When is a good time to launch your startup?

Category: Business Research|Market Research|Startup Business

Have you been holding on to an idea in the hopes that you will find the perfect opportunity to share it with the world?

A lot of us have plans for businesses and some might even have gone through the initial research phase. However, when it comes to actually taking the big step and sharing your products with the world, many get cold feet. 

While we should not let nerves dictate our business moves, it does not hurt to be informed and take an educated step.

About 20% small businesses fail in their first year, and 50% in their fifth year. Your trepidation and nerves are valid. Of course you don’t want to become one of them.

To help you make sure you don’t, we are going to be doing a series of posts on when to launch a business and this is the first one.  

Know that this is only for small businesses and does not apply to big ventures.  

A potentially good time to launch a small business is:

During a recession

Yes, you heard that right

This might seem very counterintuitive but there are reasons why we say this. Of course this is not financial advice and you should always do your own research and figure out what will work for you before taking any such step. 

There are a few reasons why launching a product during recession might not be the worst idea for a small business. 

Here are a few of the reasons why we are saying this:

  1. If you are running a small business with not many salaries to pay and if you are doing it out of your home, you can cut down on the cost. This will set you apart from the competition.
  1. People are probably watching how much they spend so use this as an opportunity, especially if you are selling a product or service that is meant to fill a gap.

When businesses are scaling down and new ones are holding off till times get better, you will have less competition. However, this point should be researched beforehand as some industries actually do well during recession or a time of crisis.

With the coronavirus epidemic changing the financial and business landscape globally, the situation is uncertain and many are just winging it.

However, it is important to know when a situation can be used to your advantage. You might have heard that a lot of businesses, Amazon being top of the list, have really benefited from this very dark situation. 

So think about if your business could become part of those fortunate companies too. 

Good luck!

Read this post