If you’d been planning to start a business this year but feel discouraged because of the pandemic, remember that you can still find success as an entrepreneur—even during a recession. There are ways to make your business idea a reality, but only if you commit to being resourceful and finding the silver linings. If you need encouragement or ideas, read on and check out more articles on Small Business Brain to find the best resources to get help.
Why Start a Business Now?
For entrepreneurs, it may seem intimidating to launch a new business during a pandemic. However, as the U.S. Chamber of Commerce points out, there are some great reasons to start a business right now: interest rates are low, and it may be easy to find equipment from other closed businesses. Startup costs are usually a challenge for new business owners, so finding low rates and cheap equipment could be vital to help you get started.
Loans for Startup Capital
Many small businesses rely on loans to help them get started—whether it’s to help pay rent, hire employees, or purchase inventory, startup capital is often necessary for new businesses. One of the silver linings of the pandemic recession is that interest rates are lower than usual, which makes it a great time to apply for a small business loan. The Small Business Administration offers many different types of financial assistance to small businesses: SBA Express Bridge Loans and the Main Street Lending Program are both viable options.
Your startup capital is important, and TechCrunch explains you should make a plan for how you’ll spend it. There are some unavoidable costs associated with starting a new business, whether it’s paying someone to build your website, paying rent on your new storefront, or hiring your first employee. Another important use for startup capital is to hire an accountant to help you get your finances in order. Startup capital will help pad your bank account with some cash flow that will ease the initial financial burden of launching a new company.
Many companies need to acquire some form of equipment to start their business, whether it’s a new laptop for administrative work or tools for those who work in trades such as carpentry. If you’re opening a new business that needs equipment, do some research and see if you can find discounted equipment from businesses that have recently closed. Used equipment is far cheaper than buying new, so check classifieds and online listings for options in your area.
Going Back to School
For some, starting a business right now might not be in the cards. If this is the case for you, consider going back to school to wait out the pandemic. Going to school can actually help propel your entrepreneurial dreams. Getting a business degree is one of the best ways to improve your chances of starting a successful business. You can complete your entire business degree online, where you can choose between business management, business and leadership, or marketing. You’ll likely find that both your confidence and technical business skills will improve, which will be useful when it’s time to launch.
Whether you’re carrying on with your business plans or choosing to go back to school, remember that the pandemic won’t last forever, so keep your entrepreneurial aspirations intact despite the recession. If you need help with initial costs, apply for business loans that can help you get started, and remember to buy used equipment to help you save money. Going back to school can be great to help you build out your business skills, so consider getting an online degree if you’re not ready to launch your business quite yet.