Why 2021 has never been a better time to start a business
Starting a new business especially for people that have spent their entire lives working for others, can seem a frightening prospect. Leaving the security of earning a regular wage and stepping into a world filled with doubts over earnings, profitability, and the reality that most start-ups fail in their first year can cause people to shy away from starting their own business.
However, when faced with the above perspective, a different viewpoint should also be considered. One where opportunities abound thanks to the Internet and the fact that the costs of starting a business have never been lower.
Also, consider the fact that with recessions or unstable economic periods come the opportunities to launch businesses that can take advantage of the changes in the economic landscape.
At present in 2021, numerous opportunities exist for people looking to start a business. The Coronavirus pandemic has accelerated the decline of Britain’s high street, and with this has come the online migration of stores. Lockdowns have seen the explosive growth of e-commerce, as people become more adjusted to the fact of ordering goods online, rather than browsing for items in a physical store.
And as a central component of e-commerce, comes the delivery aspect. World Options offer franchise opportunities for people wanting to take advantage of the UK’s e-commerce boom, which you can learn more about here.
More talent available
When economies are hot, recruiting talented engineers, designers and salespeople can be difficult, as skilled individuals, fully aware of their worth, demand high wages, which only large firms can afford. This causes a ripple effect in the marketplace by creating a scarcity of competent people.
During economic crises, decreased demand can result in companies laying off talented individuals. For start-ups this can be an opportune time to pick up talented individuals, that they may not previously have had the ability to recruit. In addition, businesses with flat-lined and low turnovers can dangle the enticement of partnerships, profit-sharing, commission, and bonuses to skilled individuals.
Lowering start-up costs
Startup costs for new businesses are considerably lower than in any time in history, as fast internet speeds, cloud computing and, online conferencing software such as Zoom has negated the requirement for companies to rent offices and own expensive inventory, such as computer servers, at least initially.
For start-ups, needing to have bases in offices or warehouses - economic crises can result in empty office space, resulting in commercial landlords being forced to offer attractive terms to anyone willing to sign a lease agreement.
Building a customer base
Cash flow is the lifeblood of most businesses. And cash flow is generated by having a base of loyal customers who are regularly purchasing goods and services from the said business. Developing a loyal customer base during good economic times may be challenging for start-ups, as getting people to try out unfamiliar products, requires much cajoling and convincing.
When economies are suffering, some people may be forced to break established routines and explore other products and services, either due to curiosity, willingness to change, or unhappiness with a product. For start-ups, this presents an excellent opportunity to establish a customer base, by unveiling solutions and products, which are new, better, and an evolution from iterations of other companies.
Launching a business when economies are failing, may seem like an oxymoron, but times such as these provide real business opportunities, the likes of which may never arise again.