Why Now Is the Time to Start a New Business

By Steve Kroening

Fear is gripping the global economy. That means a lot of people are scared to start a new business. Don’t be one of them. History proves that down economies provide an excellent opportunity to start a new business.

Something happens during a recession: People’s needs come front and center. And needs are the basis for a good business (profit and non-profit). When you can meet people’s needs in a way that no one else can, you have a good business idea.

Starting a business in a recession has other benefits. It forces you to be very frugal. Like everyone else, you don’t want to spend too much right now. Cash is hard to come by. So starting now will help you keep costs to a minimum.

In addition, starting your business now will help you identify whether it’s a good idea for good times and bad. If it works now, it most likely will work when the economy picks up.

It’ll also let you start at a much lower cost than when the economy is hot. You can probably find office supplies, equipment, and other necessities at greatly reduced prices right now.

Finally, it gives you a head start over the competition. Other people might have your same idea, but they’re giving in to fear, and waiting. Others who might be in similar business are probably cutting back right now and reducing their business. Gaining momentum and market share now gives you a big jump when the economy turns.

But why start your business on the Internet? Obviously, the Internet has some unique qualities that a normal “brick-and-mortar” business doesn’t offer. First, think of the Internet as real estate. Your website is simply a piece of land in a global marketplace. You can buy a piece of this land (your domain name) for less than $10. You’ll never find actual land for anything close to that price. Yes, you have to pay for hosting (see the banner at the bottom of this email for a great deal on hosting). But that cost is small too.

Second, you can start an Internet business while you still have a regular full-time job. That’s just about impossible with a brick-and-mortar business. It also gives you some stability while getting things going. The big negative here is family time. It’s easy to let work run your life. And for a time, it might be necessary. But always keep this in mind as you get into having a second job.

Third, you have access to an entire global market. For instance, Wisdom’s Edge® is becoming more and more popular overseas. We have a growing international presence that opens up tremendous business and ministry opportunities. We never could have done that with a brick-and-mortar business.

The key to making it on the Internet, though, is this – you have to find a niche. The more specific you can be in your market, the better.

(Steve Kroening writes for Success magazine and publishes www.wisdomsedge.com)