As unlikely as it sounds, starting a business during a recession is a good idea. Most people who have started their woodworking business during tough economic times have done so because they had to. The most common reason for them has been job loss combined with the need to maintain a steady income.
Surprisingly, this is often the necessary incentive for many to finally do the work they’ve always wanted to do and earn a good living at the same time. With the right approach, starting your woodworking business in a recession is a good move that can lead to very positive results.
Many well-known businesses have gotten their start during the height of a recession: Microsoft started in 1975 while the US was experiencing a recession and has been phenomenally successful. The same goes for Walt Disney, who started his empire in 1923 during another great recession. The United States was going through the Great Depression when Hewlett-Packard was born.
In fact, more than half of the companies that currently make up the Dow Jones Industrial Average started in the middle of a recession.
Why start-ups do well in a recession
First, the competition is weakened. Many companies that started in better economic climates survived thanks to large profit margins. When their huge profits fell, they could no longer survive. When starting a home woodworking business, your ability to compete is better due to the low overheads that come from working at home.
This alone is a real advantage when starting a woodworking business. If you already have tools along with a workspace, you basically have what it takes to get started. Even without tools, you can get the tools you need for less than $150.
Why You Should Start Your Woodworking Business Now
As mentioned above, many people start a business out of necessity. Those who enter the carpentry business have a distinct advantage. They are usually passionate about carpentry. It’s always easier to build a new business when you’re doing something you really enjoy. Managed correctly, your carpentry business will be very profitable and enjoyable.
Here are some reasons why you should act now:
additional income
The most obvious reason to start a business is to make money. You can run your woodworking business from a workshop in your basement or garage and work whenever you have the time available. If you are starting your business to supplement your income, you can always work weekends and nights. If this is going to be your only source of income, you will obviously be working full time.
The idea of working at night or on weekends may not appeal to most people. However, if he currently works as a carpenter or pursues woodworking as a hobby, you already know what he’s doing and probably already spends time doing it. Therefore, it makes sense for him to turn his time into money. There aren’t many opportunities to earn a good income doing something you love.
job security
Nobody’s job is safe these days. Having a second income from a carpentry business is a good way to keep yourself protected in case you lose your current job. If that were to happen, you could ramp up your efforts and turn your existing part-time business into a full-time business. Losing your job could end up being one of the best changes in your life.
A novice can start a carpentry business
A common misconception is that only professional woodworkers and master craftsmen can start a successful woodworking business. This is not the case. Anyone who knows how to use a hammer and nail has the basic skills needed to get started.
Literally everything you need to teach you how to build simple woodworking products, what tools to use, and even how to start a woodworking business as a beginner can be found online.
Customers are everywhere
One of the great benefits of the internet, apart from being a good source of information, is that you can sell your products to people anywhere in the world. The internet is also a great way to give your woodworking business visibility that may not be possible as a home-based operation.
Another simple fact is that during a recession there is always that segment of the population that is not affected. These are the people who have disposable income regardless of the economy. These are the people who would love to buy your products, and one of the best ways to get them as customers is online.