The boom of new business?
With a Global recession well on the way, how can it be a good time to start a new business?
Throughout the course of the pandemic so far, we’ve seen so many businesses and industries struggling to stay alive. With very little signs of the coronavirus slowing down, and the threat of a second wave looming overhead, there’s no question that the future is uncertain.
With furlough predicted to end soon here in the UK, many people have already been made redundant from workplaces needing to cut down on staff. So if you’ve been doing some thinking about your future, and ever considered becoming your own boss, I think now is a great time to do so, and here’s why.
Innovation is needed
With any recession, or in a pandemic, there are many more problems that need solving within industry. Larger businesses find it much harder to adapt and innovate, and this is where new businesses with more flexible structure and more innovation will succeed. This innovation will fill gaps that existing businesses cannot.
Lower competition
With many businesses struggling to make it through the pandemic, there will likely be less competition within your area. For those businesses that are able to innovate and start anew, or are spending the extra time rebranding and preparing their business, there’s no question that they will be in a better position when things go back to normal.
Hiring is easier
The sad reality that many people will be left out of work could be used to your advantage. Hiring new staff could be done for cheaper, and there are likely to be more applicants of a higher skill level. Also the same applies to freelancers, who will likely be very appreciative of work going their way.
You can take advantage of financial situations
Are you on furlough and don’t want to return to your current job? Some people may have had rent free periods, and the savings from outgoing expenditure might actually place some people in a better financial situation. If this is the case, or you’re in a good financial situation anyway, you could use this to your advantage. Investing into your business will see it standing out from the crowd. Now is also a great time to get business loans or other financial support, with rates of interest being lower. You will also have good negotiating power over other businesses, for deciding on better terms and prices, or even purchasing businesses that have stopped trading.
Online business is booming
If your business idea, or a key part of your business is through online (perhaps e-commerce or goods delivery) the sector is in super high demand currently. Any extra time you gain due to the pandemic can be spent remaking, or starting a business website. The beauty of this is that online business is speculated to continue to rise, so this investment will be worth the effort even when the pandemic is over.
What are your thoughts?
We’d love to hear from you on our twitter @mindthebranduk