5 Business Ideas That Are Recession-Proof

By Yhordan Serpentini | October 21, 2022

Recessions can be a terrifying topic for business owners and entrepreneurs to listen to since it will have a serious impact on every company, small or large. No matter how much we try to avoid a recession, it is inevitable for it to come by once or twice within a lifetime, and take many businesses with it.

One of the best things about a recession is that it opens doors to new ideas—new ways for current and future businesses to adapt. In other cases, a recession reinforces a business instead, allowing for it to thrive off of it rather than plunder. Here are 5 business ideas that are recession-proof.

5 Business Ideas That Are Recession-Proof

1. Freelancing

One of the most unfortunate parts of a recession is when business owners or employers are forced to make budget cuts in which they need to lay off long-time employees for the sake of the company’s survival. This not only hurts the employee’s financial situation but also the company’s ability to operate efficiently as the demand for labor remains with fewer workers. So, how does this problem get resolved? Freelancing!

Freelancing is a contract-based person for hire where you offer high-quality labor and skillsets for a business for however long they estimate they may need you. Doing so will provide you with income while keeping the company’s assets at a lower cost. All you need is good internet, a laptop or computer, and the required skillset for the respective occupation.

2. Public Health Institutions

One of, if not, the safest industries from a recession is healthcare. Public health institutions and other organizations related to healthcare are inelastic, meaning that they are not affected by the economy, nor by a recession. The reason for the demand for healthcare and healthcare products being inelastic is that there are simply no other substitutions for those health institutions and products.

In some instances, the rising stress of being laid off, losing money, losing jobs, higher prices, etc., can severely complicate an individual’s physical or mental health—making the demand for healthcare incline rather than decline. Demand is one of the key factors for a business’s success during a recession, and the healthcare industry is one that will never stop having demand before, during, or after.

3. Discount Retailers

Discount retailers like Walmart, BJ’s, Dollar Tree, and T.J. Maxx are generally stores that sell essential goods at discounted prices. During a time of nationwide financial discipline, major budget cuts, and changes, it’s no shocking twist that the average consumer will flock to stores that sell necessary goods at a cheaper price.

4. Accounting

During a nationwide financial crisis, accounting, financial planning, or financial advising—or even bookkeeping—are no-brainers in thriving off of a recession. This is the most important period in which the public, and even the government, needs the help of financial experts. It was estimated that the accounting industry was valued at a revenue measurement of over $133.0 Billion in 2022—and the demands are only getting larger.

Even outside of a recession, accounting is still an incredible business to manage, as organizations, large or small businesses, the average consumer, and even other financial experts, prefer having accountants and other professionals offer assistance in bookkeeping, financial planning, and advising.

5. Food & Beverage

To no one’s surprise, the food and beverage industry greatly flourishes from a recession. Whether we like it or not, we need to eat and drink in order to survive, no matter how poor or how rich we are—in or out of a recession. When there is unfortunately a recession, people tend to use food or beverages as a means of “guilty pleasures” or simply out of a necessity to survive.

Whether it be budget meals, premium quality, candy, alcohol, liquor, chocolate, desserts, or whatever you could possibly think of, the industry will still be here before, during, and after a recession.