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In fact, there is no limit to the food to the foods that can be processed and packaged. You can process palm seeds into palm oils, cassava, yam, corn, millet into flours, cocoa into beverages, raw cow milk into refined milk, fresh tomatoes into canned tomatoes, etc. Reading the profiles of some of the blogging industry’s most iconic names you might be surprised to know what these guys were doing before they became big. Before getting started you’ll want to get acquainted with web traffic optimization. Thanks to the internet, virtually every product and service you require is just several clicks away.
What Are the Most Recession-Proof Stock Sectors?
Their adaptability and ability to navigate complex supply chains position them as key players in the global marketplace, reinforcing their significance and potential for long-term success. This article will discuss the top ten recession-proof business ideas for 2024, providing a roadmap for those aspiring to launch a venture built to endure economic contractions and thrive in expansions. Whether you’re a veteran entrepreneur or just starting, these innovative business ideas could prove an excellent starting point on your journey to economic resilience. Of the Global Industry Classification Standard (GICS) 11 stock sectors, consumer staples, utilities, healthcare, and energy are among the most recession resistant. That is because they are always in demand regardless of the state of the business cycle. While they may not see actual appreciation during a recession, they are likely to see smaller declines than the market as a whole.
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Top 10 Recession-Proof Business Ideas and Industries
There are several concrete steps entrepreneurs and small business owners can take to prepare for a potential recession. It’s also important to remember that stocks and industries that do well during a recession may not still do well when the economy recovers. You’ll need to change your investment strategy when the good times return. Each recession is different and so are the stocks that do well during them. A lot of biotech companies rose during 2020 due to the widespread COVID-19 crisis but financial firms were devastated by the 2008 recession because the market mayhem stemmed from a financial crisis.
Recession-proof Business Ideas That Stay Profitable
The following are the businesses that will do extremely well during the time of recession. At a time of recession, people surely visit candy stores often as they crave sweetness. Candies and chocolate apparently calm your nerves and stress by giving you that sugar rush. The period of recession is no excuse for them to stop using it and they still pay for it even in times like these to keep up their good looks. This is a kind of business from which you can earn anytime, even in the recession. With good photography skills, people will hire you for various events, and you can even earn through freelancing.
The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships. From business software to payment processing, the right business tools can help you run your new business more efficiently and make you more adaptable and creative than the competition. Adopting one or more of these measures helped retailers meet evolving consumer expectations. While future economic disruptions may look different, the need to adapt and evolve to accommodate the changing circumstances of your customers will remain of supreme importance. So, you can start a small farm and adopt strictly organic methods, which would be your unique selling point.
Home maintenance businesses—from general contractors to painters—often find steady work during economic downturns. As businesses and individuals increasingly rely on digital tools and remote work setups, the demand for tech support and IT services grows to ensure seamless operation and security. This sector plays a critical role in addressing technical issues and enhancing cybersecurity for a diverse clientele. There is no one answer to this question because the most profitable type of business will vary depending on a number of factors, such as your industry, location, target market and business model. However, some businesses tend to be more profitable than others, such as luxury goods, high-end services, business-to-business companies and subscription-based businesses.
Is a recession a good time to start a business?
However, going into the restaurant business still has its risk, and a very high one at that. Instead, you might consider going into a food and beverage business by focusing on offering healthier stuff. These days, going into a recession is even a better excuse to eat healthy because it encourages people to cut down on recession proof businesses their consumption and avoid unnecessary purchases.
- They will likely thrive and resist the impacts of the crisis since consumers’ demands are perpetually directed to their trade despite being financially stressed.
- Other high flyers included Kroger, Hormel Foods, General Mills, Costco, and Colgate.
- However, some businesses tend to be more profitable than others, such as luxury goods, high-end services, business-to-business companies and subscription-based businesses.
- While heavy drinking at the office is frowned upon, nearly everyone can get behind a big bowl of jellybeans.
- Businesses and houses always need cleaning services no matter how hard the times are.
If your heart’s not in it, your money maybe shouldn’t be in it, either. Passion is certainly important when it comes to starting your own business, and it’s equally important to examine historical data to forecast how your business might perform during a recession. In fact, the accounting industry was valued at $544.06 billion in 2020, and the demand for it is still growing.
It’s not just about a safe place to leave your child while you’re at work. Additionally, sustaining affordable prices plays a crucial role in their resilience during challenging times. When consumers become more budget-conscious in recessions, businesses offering competitive pricing are generally better positioned to retain customers and maintain a steady revenue stream. During economic downturns, individuals and businesses may face financial difficulties, making financial consulting services either through a bank or other lenders or as a separate business, important. She’s been creating and promoting content for over 6 years, covering a range of topics in the payment processing industry. Brontë is currently the Director of Marketing at PaymentCloud, a merchant services provider that offers business solutions for companies in all industries – no matter the risk.
Making money may seem like a challenge, especially during a recession. Still, there are businesses that will continue to thrive in spite of a troubling economy. IT and software services are vital across almost every industry in today’s digitally-driven world. Earn a Professional Certificate in data analytics, IT support, project management, UX design, cybersecurity, sales development, or bookkeeping from industry leaders like Google, Meta, Intuit, and IBM. Learn at your own pace from anywhere with an internet connection, earning more credentials for your CV. Should you wish to keep your overall stock allocation the same, a process known as sector rotation could be employed.
Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Let us know how well the content on this page solved your problem today. All feedback, positive or negative, helps us to improve the way we help small businesses. Whether you’re a small-time seller or a more established merchant with multiple locations, our article detailing the best eCommerce platforms has options that fit your business needs. If you want to start a business that is about as recession-proof as it gets, a debt collection agency is one of the best options available.