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Why This Is a Good Time to Start a Business

Making the Best of a Less Than Great Economy

starting a new businessThere is no doubt that this has been, and is, a tough economy. With unemployment still painfully high and growth stagnant, the common perception is that starting a business right now may not be the best idea.

Wrong.

There are all sorts of good and practical reasons why this is actually a very good time to become an entrepreneur.

Indeed, it might help to know that many of the best businesses in the country were started during equally challenging economic times:

  • Microsoft began during the recession of 1975
  • If you remember 1980, you know that it was also a very bad year economically. But don’t tell that to Ted Turner who started CNN that year
  • HP was born in a garage in Palo Alto, California during the Great Depression

 

No, the macro economic situation in the country did not stop these entrepreneurs, and it shouldn’t stop you either. Whether you want to start a business because it is your dream and destiny, or you need to start a business because you lost your job, that starting right now can be a smart move is true, for a few reasons:

First of all, prices are down; products and services can be had right now at some great rates. Whether it is stocking the shelves or hiring an accountant, the tough economy means that people are hungry for business – hungry for your business. As such, their business goods are essentially on sale right now. By the same token, commercial buildings in many areas have high vacancy rates these days, and that means rents are lower than normal. Again, this is a boon for you, the new entrepreneur.

Also, if anything goods can be said of the Great Recession it is this: There are a lot of new and creative ways to fund a business right now, and loan rates are at an all-time low.

Another reason why this is a good time for startups has nothing to do with the economy. Instead, this just happens to be the Golden Age of small business. Capitalism has taken over the planet. And not only are former communist countries now open for business, but the Internet has made all sorts of new –actual and virtual – markets available to you.

Along these same lines, there is more help than ever available for the new business. Whether it is a site like this great one at Dun & Bradstreet, or organizations like SCORE and the SBA that offer advice and help for free, there is no shortage of quality assistance available. You are not alone.

Finally, there may be less competition right now. Plenty of businesses are waiting, holding back, looking to see what happens with the economy. If you go for it, you just might catch them napping.

So what are you waiting for? Go for it!

 

Author:

Steven D. Strauss is the country's leading small business expert. An internationally recognized lawyer, columnist, and speaker, Steve is also an author of 15 books. Steve's highly syndicated business column, Ask an Expert, appears weekly at USATODAY.com He is also the small business columnist for Microsoft, and AT&T who calls him "America's Small Business Expert."