- PPF Points
- 5,709
If you have money, and it’s a regular bad economy like a cyclical recession, then it’s actually much easier to start a business. Labor, supplies, space, services you need, are cheap and readily available. Depending on your sector you might not make a whole lot of sales the first few years, which is where having money comes in. But your legacy competitors that have much higher cost structures will be going out of business, and when the economy starts turning up you’ll have a year or two head start on any new entrants.
If the bad economy relates to, say, political unrest, a pandemic, societal collapse, lawlessness, warfare, climate change, and things beyond just a slowdown, then it can be more difficult to start a business no matter how much money you have. You can’t get what you need, and worse, there is a lot of risk and uncertainty. It is almost impossible to predict from one month to the next what market conditions will be so you cannot plan.
This can also depend on exactly what you are selling, who you are selling to, and what you need in order to sell it.
If the bad economy relates to, say, political unrest, a pandemic, societal collapse, lawlessness, warfare, climate change, and things beyond just a slowdown, then it can be more difficult to start a business no matter how much money you have. You can’t get what you need, and worse, there is a lot of risk and uncertainty. It is almost impossible to predict from one month to the next what market conditions will be so you cannot plan.
This can also depend on exactly what you are selling, who you are selling to, and what you need in order to sell it.
