfect idea for you is a virtual assistant business! In a nutshell, you would remotely provide business support services to your clients. Examples of the types of services you could offer include call answering, mail scanning, and forwarding, data entry, and even marketing.
You can provide administrative support to individuals like CEOs, entrepreneurs, or even for whole businesses. What’s more, you can work with more than one client simultaneously so that you’ve never got any unpaid idle time.
7. Virtual Tutor
Another startup business niche you can do remotely is virtual tuition. Put simply, a virtual tutor is someone that provides tuition services to students via video conferencing software such as Skype or Facebook Messenger. You can also offer your services via email, text message, and social media.
It’s a brilliant recession-proof business startup idea for those with a strong educational background. What’s more, it gives you flexibility in that you can fit your work around your lifestyle.
The sad truth about today’s society is that crime is always prevalent, even in areas where people might consider low or even no-crime zones. As such, individuals, established businesses and organizations wish to take steps to protect their properties and assets. One excellent way to solve that problem is by hiring private security contractors.
As a security company, you’ll provide the resources to help secure the properties and tangible assets your clients expect you to protect. There will always be a need for private security contractors, especially in tough economic times where people, through sheer desperation, turn to a life of crime to pay their bills.
9. Thrift Store
Most individuals, both in deprived areas and otherwise, are always looking at ways to make their money stretch further. One way to do so is by browsing thrift stores for cheap secondhand goods like clothing, electronics, and children’s toys.
While some thrift stores are run by charities, others get operated by entrepreneurs that also seek to make a contribution to their local communities.
10. Website Design
Last, but not least, another work-from-home startup idea that is recession-proof is website design. One of the biggest advantages of such a business is you can target a global audience from the comfort of your home. Even if your home country is in the midst of a recession, you can target clients in more stable areas of the world for custom.