Discover Six Business Ventures That Thrive Even During Economic Downturns
STARTING A BUSINESS | SIDE JOBS
6 Recession-Resistant Small Business Ideas
By
Lorraine Smithills
Updated
October 11, 2023
Are you hesitant to start a business due to an uncertain economy? It’s true, beginning any venture does comes with risks. However, some businesses actually do well, even in tough economic times. Here’s a look at six ideas for recession-resistant businesses, from essential daily services to innovations for a better future.
No business is truly risk-free, but these ideas could be a great way to bring in some extra income.
1. Delivery Driver:
Being a delivery driver can be a stable business even during recessions. People continue to shop and indulge themselves even during tough times. With busy work schedules, they might lean more towards food and other delivery services. With online shopping being a part of our daily life, demand for delivery drivers remains consistent, making this a solid business idea. Start-up costs are relatively low, as long as you have a suitable vehicle and a smartphone. Platforms that manage orders and payments are ready to have you onboard. Keep in mind different platforms have different requirements and you will be responsible for handling your taxes.
2. Specialized Care Services:
The healthcare sector remains stable because people get sick regardless of the economic situation. From doctors and nurses to janitors and receptionists, there’s always a need for healthcare workers. Even without a medical degree, you can still offer elderly care services like cooking, cleaning, and shopping. Platforms like Care.com can help you offer services within your community.
3. Repair Services:
During hard times, people tend to repair items instead of buying new ones. If you can offer repair services for appliances, vehicles, electrical items, or even clothing, your services will be in demand. To upscale your services, consider offering collection and delivery of items.
4. Financial Services:
In a recession, people pay closer attention to their money, making financial services a recession-proof business. Many people prefer to have a financial professional handle their tax returns or bookkeeping. Even without formal qualifications, you can share your financial planning expertise through platforms like YouTube and benefit from a rising number of subscribers.
5. Freelancing:
Freelancing offers a wealth of opportunities in a recession. Whether it’s being a virtual assistant, graphic designer, writer, or consultant, freelancing is a reliable means to earn during economic downturns. Platforms like Upwork and Freelancer can help you find projects you’re interested in and secure payments.
6. Home Improvement Contractor:
When moving houses becomes costly during a recession, people invest in home improvements instead. If you’re skilled in carpentry, plumbing, or general construction, you might find consistent demand for your work. However, you need to familiarize yourself with permit requirements in your area and source materials for projects.
Not all business ideas are recession-proof. For instance, high-end travel services, housing construction, interior design, and vehicle sales typically suffer during economic downturns.
Even though a recession can be unsettling, there are recession-resistant business ideas which can provide financial security or additional income if you’re concerned about job stability. Choose an idea based on your interests and skills to position yourself as an expert and attract potential clients.
Investment Platforms You May Consider:
Public, Moomoo, Webull
Note: These platforms all offer commission-free trades of stocks and ETFs among other features. Your choice depends on your needs and preferences.
