12 Powerful Secrets For An Entrepreneur During An Economic Recession

12 Powerful Secrets For An Entrepreneur During An Economic Recession

Business experts have recommended that the best period to get involved in new businesses or expand existing ones is during an economic recession. They have idealized that instead of just watching and waiting, recession is the best period to invest and partially, if not totally eliminate wastage.

Every recession creates opportunities for innovative entrepreneurs and inaction may not always be safe at such times. Instead of just waiting and hoping that things will get better, entrepreneurs should act to improve operations and position their businesses for growth when the economy recovers.

First, what is recession?
recession is a period of temporary economic decline during which trade and industrial activities are reduced, generally identified by a fall in the Gross Domestic Product in two successive quarters.

Economic Recession Definition
Economic recession is a period of general economic decline and is typically accompanied by a drop in the stock market, an increase in unemployment, and a decline in the housing market. Generally, a recession is less severe than a depression. The blame for a recession generally falls on the federal leadership, often either the president himself, the head of the Federal Reserve, or the entire administration.

In a recession, the consumers are badly affected because spending is curtailed and only essentials are demanded. For anyone wishing to start a business, it is better to consider businesses that address basic needs. Needs that will warrant the citizenry to spend irrespective of the state of the economy.
The following are basic things to invest in during a recession
1. Agriculture (both crop farming and animal husbandry)
2. Agro-processing
3. Food-packaging
4. Bakery

Businesses that address the basic needs always thrive in a recession. People must eat to keep the body strong. Crop cultivation especially food crops, vegetables and animal husbandry are also some of the viable businesses that can be explored.

Entrepreneurs who are skilled in the following areas can utilize this opportunity of recession.
5. Borehole drilling
6. Water supply
7. Building construction
8. Carpentry

Nigeria needs over 70 million housing units to address her housing deficit. This business opportunity will not only address the problem but also keep entrepreneurs in business for a long time. Obviously, their fortunes remain valid.

For example, water is so essential to the existence of man; man can live without eating for days. However, he cannot do without water for 72 hours. Not only is water essential for consumption, it is also needed for hygiene and daily living. However, Nigeria has potable water deficit. According to Water Aid, 57.7 million Nigerians do not have access to safe drinking water, while 130,000 Nigerians die of water-borne diseases. There are businesses that can address this deficit and they include borehole drilling, tanker supply of water and recycling water plant.

Also, Nigeria needs over 70 million housing units to address her housing deficit. According to the presidency, one million homes are needed yearly. This business opportunity will address the provision of affordable houses which can be leased out especially in urban centers such as Lagos, Ibadan and many others. Another aspect is also the provision of basic furniture, either refurbished or new.

Moreover, I need to include at this point that technology is another viable business for entrepreneurs to take advantage of in this period of economic recession. We are in a digital age, and the country must follow the rest of the world.
Business opportunities abound in:
9. Website design
10. Online advertising
11. Computer training
12. Computer hardware stores

With the challenges in the education sector, smart entrepreneurs can bridge certain gaps in the system by providing tutorial centers to address massive failure in general examinations, invest in vocational centers to impact skills and establish after-school centers especially for children whose parents work long hours during the day.

However, it is my candid opinion that before you can invest in any business of your choice, it is important to be clear on where your passion is. Also, financial status should be put into consideration. This recession is an opportunity to become your own boss, earn your own money and rise above ranks.