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Why now could be the perfect time to start your business

The global events that are still unfolding before us have had a dramatic impact on businesses across practically every sector. With big names like Hertz and Cineworld forced to shut up shop, it is clearly a tough time to be trying to run a business.

If you’ve been thinking of launching your own startup, your immediate reaction might be to put your plans on hold for a year or two. However, some of the most successful businesses ever have launched during the toughest times, including FedEx, Burger King and even Microsoft. With the right strategy and approach, yours could join them.

Meeting evolving needs

A successful business is one that meets a particular need or demand. Right now, people have very specific needs that have come about as a result of lockdown and social distancing rules. These include things like food deliveries, tools and applications for remote working and home-schooling materials, to name just three.

To thrive in uncertain times, businesses need to be agile and to be able to react to an evolving marketplace. A small business startup is likely to be far better at this than an established player.

Tapping the best talent

With major companies going into “survival mode” layoffs are inevitable. The result is there are plenty of talented people out there who have suddenly found themselves in need of work. Many are likely to be looking for flexible opportunities on a contract or freelance basis. That’s absolutely ideal for a new business operating in uncertain and changeable market conditions.

Available finance

Financial commentators are in no doubt that the world is heading for a major financial crash. However, even that can have a positive side for a new business, as low interest rates mean borrowing is highly affordable. You will also find that low interest rates mean private investors are more eager to put their money in promising startups, as they are likely to generate a better return than stocks and bonds.

What sectors?

Startups in the finance, trading and investment sector will be in high demand as both businesses and private investors look to protect their assets. Just remember that if your startup is operating in this sector, you will need to get a Legal Entity Identifier code from in order to comply with financial regulations.

Online services are another guaranteed winner. People have spent more time at home in front of their computer screens than ever before this year. There is a whole new subset of possibilities in this area, ranging from online games to academic courses and tutoring.

Home deliveries is another booming sector. This is not just related to food, but also to gifts and specialist or luxury products. Expect this area to grow dramatically over the coming months. We are heading into what is likely to be a very strange holiday season, but people are still going to want to exchange gifts, even if they cannot spend time together as they ordinarily would.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes

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