Do you think this is a great time to start a business? If so, what kind of business would you start? How can you turn adversity into opportunity?
Do you think this is a great time to start a business? If so, what kind of business would you start? How can you turn adversity into opportunity?
Whether or not now is a good time to start a business would depend on what type of business it is. The service industry is probably the safest way to go. Most people can no longer afford the extras. Rather than buy new, people are opting to fix what they already have.
i agree with ron on the fact that it depends on what type of business to start. if its something that can help people in these times, then by all means, but if its something that is not essential, now is probably not the best time to start it up. you can turn adversity into opportunity by planning and organizing a new business in this down time (recession) to make it perfect when the time is right to come about it.
I think right now is the perfect time to start a new business actually. I’m not saying now’s the time to open up a new real estate firm or a new car dealership, but with careful planning and organization, the right business could sore in no time. Since most people are currently in the middle of a financial crisis right now, it’s true that they can no longer afford the “extras.” You merely have to take that in to consideration and build upon it. If the services you offer are what people NEED, and potentially couldn’t live without, then money or no money consumers will find a way to come with the cash to buy your services. Market it right and it will receive the publicity needed to get your product out there. Even better than this though would be to start up a firm that offered assistance to those currently in a desperate situation. Once they find out what you’re offering and at a reasonable rate, I’m sure there’ll be no shortage of customers, seeing as it will only better their own lives in the long-run.
Today is the perfect time to plan a business, but not to expect a thriving business right away. An entrepeneur must understand and plan for scaling up and restructuring when the market demand changes. While it’s the perfect time to start and grow a business based on “what people NEED” (as Trevor Brooks wrote), you won’t continue to grow if you can’t be competitive once the demand for luxuries and emotionally driven finance replaces the needs and shrewd decisions of the current spender. The next few quarters will be good for networking, finding the right locations, sorting out which institutions will survive the current crunch, and avoiding those ones which could result in your own business’s collapse.
If I absolutely had to start a business in these circumstances, it would be needs-driven, home delivery, and mostly word of mouth marketed. I just don’t think there’s enough margin for error in a low profit environment to hire for long term growth until families start spending again.
Starting up a business today can have great potential. People today are in need of services, in particular financial services. With the economy as bad as it is people are in need of advice and consulting on how to manage their money better. If you have the capabilities and only charge a small amount for each client, you will continue to get more and more clients and have very little start up costs.
I think it would be a great time to start a business if you’re going into the right business. I’d take advantage of the fact that there wont be much competition during these hard economic times. I think you do need to be prepared for some hard times when starting a business- you might struggle for a while but being determined and using the right connections will help. Also, now a lot of big companies are closing and people don’t want to travel far (especially with gas prices rising slowly), so you might do well starting a business in certain areas.
I do not believe it is a good time to start a business in my circumstances because I do not have the funds to start the business that I would like. On the other hand if you play your cards right then starting a business right now can be very rewarding in the long run(it also would be rewarding not in a recession). If i was to start a business it would be in the form of radio or something to do with children. Maybe an after school program or even a radio station. Catching a break will definitely help you overcome adversity and networking yourself. Hard work and determination also will be a key factor.
In reading the articles about starting business’ in a recession… it appears that some of the biggest companies we have today were created on about and around recession periods with very little money. The key is to look at what the economy and its people need or will need. A good example is toys r us. The man that started it had barely any money but looked at the ‘baby boomers’ opportunity where there would be many newborns and such and they would all need toys and accessories. You just have to know what people want, be good at marketing and getting investors. Most of all, you need to have the drive and the will to do what it takes, and to possibly somewhat suffer to get where you want to be but in the end its worth it if you can get on top.
I feel starting up a business now could give an entrepreneur a great opportunity to grow. The business that is chosen must not only satisfy its potential market, but it must also tend to the current state of the economy. Right now people need a service or product that is efficient and has the right price tag. Like others have listed in this blog, starting a car dealership or real estate company would be a set up for a downfall. But a service that people cannot live without no matter the state of the economy and for the right price would surely grab people’s attention and have a great possibility to expand. Beginning a business now could have great potential as long as it is implemented very cautiously and has considered the state of the world right now.
Like most people in this discussion are saying, I, too, feel that whether or not now is a good time to start a business depends on the business one plans to start.
I love to daydream about potential businesses I could start and make a go of, even in this economy. And while, for security reasons ( :) ) I don’t want to divulge what those businesses are, I fully intend start one inparticular, in the near future, that would probably thrive the most in this bad economy. (No, it’s not the wedding jewelry…)
I think that now can be a very exciting time for an entrepreneur – I’m excited!
Grace,
You seem pretty well-organized and I get your decision to keep the details of your business ideas under wraps, but you’ve really piqued my curiousity. What sort of business model are you planning to use for your new idea? How will you reach your first customers? Will you be renting a location?
I think you were talking about the success of a seaglass jewelry business last week, so if you don’t feel comfortable sharing your future plans I’d like to hear something from your experience. Did your business run as expected? Did you find that you had to make any major changes as the business grew?
Anyone else who has experience with a successful business is welcome to chime in, and Ms. Rondon, I hope I’m not getting too far off-topic.
What I WILL divulge about my “secret” business is that there will be no need for a rented space, nor should it require any money to start…but that’s all I’ll say…
As for the seaglass business, I design and handcraft jewelry made from seaglass and seashells, however, I have not officially started my business – yet. In my marketing class with Professor Rondon, I came up with an online business that marketed my jewelry to brides having sea themed weddings. I must admit the project went very well, and I became interested in using my idea to create an actual business out of it.
I am really happy that I will be able to continue with my project in this class, and hope to be able to develop my business even more so that I can start it in the near future.
Purely out of observation, without having done any formal demographics inquiries, any sort personal business that cater to the wealthy would be a promising endeavor in these times. Agreeing with the concept of the service industry being the safest bet. These want in all career driven individuals succeed at the cost of time, time to attend to the domestics of life in general. Anything from housekeeping, laundry services, personal organizing, childcare services, pet services, gourmet meal prep and delivery, etc… the catch as many of these are currently thriving…but as the economy worsens, who doesn’t want to save where you can, therfore create an innovative hook to get their attention, provide higher quality, less costly, and more efficient sevices and network like crazy!
whether it is or isn’t a good time to start a business can be debated. it all comes down to the business and if you have the financial capabilities to go forward with your business. with times like these it is hard to get bank loans without nearly exceptional credit which most common americans do not have. so the idea of starting up small businesses would more so benefit the upper class who have the money to back up their investments. if i were financially capable of starting a business i would invest into the real estate, buying several properties and multi-family homes. as history has shown slumps and recessions do not last forever and there is a come back. so if there is possibilites of capitalizing down the road, why not ?
I agree with most everyone else that this could be a good time to start a business, as long as it is in the right area. With the market the way it is, an aspiring entrepreneur is going to have to look at areas where people are spending money and create a product or business that fits into that area. As long as you do your research about the market and do not expect instant success, now could very well be a great time to start a business and take advantage of other companies going under.
Starting a business in a recession can have a 50/ 50 chance in succeeding. If the business is something people can gain from and have a future with then more than likely people will be willing to invest their time and money into it. Making sure that the business is reliable and is well respected is also another important aspect when trying to start a company in a recession due to people’s lack of faith/ trust in the system/people. If someone can find that one thing that stands out from the rest of them and can be distinguished as valuable to a large group of people than there shouldn’t be any reason as to why a company would be unable thrive off our economic state and become productive.
No mater how bad the economy gets, the service industries will always servive. If you were to start a business right now your best bet would be with the service industries. Even though people don’t have the money to spend on extras they will still have to pay for repairs and upkeep of their homes and cars.
I think it is a good time to start a business as long as it has nothing to do with the service industry. I know a bunch of people in the service industry and they are getting laid off like hot cakes on sunday. The last thing people are trying to spend their money on is additions to their house or a penny for your thoughts. Thats what the HG channel and Wikipedia are for. If you were to start a company it would be wise to make sure it creates a product that a frugal spender would buy. Its common sense, when in an economy like this you gotta tip toe through the flowers with your consumers but by creating a product that is useful and or essential during economic hardship it will inevitably build up a trust with your consumer that will carry you into the upward swing of the economy.
There are certain times for a certain businesses. I believe that it’s depends on your planning and business type. It wouldn’t be so smart to sell some expansive clothes or expansive houses, no one is buying today, people will compare very carefully this days between products and will emphasize cheaper prices over high quality. I believe that Wal-Mart is overflow with surplus, Amazon is overflew with surplus and the rent landlords are making a nice cut today. If a person has some money I would strongly recommend Real Estate, house prices are low, interest is low and rent prices are high, because no one is buying houses. Buy a property, rent it and sell it twice\triple price in few years when the economy will flourish again.
i think that, when the economy issue ends, like rock bottom, and starts to come back, then it would be the best time to start a business.
In my opinion it wouldn’t be the most ideal time in society to start a business unless you have a really good marketing plan involving a widespread target market. At this time and age we have almost any type of business you could think of and if you set yourself up for a competition against a previously claimed business of the same trade your bound to set yourself up for failure as well. If I were to start a business to try overcoming adversity I would involve people with all different types of backgrounds so we could brainstorm and come up with different ideas and likes that would apply to more than one specific target.
Its a great time to start the RIGHT business. With the certain financial problems most people are facing during this recession, there are needs and unnessacary needs for society. Example, I wouldn’t advise for someone to start a real estate business at this time, because people are not looking to buy a home. Banks are not giving out loans because of debt, and most can’t afford one now anyways. This sort of business, one to help with peoples problems is a good way to make money and to give back to the community.
A recession can actually be a good time to start up a business, but one must be cautious. It is still important to manage debt and not borrow more that you need to get started. There are several jobs today that are “recession-proof,” meaning many people will still pay for them. This can include businesses in the medical field, education, and security. So as long as you’re starting a business that can handle the ups and downs(mostly downs) of a recesson, there are still many oppertunities to be successful.
I think it’s a bad idea to start a business at this time. Due to the bailouts and our economy right now is in sooo much money debt. But then again it could be a good time to start a business because people are opening more jobs to others who lost their jobs and the owner can pay them minimum wage just so that the business can make a huge profit.
It is a horrible time to start a business.. there is very little money out there to start it up since the banks are not loaning money out, and even if you were to get a loan it is very unlikely that the consumer spending (which has greatly diminished) will be able to allow it to flourish or even survive.
hmm… i guess it depends on the business you want to open. I dont think a business that produces expensive products or services would be a good idea right now because you wouldnt get alot of business and then the business will probably have to close. Theres not alot of money to give out right now, but if its a small business taht does well with selling inexpensive products than go for it!
Yes i think it is the right time to start the right business. If you start some thing big with expensive goods then it will most likely go out of business like circuit city and tweeter because most people cant but luxuries. If it is a business in some sort of medical practice then that may be a good idea because most people have insurance which is covering the costs. A great business to start is a night club or a liquor store. Lets face it we all like to drink no matter what the economy looks like and for those who are doing even worse, they might enjoy it the most.
I agree that it depends on what type of business you’re looking to open because if it is going to help people with what they really need then yes it would be good and successful but if it isnt necessary and essential then the business isnt going to do good because people are holding back on what they really need to get by and what they would consider “extras”.
Yes I do think it is a good time to start a buisness, depending on the buisness. It is not an ideal time to start a buisness that requires alot of money to get started off. But for a small company I think a recession is a great time to start a buisness. Recession makes people more careful with there money. With being stingy with there money they make better decision with how they are spending and look and pay attention to there budgets and expenses. Also entrepreneurs will take a closer look at there idea instead of just jumping into it, they will make sure there idea is solid so it will work and they wont lose anything. Also in a recession the economy tends to lose jobs, which can mean that entrepreneurs might be able to find some talented and commited people looking for a job.
The economic situation really has no bearing on whether it is a good time or not to start a new business. It is always a good time to start a business if you have a desirable product or service. Starting a business can mean so many things. The key is finding what product or service is going to sell in the particular time in which you plan to start the business. Right now, there are plenty of business ideas that would be able to flourish into successful ventures. If I knoew what they were and had some capital to get one started, I would. But, I am a poor college student aspiring to not only have the money some day, but to also be able to have a marketable idea. Maybe I will try this discussion in a few more years.
I don’t believe it is a good time at all to start up a business. From what I’ve heard, starting a new business usually requires some type of outside investors to help get the ball rolling. If you are not 100% sure that your company will begin to grow rapidly and take in a decent revenue, you could find yourself in serious debt and financial turmoil. In my opinion, the economy as of right now is not stable enough for someone to take that risk.
I think it would be a great time to start a business if you have the resources to start one, and a plan. You can buy things to start up your business inexpensively right now because the economy is doing really crappy, People in the housing market, who want to buy a house for the first time will buy a house at a great deal. If you have the money real estate is the market you probably want to be in now because once the economy recovers, people that own real estate will make a killing when they sell those properties. Basically any business idea will probably succeed in this market if the idea is the right one, and the price that you’re going to charge the consumer is the price they will pay.
I agree with Peter Howland. But I think that it is a good time to start a business if you were to run a small type of business in the bad economy. real estate is bad now that the economy is down noone has the money to spend to buy a house they all need that money for paying bills and such. People now are getting laid off of work so they should always have the back up plan if they wanted to start their own business.
I think now would be a good time to start a business depending on what kind of business it is. I think something that requires a membership would probably be best based on the fact that your income would mostly be membership fees. For example: the other day i was watching the news and they were talking about a country in Europe that does a clothes exchange. This could be an exchange on anything. The idea was great. People bring their old clothes they are tired with and bring them to a box kind of like the Salvation Army. Then the people that donate come on a certain date and time and only pay to get in the door. Once inside they have a certain amount of time to grab other clothes that have been donated and get to keep them only for the cost of donating clothes and the fee they pay to get in. What a great idea. You get new outfits or w/e it is that you’re trading at low cost. It is perfect for the low economy we have now. It doesn’t put a huge dent in your wallet and you get new things.
I think that starting a business right now could be very positive. For example starting a non-profit organization/business that could help needy people could solve a lot of peoples issues. This kind of business could be very prosperous. Starting a business like a fine dining establishment that had expensive prices probably would not do so well. A business that could help people that are going through rough economic times could be very helpful and woul do very well.
I think that if you were to start a business right now it would be a good idea. There are many reasions why a recession is a good time to start a business. Starting a company without a lot of money is considered great discipline for early stage companies. Having limited capital makes way for more creative thinking. Recession forces entrepreneurs to give a closer look at their business ideas and ask themselves if there is room for this company
in the market if customers are cutting back
No I believe this is not a great time to start a business because loans arent being given out and if they are given out the return on the loans is a very high percentage making it difficult to recieve any revenue in the company. I also feel that our economy is not the best to start a business because people arent spending money like they used to and many investors are hesitant to invest into companies at the moment due to the financial crisis because it means that investors could lose everything and no one wants that.
This is definitely not the most opportune time to start a business in my opinion. The economy is incredibly poor right now, the unemployment rate is at an all time high, and people just don’t have the resources to be spending money. I take a more personal approach to this question because I’m looking to open my own restaurant in the near future. Would I be able to profit from such a business at this time? The answer is absolutely not. Surveys are revealing that one of the main things people are cutting back on is “dining out.” Unless I were able to open my restaurant in an incredibly affluent area, I think I would find myself in an uphill battle to fill my restaurant with a steady flow of clientele. In a couple of years though, I see the economy rebounding and that will give me the proper “window of opportunity” necessary to open my business.