You can start an online community or resource platform that helps people looking for a job while making you money from ads and sponsorships. NorthOne is proudly made for small businesses, startups, and freelancers. We believe that better banking products can make the whole financial system more inclusive. A recession occurs when there’s a general decline in economic activity. It means that businesses are producing less, people are spending less, and there’s generally less money moving through the economy. Recessions tend to be protracted (several months) before economic expansion begins again.

As our Square review explains, Square combines flat-rate payment processing with industry-specific point of sale systems, an online store builder, invoicing, real-time reporting, and much more. With that said, businesses need to refocus on their core competencies now more than ever. Concentrate now on your business’s core products or services because that’s where you can generate more revenue. Healthcare and food (mentioned above) are among those essential industries that can perform well in recessions. We even have witnessed today the public health response to the COVID-19 outbreak and how healthcare providers demonstrate an important role during unparalleled financial chaos. Since ongoing costs can be kept low, an information technology firm can easily turn into a high million-figure opportunity.

Recession-Proof Business Ideas for Every Startup Budget

Once the store cost and location are decided, the next step is to obtain a seller license. In most states, a grocer's license is required to run a grocery store. Starting an eCommerce agency can be a profitable and fulfilling business opportunity. If you plan to state your eCommerce agency, educate yourself on the current trends and focus on building digital skills. You may focus on a particular niche or offer end-to-end services to your customers.

Depending on your client’s needs, you can use a truck, train, boat, or plane. To start this business, you will need a fleet of vehicles, a team of drivers, and a warehouse or storage facility. You will also need to obtain the licenses and permits to operate legally.

Recession Proof Business Ideas You Can Start Today

Everyone needs clothing, which makes this industry recession-proof and sustainable. As a recession becomes more likely, the chance of individuals seeking financial planners increases. This type of business will be beneficial to clients looking for help to rebalance their portfolios, revisit budgets, convert funds, pay off debt, and more. Attracting new business is often central to weathering economic turbulence, so avoiding significant cuts to your marketing budget can be a good bet when you're trying to recession-proof your operations.

"Caring or cleaning for those unable to do it themselves will always be needed, so create a business that offers those services." Entrepreneurs choosing new ventures should consider these industries fellow business owners consider recession-proof. The businesses listed here serve a need that persists even recession proof business ideas during times of economic hardship. Experts suggest these five start-up ideas are well-suited for periods of economic downturn because of consumer demand. The healthcare industry is one of the most stable industries to enter into with rising demands and advancements in medical practice and science.

#9. Repair and Maintenance

Economists expect a recession to hit the U.S. due to the Federal Reserve's efforts to combat inflation. Since early 2022, the Federal Reserve has been raising the federal funds rate and has signaled it will continue to do so until prices cool off. The Fed acknowledges that there will be pain for consumers and industries alike, but it also can't allow an inflationary environment to continue.

• Spending on digital marketing is predicted to exceed $600b in 2022.[9]Statista.
• At first, he earned a few hundred extra dollars a month — but years later, it’s a $50,000+ per year side hustle.
• Lower profits result in lower stock value, which can take years to recoup.
• Between 2007 and 2010, there was an almost 16% increase in the number of students enrolling in college.[7]The Hechinger Report.
• You’ll be surprised to learn that in the US, candy consumption skyrocketed during the Great Recession.
• Some charge an hourly rate and others bill a percentage of the amount saved.

Donut shops can thrive on partnerships with other businesses and do well if they can keep their prices fair and quality high. Everybody needs a little comfort, especially during a recession when everybody feels the stress and fear of uncertainty. The property management business is a great way to make money if you’re familiar with the real estate market and have strong people skills. To operate this business, you must market your services to potential customers. Marketing can be done through word of mouth, advertising in local publications, or creating a website. When you receive a service request, you will need to visit the customer’s home to assess the issue and provide an estimate for the repair.

Flea Market Flipping

The job market has been holding strong with only minor losses of employment; however, more corporations are beginning to lay off employees. Many of these employees have valuable skills and are being quickly hired at other companies. ECommerce is such a broad industry, so you can't attribute recession resistance to it as a whole. Two of the folks I talked to told me how models with stock items requiring a lower investment helped them stay flexible. John Egan is a freelance writer, editor and content marketing strategist in Austin, Texas.

There will always be a need for pharmaceuticals, contraceptives, therapies, nursing, dentistry, radiology, and other healthcare services. Additionally, healthcare products like vitamins, supplements, at-home tests, thermometers, and other items will continue to be in high demand. Pharmaceuticals, in-home care for seniors, contraceptives, walk-in clinics, and other healthcare ventures present viable opportunities for entrepreneurs and investors alike. If you're looking for a business that will hold up through uncertain economic times, you could start by looking at services that people literally can't live without.

Create a cash flow plan.

When Matej Kukucka, founder of Marketing Player, worked for a customer service software company during the pandemic, he noticed a lot of growth. Andrew Porwol, the owner of Garden Centre Shopping, has worked in the UK gardening niche for 30 years, so he's seen multiple economic downturns. When there's an economic downturn, many folks try to save money by avoiding going out, but that means their home needs more attention. Home improvement companies still have plenty of work to do during tough economic times—which makes them great candidates for recession-proof small businesses.