14 Best Recession-Proof Businesses Ideas You Can Try!

If you’re good at gaming, you can launch your gaming channel on video streaming platforms like YouTube, TikTok, etc., and earn handsome revenue. You can set up an online portal or an app and list your various services.

In the US, the revenue from food delivery services was $22.4 billion in 2021. A lot of people will spend less on themselves in the middle of a recession, but very few will skimp on spending for their kids. Even as families with infants and toddlers cut back on spending during an economic downturn, they’ll still spring for higher-quality products for their children. With rising costs, it’s unlikely that people will replace old or broken appliances in the home.

Stats to Know About Entrepreneurship in 2022

As contract workers, freelancers don’t have the same employment protections as full-time employees. However, while healthcare performed exceptionally well during the Great Recession, this doesn’t guarantee recession proof business ideas the same will ring true in a new economic downturn. With the insurance landscape now very different, many insurance holders are burdened with high deductibles exposing them to exorbitant costs.

This document will outline your business goals, strategies, and financial information. When you invest in a startup, you not only get to see the success of the company, but you also get to be part of its growth. Finally, e-commerce stores are usually very https://quickbooks-payroll.org/ flexible in terms of their hours of operation. This means that you can open and operate your store at any time, regardless of the economy. With the rise of e-reader devices such as the Kindle and iPad, more people are reading books electronically.

Home improvement companies

Yet, the truth is that working smarter and surrounding yourself with people who have traversed your journey successfully is the most ingenious way to elevate your business plan. To be a recession-proof business, you must lock arms with individuals navigating the same space. Joining a networking community or mastermind group that is adequately moderated can groom your business’ growth. Professional communities are incubators for innovation, fresh ideas and new connections. There is an abundance of communities on LinkedIn that offer advice and networking that can change the trajectory of your business. Freelancing, or being an independent contractor, is a solid option for recession-proof work. Melissa King Melissa King is a freelance writer who helps B2B SaaS companies spread the word about their products through engaging content.

• Due to the pandemic, more businesses are turning to online platforms as their customers stay at home.
• That said, previous experience working in a gas station or convenience store would be really helpful and management experience is helpful to have under your belt as well.
• You could create a dedicated blog for your business or use one of the many free blogging platforms available online.
• The pet care business is an excellent business to start in a recession because there’s always demand for pet services.

Due to the wide variety of recession-proof businesses you can choose from, most of them can be started with a little research, some upfront planning, and a good positive attitude. Regardless of what products or services a business sells, the keys to weathering a recession are agility and adaptability. If your business isn’t any of the types listed above, you can still adjust if you understand how to manage cash flow for hard times. Asking for shorter payment terms from customers, for example, and start now to build up your cash on hand. Technology usage doesn’t decrease dramatically during a recession. In fact, during the COVID-19 recession, IT professionals were even more in demand as companies had to determine solutions and vet technology for work-from-home and remote-office models. When major technical issues occur, it can bring work to a stop, something businesses want to avoid in an already tense financial time.

Baby Products Business

And, with a rapidly aging population, funeral services stand to be a strong niche for small businesses in 2022 and beyond. When recessions occur, unemployment can increase, lowering consumer demand. Some industries have more exposure to recessions because they are considered less “essential,” meaning they are the first types of goods or services consumers cut from their budget.

When a recession hits employers turn to freelancers as an alternative to hiring full-time employees. So, freelancing is one of the best recession proof industries to consider. Even if a company has to cut back on its employees, it will still need a cleaner.

Businesses To Start in a Poor Economy

This demand clearly shows that fast food businesses are here to stay. Your existing customers can be an invaluable lifeline during economic uncertainty. Customer acquisition can become considerably harder during a recession, so retaining your existing base is vital if you want to stay afloat when the economy is in a tough spot. In the throes of the Great Recession, Hershey’s sales actually increased. As I said, candy is a micro-luxury — a lot of people need some of that during uglier economic times. Learning how to build a successful business could be how you thrive during a recession. And of course, knowing how to budget and save up cash is also very helpful for tough times.

In the best-case scenario, you’ll bring in some extra income when you need it most. With so many businesses operating online, the importance of digital marketing is only going to increase. Starting this kind of business opens up many opportunities which will still be there during a recession. Recessions can actually be good for the real estate and property management sector, as it is often the best time to invest in property. The healthcare industry continues to grow even during recessions due to a combination of rising demand and the constant advancement of science and medicine. Let’s look at some particular food business ideas and why they are able to thrive during a recession.