In Her Shoes Home
10 Reasons to Launch Now!
Like any aspiring entrepreneur, I’m sure you have a laundry list of reasons why you should make dreams of becoming your own boss a reality. If you were paying attention yesterday, President Obama gave you several more.
In a meeting with small business owners and lenders on Monday, Obama announced his administration’s small business initiative, which will try to ease the credit squeeze afflicting small businesses by buying up to $15 billion of securities that are linked to small-business loans.
“Today, too many entrepreneurs can’t access the capital to start, operate, or grow their business,” President Obama said. “Too many dreams are being deferred or denied by a form letter canceling a line of credit.”
Obama’s goal is to encourage lenders to make more money available to entrepreneurs and create renewed economic growth in a vital sector of the economy.
If this isn’t enough incentive for you, following are Entrepreneur.com’s top 10 reasons you should start your business now–despite the current downturn:
- Everything is cheaper.
Let’s face it: This is the right time for great deals in virtually every category, from personnel and labor to commercial office space.
- You can hire more and better-qualified people.
In an era when even Microsoft is laying off, you can find great resources at affordable rates. Thinking about forming a professional services firm? There are many accountants and attorneys looking for their next opportunity.
- People are looking to change suppliers.
From a cost perspective, everything is on the table for most companies. Even if your prices are higher, if you can come in with greater value, you have a good chance at winning new business. You also have the advantage of being the new kid on the block when it comes to pitching your products and services. Many companies are desperate to find new partnerships with new companies that have a different, better or more innovative way of delivering products and services.
- Ownership equals tax incentives.
Business ownership offers a variety of tax benefits that aren’t available to employees. While taxes should never be the sole reason to go into business for yourself, it should be one reason to add to you “benefits of business ownership” list.
- Family and friends don’t want to (or can’t) invest more money into the stock or real estate markets.
That means they may be willing to finance a portion of your new venture, or the expansion of an enterprise that has proven itself over time. The main benefit is that they know you and have a relationship with you–and if you have a solid business plan that delivers real numbers, your chances of raising the capital you need increase considerably.
- Suppliers are giving better credit.
Because the credit markets have virtually shut down, the credit flows are keeping money circulating out of sheer necessity. When everyone is looking to survive, great deals can be had.
- You can get good PR by showing you are going against the trend.
The media loves a good story, and if you are optimistic by expanding or getting into business now, you would be in that category. That means you can generate some great PR by demonstrating your “alternative” view of the market.
- You can buy everything you need at auction.
In addition to everything being less expensive, you can find great deals at auctions, especially in terms of any large equipment and office furnishings. Auctions are also a great place to find hardly used or “gently” used restaurant and bar supplies at great prices.
- You can find great “low money” or “no money” down deals.
This is simply being aware of good opportunities and finding deals where you could get an entire business simply by taking over a lease (along with all the equipment). Many business owners want out at any cost, meaning you can negotiate great win-win deals that allow the current owners an escape while giving you an opportunity to turn around what could be, if run right, a very viable business.
And finally . . .
- You’ve lost your job, and you have to do something.
Sometimes, the best business decision is the one you are forced into, and the incentive (as well as need) for income is often enough to push those previously “on the fence” to strike out on their own. There’s nothing wrong with being in this position; it simply means there is greater urgency to do something that will start to generate income as quickly as possible.
There you have it, ladies: Entrepreneur.com’s top 10 reasons to start your business in a recession. The odds are on your side! There’s no better time to start than the present, especially if people around you are more comfortable with their own list of reasons why they shouldn’t start pursuing their own business dreams right now. It only means you’ll be facing a lot less competition.