With all this talk of recessions and the bumpy economic present and future (and it DOES seem to be a topic on the tip of everyone’s tongues in my world lately), I wonder if it does not make us home business owners feel a little insecure? Is there anything we can do with our home businesses in order to create a cushion or make them a little bit more recession resistant?
I live in an area of the country where it has felt like we are in perpetual recession; our economy is just not that strong and the tax structure is precarious as well. For me, my home business and learning how to work independently so that I am not so dependent on an employer has actually helped me to become more financially stable in such an economy. Or, if not “stable” then I at least feel more resilient since I do not have all my eggs in one basket and I feel like there is some variation and flexibility in where my income is coming from.
I imagine, however, that how recession-proof your home business is will depend on several factors: How established is your business? How will your market demographic be affected by a recession? If you lose key clients or customers, how quickly can you replace them? Can you modify your business in order to meet needs that may develop if the economy makes a sharp turn? Are there ways you can expand your business in order to diversify to make it more recession-proof?
You can see how it is important to take a good look at your home business operation and look for ways you can make changes and adjustments now so that you will be ready to shift should the need arise. It may not turn out to be necessary, but it is good to be prepared.