Do you know that there are businesses that don’t go down in spite of an economic recession?
Nielsen data shows that pet food and supplies sales rose 26% in stores and 77% online at the height of the pandemic in March as pet owners stocked up on goods. While sales at stores have tapered off as people avoid crowds, e-commerce has stayed generally solid as pantries are restocked after the initial buying binge.
While businesses struggle to meet up with sales due to the financial impact of COVID, some businesses are cashing out despite the global economic meltdown.
So, if you are looking for recession proof businesses, our list is all you need.
Before we go on to list the top 15 recession proof businesses, let’s go on to define the term, ‘recession proof business’
What Is A Recession Proof Business?
A recession proof business is an industry that does not feel the impact of economic decline in terms of sales. This industry is one that everyone needs irrespective of the situation.
For instance, businesses in homes and vehicle repairs, public services like plumbing and electricity, grocery, etc, all tend to do well despite economic recession.
So, if you’re looking for recession proof business ideas, here you go.
15 Businesses That Are Recession Proof
Here’s our list of the top 15 recession proof businesses.
#15 Funeral services
Death is a natural phenomenon that can occur at any time. Even during recession people die and death care services will obviously be needed. Therefore, we can authoritatively say that the funeral service industry is a recession proof industry.
#14 Veterinary Services
Just like human beings, animals always require vet services irrespective of the economic situation because they need to be kept clean and healthy.
Therefore, pet animal owners always ensure that their pets always gets the best of treatment at all times to avoid sickness or premature death.
#13 Home Staging Experts
The fact that it’s normally difficult to sell a home during the recession, doesn’t mean home sellers won’t engage the services of home staging experts who will clean up and furnish the house in order to make it appealing to intending buyers who can come unexpectedly.
Home staging specialists might be real estate agents or interior design professionals, or both.
You may want to see the best property management companies.
#12 Services for Elderly
With the increasing number of elderly persons and homes, the services for the elderly are also in the increase and non-stop.
Whether there is a recession or no recession, elderly people must be taken care of. Therefore, the services of health experts and other workers will always be in great need.
#11 E-commerce (Delivery)
While physical stores might find it difficult to keep up during the recession due to running costs and other factors, your online selling business can thrive, as it’s an inexpensive alternative. Example: Amazon, eBay, Letgo, OfferUp
#10 Accounting services
Accounting services are one recession proof industry that is in high demand during a recession as businesses and government bodies seek their services in order to find ways to cut down costs.
During a recession, businesses still need to offset their bills and keep records of their revenue and expenditure. So, the services of an accountant or financial expert are endless.
#9 Cleaning services
The duty of a cleaner isn’t one that comes with season especially when we’re talking about business environments.
Take for instance, if a hotel or company decides to cut down its workforce as a result of the recession, do you think the services of a cleaner will no longer be needed? Of course, not. The duty of a cleaner is always there even when the economy goes south.
#8 Repair services
As we all know there are no perfect days for things to break down. Even in the best of times, things break down just like in the bad days.
During a recession, people will fancy the idea of repairing to buying new things.
That is to say, companies that concentrate on repair services for essential items like auto mechanics, roofers, and plumbers, are likely to see just as much work during a recession as when times are good.
#7 Information Technology
In the wake of COVID, the importance of IT tripled as companies, businesses, and even schools had to adopt remote online working and learning systems. This trend is one that has come to stay in and out of seasons.
The popularity of working from home is also likely to increase demand for businesses that cater to IT, as companies everywhere need the services of IT firms.
#6 Health services
The health service sector has proven to be a recession proof industry. As a matter of fact, it is renewed every day as the services of health workers know no bounds.
During a recession, people make frequent visits to health centers maybe as a result of ill health or a routine check-up.
#5 Childcare / daycare
Most parents always create room for childcare/daycare regardless of how tight the economy is.
This is because the services offered in a childcare can’t be offered at home especially when both parents are working or in single-family homes.
Due to the desire to give their young children the best, parents always look for ways to accommodate the services of a childcare/daycare.
#4 Courier and delivery services
Sending letters, goods, mails and other packages has nothing to do with the recession. No matter the circumstance, people will always find the need to send emails and packages across
So, in times of economic recession, courier and delivery services stand out as one recession proof business.
#3 Retail consignment
According to CNN, secondhand stores saw a 35% increase in sales during the last recession even as other retailers’ sales dropped.
In fact, the thrift store craze sojourned after the recession was long gone and it’s just as convenient to buy used clothes as it is to buy new.
Retail franchises and other second-hand shops are a good recession proof industry.
#2 Food and beverage
This is obviously one of the businesses that recession has nothing on regardless of its ability to influence the prices of commodities.
During a recession, people will always have to eat and drink. While people may cut back on splurges like eating out at restaurants, they will still spend on some small things.
Sales at grocery stores, candy sales, and alcohol sales all tend to increase during a recession. According to the New York Times, sales of chocolate company Cadbury skyrocketed by 30% in 2008. And Snickers and Mars Bars were invented during the Great Depression. This goes to show you how much we crave sugar when we are stressed out.
Furthermore, household items like; toothpaste, laundry soap, and other staples will always be needed, no matter the economic situation.
#1 Baby products
Just as the recession can’t stop childbearing, they have nothing on baby products too. If you have a baby when the recession hits, that’s not going to stop you from needing diapers and baby wears, is it?
Parents might not be able to spend hundreds of dollars on toys at Christmas during a tough year, but they will still buy presents and new clothes for their growing babies.
So, if you are looking for a recession proof business try catering for babies. Meanwhile, see how to get free diapers for your baby.
A recession proof business does not in any way imply businesses that don’t feel the impact of economic situations like increase and decrease in prices. They are simply businesses that always find a way to thrive during economic recession owing to their relevance.
Simply put, they are businesses people can’t afford to ignore no matter how deadly the financial situation of the country is.