Why is it the right time to start a business, according to experts

  • Government officials said a recession in the United States is “highly likely” in the near future.
  • Experts told Insider that it’s still a good time to start a business.
  • This is the reason why aspiring entrepreneurs should consider starting now.

Although the news Big tech companies are starting to freeze hiringAnd the Consumer price hikegovernment officials say a


Recession

in the United States “very likely“In the near future, still one Best times to start a business.

Dave Mohini, professor of entrepreneurship and CEO at Carnegie Mellon University, said that technologies such as independent marketplaces, website building platforms, and social media make entrepreneurship easier and less expensive. Moreover, these factors make the time to be a solo entrepreneur, he added.

“When you start a business, your capital needs are as low as ever,” he said. “If you can run it yourself, you can do it at any time, in any economy, and under any condition.”

Despite the pandemic and the economic uncertainty it has brought about, 9.8 million new business applications were filed between 2020 and 2021, according to the United States Census Bureau data. In April, more than 400,000 new business applications were submitted, up 1.6% from the previous month

Mawhinney, economist and business coach, shared their predictions for the coming years and why they’re encouraging aspiring business owners to jump on the entrepreneurship bandwagon now.

It’s not as bad as it seems

Luke Pardue, an economist at human resources platform Gusto, said an economic slowdown could put people on hold, but the economy is still in a very strong position.

“We don’t really see this reluctance in spending that might precede a recession in the future,” he said of the consumer market.

Another hopeful characteristic, Pardew said, is the changing relationship between economics and entrepreneurship.

“Previously, entrepreneurship declined during recessions because people became more risk-averse,” he added. “But what we’re seeing now is that they’ve realized that hiring itself is risky, and it’s getting easier to start that business.”

In fact, businesses launched during the pandemic have been a huge factor in the overall success of the economy, and will remain so in the future, he explained.

Low-cost, low-risk individual entrepreneurship

With venture capital investment declining,Mohini said that service-based companies can be low-cost alternatives to starting a product or technology company that may need project support. He added that businesses without additional employees, office space, or anything more than a computer and Wi-Fi are easy to start with with little overhead.

In addition, the need for individually managed professional services (virtual management or consulting) and personal services (ride-sharing and grocery delivery) has increased over the past two years, Pardo said.

COVID-19 creates new opportunities out of necessity

Aubrey Malik

Aubrey Malik is a business coach.

Sarah B. photographer


Over the past two years, professionals in many industries have embraced remote work. Aubree Malick launched a virtual assistant business in 2018, and during the pandemic, she’s seen the need for employers for virtual and project-based workers. I took the opportunity to launch a virtual training project that taught other aspiring freelancers how to sell their services.

“A lot of companies realize the benefits of hiring a freelancer on a monthly agent,” she said, compared to paying the full-time employee a salary with benefits.

It encourages its trained clients, both aspiring entrepreneurs and the self-employed, to take advantage of new opportunities. “Remote work is starting to become the norm,” she said.

New technology allows us to take advantage of our skills

In order to keep startup costs low, Mawhinney suggests taking advantage of the skills you already have, such as financial literacy, authorshipor Administrative work.

On top of that, building your customer network has never been easier. For example, marketplaces like Upwork and Guru allow business owners to connect with potential customers, he added.

Malik said sharing social media content is another way to expand your audience.

“Paid ads are not the best anymore,” she said, noting that the algorithm is changing that Prioritize video and reels. “It’s not about how much money you have to spend on advertising. It’s about who provides value and does it on a consistent basis.”

Industries like technology and professional services are here to stay

Jessica Hawkes

Jessica Hawkes is a Virtual Assistant Trainer, Content Creator, and Podcaster.

Courtesy of Jessica Hawkes


Mohini said that as the economy and workplace continue to change, it is important to stay abreast of the latest trends, technologies and tools. It’s also essential to continue to differentiate yourself in those places, he added.

“You have to create a skill set in which you are among the best at it — irreplaceable,” he said.

Experts have said that marketing, computer engineering, coding, social media, video production, business training and financial consulting are some of the most sustainable individual entrepreneurial ventures today.

Added Malik, who says online courses, one-on-one coaching, digital products, or even something as simple as grocery shopping can be turned into a business.