You probably think that starting a business right now is a crazy idea, but according to Entrepreneur magazine, a down economy is a great time to get certain businesses off the ground, particularly an online business. Here's why:
- Internet startups are cheap to launch. Costs for setting up a dynamic e-commerce site have dropped significantly, and could be as low as $3,000.
- You can set up shop in your house and tend to it nights and weekends and by email, so you don’t have to quit your day job. It’s possible to get up and running in less than a week.
- Even in a down economy, online sales are still growing at triple the rate of store sales. The recent spike in gas prices created millions of new online shoppers. Now that they’ve discovered how convenient it is, many are likely to stay online even though gas prices have fallen dramatically.
A word of caution, however—you still need a great product or service that folks want to buy, so plan carefully. Here are a couple of bonus tips: Give excellent customer service and offer discounts for bringing in new customers.
A lot of very successful companies today were launched during tough economic times: Burger King, FedEx and Microsoft, to name a few. They were once crazy ideas, too!