Economic recessions have a tendency to show up every 10 years or so. In a way, they’re part and parcel of life.
However, these recessions can have devastating consequences. The Great Recession (2007-08), for instance, wiped off millions of jobs and lead to the crash of the housing market.
As a business owner, the last thing you want is to be caught unawares by a recession. During this time, consumers aren’t spending money, unless necessary.
How do you overcome the threat posed by this economic event? How about starting a recession-proof business?
In this article, we’re sharing a list of some of the best businesses you can open during an economic recession.
1. Grocery Store
During a recession, the vast majority of consumers cut back on their spending, which means they spend less on secondary things like entertainment and travel. Their spending on essential items typically remains unchanged.
What’s the one thing you can’t stay without regardless of how bad the economy is? Food, no doubt. And to prepare your own food, you need various groceries.
This is why grocery stores are considered recession-proof. However, competition will be fierce because there are grocery stores right, left, and center. You just need to find creative ways to stay ahead of the competition.
And while it at, keep your store secure. During a recession, thugs striving to make a quick steal are on the loose. Check out these store owner tips to know how to better secure your store.
2. Food Service Establishment
Come what may, people need to eat.
A food service establishment is a business that can weather the waves of an economic storm. As much as most consumers will resolve to cook their own meals because it’s cheaper, there will always be those who want some fast food or take out. After all, America is a nation of fast food lovers.
3. Home Repair Business
Home problems, such as draining leaks, electric faults, and termite infestations don’t send a memo. They show up at any time, regardless of the season or economic cycle.
You won’t put off repairing a plumbing problem because the economy is in a great depression. You have to call in a contractor.
As such, it’s easy to see why a home repair business can be recession-proof. You can rest assured that you’ll always find clients.
4. High-End Spa
Economic recessions don’t affect the rich as much as they affect the average American. In fact, the top 1 percent have little to worry about economic cycles.
They have more than enough money stashed away in bank accounts. Their spending habits don’t change.
Opening a high-end spa that serves the rich is a good way to ensure you remain in business even when an economic recession bites. They’ll also come in for a healthy dose of self-care.
Open a Recession-Proof Business Today
You don’t have to look beyond 2020 to see how an economic slowdown can wreak havoc on most businesses. If you don’t want to go under, open a recession-proof business. These are some of the best businesses to start during this time, but there are many more.
Keep reading our blog for more business tips and advice.