Because I used to teach and coach owners of home-based micro-businesses,
I have been hearing lately from some friends and acquaintances who are thinking about starting home businesses. But,
many of them wonder, with the poor economy and increasing unemployment, is
now a good time to start?
I don't have a crystal ball that will allow me to
predict what will happen with the economy. But the answer to those questions
really depends upon your timing and the type of business you want to run.
This is obviously not the time to start a high-risk or high overhead
retail business. However, the planning and start-up process - if done
properly - should take you at least a few months (especially if you are
still employed). So you need to project the state of the economy (and your
target market) at least that far into the future, rather than dwell on what
it's like now. You may not even have a problem, since things may be on the
upswing again by the time you are ready to start calling on customers. (Or
not! Nobody ever said entrepreneurship was risk-free.)
Beyond that short time-frame, as with any business start-up, you must
determine whether or not there is - and will continue to be - a market for
your service or product.
There probably will be future hard times and recessions, so if you plan to
be in business for the long haul, you should factor market fluctuations into
your business planning.
There are many service businesses that tend to be recession-resistant and
even flourish when the economy is on either the upswing or downswing. This
is when companies often contract work out rather than hire new employees.
With this in mind, you might consider (based on your skills and
interests, of course) offering business-to-business services like computer
consulting; repair services; resume writing; secretarial and other office
support services; and training, tutoring, and coaching.
Any business in the health care industry is probably also a good bet.
This includes anything from medical services such as claims assistance and
transcribing to wellness services and products benefiting the aging baby
boomer population.
Anything in the financial services field should thrive right now. This
includes bookkeeping, proposal and grant writing, business brokering, debt
collection, credit counseling, and tax preparation.
Home repair and maintenance services tend to sustain themselves during
recessionary times. This includes things like plumbing, electrical,
renovations, house cleaning, landscaping, and roof repair. Some of these
things simply need to be done when a problem arises; others are a result of
people's tendency to stay home and feather their nests when the world
becomes a scary place.
And sadly, security services are also in high demand during financial
downturns.
While, in the past, the green sector hasn't always been financially
resistant, I think that times and changing as people become aware of the
climate crisis we're in. So you might also consider businesses that help
individuals and other businesses become more sustainable. For instance, you
might investigate sustainability consulting, home
energy audits, renewable energy, market gardening, natural baby products, or
organic/vegetarian/vegan catering.
So look at your skills and interests (as well as available capital, time,
and family support), then match them to the need in your area of expertise,
and go for it!
Wendy
Priesnitz is the editor of Natural Life Magazine and the author of 13
books,including
Bringing it Home (now out of print).