You would probably agree that there’s a lot of economic uncertainty out there right now, and people aren’t sure if it’s going to be a strong economy or a soft economy. We don’t know. But also, people are trying to figure out when the right time is to start a business.
I’m going to throw a curveball at you today. I suggest that starting a business during an economic slowdown is the absolute best time to start a business. You might be thinking, are you nuts? But I want you to think about it, folks. I’m not saying it’s the easiest time to start a business. It’s the best time – here’s why:
Careful Spending and Customer Focus
First, business is going to come in more slowly, so you’ll be that much more careful with every dollar you spend. You’re going to be more careful about where to spend it to attract customers. When they do come, you and your staff are going to be more diligent in ensuring that every customer has an exceptional experience, every visit. And whether it’s an economic slowdown of a few months or several months, while you’re going through that journey of learning and really getting good at the fundamentals of the business, you’ll be building operational strength, reputation and local market presence.
Positioning for the Growth Curve
When the economic market turns around, you’re going to be first in line to capitalize on that growth curve, and you’re going to be able to maximize the full length of the growth curve. What we know about economic slowdowns in North America is that the short ones are on average 3 months long, and others are 8 to 12 months. However, the economic upswings typically last multiple years, ranging from 8 to 10 years and longer. So starting a business during economic softness is comparably a very short period of pain, and you can use that pain to develop strong foundations. You’ll be able to maximize the entire growth curve.
Gaining Market Advantage
You’re going to be ready for it when other people say, “I’m going to start my business a year from now, only after things have really picked up.” By then, you’re going to have two years of
market advantage or longer over them.
It’s not going to be easy, but it is going to be worth it.
Book a session, I’d love to have a discussion and explore why this is a good time to start a business.
