If COVID-19 has taught us anything about anything, is that life can change on a dime—in big ways. It has taught us that our complacency can be shaken and that we, just like the change itself, can in big ways, change too. For many of us, that means changing how we make ends meet during the pandemic.
The pandemic has crumbled many American businesses at the ground level forcing many employers to cut back on staffing or close completely. It has left many working people wondering if and when they’ll return to the jobs, they had pre-pandemic.
While many households’ financial stability hangs in the balance, people have been left to consider other ways to help make ends meet in the short term—delivery driving, freelancing, babysitting, etc. Some have reconciled that their jobs may never return, and they have sought positions in new industries. But while this pandemic may have some feeling despair when it comes to job loss and wondering what their next career move will be, it has also propelled others into digging deep and channeling their inner entrepreneurial spirit.
Is a Pandemic a Good Time to Start a Business?
The answer is a mixed one: it can be. Many successful American corporations came to be during economic downturns. The truth is, you must choose the right one and one that has the ability to become and remain successful whether or not our return to pre-pandemic business comes sooner than later or not at all.
According to an article written by Amy Haimerl for the New York Times, companies like Slack, Uber, and Venmo all got their starts in slow times.
“Downturns or challenging times are seen as good times to start a business for two reasons,” said Rashmi Menon, entrepreneur in residence at the University of Michigan’s Zell Lurie Institute for Entrepreneurial Studies. “One is, there is less competition for resources. The second reason is that whatever changes we face, positive or negative, bring up new customer needs. And customer needs are at the core of any business.”
People have not stopped buying things or needing services, they have just changed how they do those things. A successful start-up will understand how the pandemic has changed people’s consumer spending habits and will meet those needs in light of those changes.
Doing the Work
Even in a robust economy, the most successful businesses are those whose champions did the research and took the time to develop and execute a thorough business plan well in advance of starting their business. In an article written by Alec Lynch in Forbes magazine, a downturned economy might be the perfect time to start a business when you understand just why now is a good time. The article pinpoints ten things that make starting a business now quite appealing.
- People want innovation.
- People want to save money.
- Incumbents are vulnerable.
- Good people are looking for work.
- Things are cheaper.
- Credit is cheaper.
- Less competition
- Smart investors want to invest.
- Downturns give start-ups negotiating power.
- You will build a lean start-up with good habits.
Consider business ideas and ventures that people will need no matter the state of the economy. For example, people will always need childcare services.
While the thought of starting your own business can make you dizzy with excitement, there are a handful of things to consider. But you, dear lady, are no stranger to adaptation. Likewise, you are the daughter of the King and you have a heavenly father who will speak to you when you pose the questions. God’s word says, “I will instruct you and teach you in the way which you should go; I will counsel you with My eye upon you.” (Psalm 32:8)
Are you asking for his guidance on the next steps when it comes to starting your business? More importantly, are you listening? While everything around us looks different, now may be just the right time to dive in and start your own business.
