By Shweta Khanna Bhandral
Career Counsellor & Founder, The Future Skills Company
The world is in the middle of a revolution of sorts. Democracy is in danger. Economies world over are in depression. Health systems are crashing. The Stock Markets are as volatile as ever. So many people are struggling to make ends meet. Yet, around the world, people are daring enough to launch businesses in these times. As an IT professional and start-up mentor, Bhuvan Khanna points out, “Most of the big technology companies that we know today started around 2008 – 09, the years that saw economic recession. There are more problems to solve during these times hence more business ideas to float. Building strong businesses in difficult times is not new.”
If we look at India, close to 16000 new companies were registered in India in COVID times. Though the Central Registration Centre says that this number is half of as compared last year, still it is a number worth looking at. Also, this is just a few registered companies; there are thousands of more small-time businesses which got wings during the pandemic.
There could be several reasons for people to start new businesses. Shweta Joshi, an education entrepreneur, has combined art with education via her venture Adventure Edu-craft. She did storytelling and craft classes, made return gifts for birthday parties. As COVID struck and schools were shut her business got a hit, she tried online sessions, innovated by creating craft kits but eventually with complete lockdown she had no option but to pull the plug. I believe that nothing can stop a creative and skilled person. Shweta Joshi took this time as a break in her education business and started working towards her next venture.
Shweta Joshi, Qurantine Bakers
Quarantine bakers, named by her son, was the start of Shweta’s bakery business in COVID times. Something that began with just a what’s app message and supplying bread, buns and cakes to friends, family and neighbours is today a business on which the family is depending. Shweta says, “It’s thrilling to get new orders, and I have moved ahead from just serving in my locality to other parts of the city. So, the business is growing but has its challenges.”
Smriti Lamech, a journalist and a teacher turned social entrepreneur launched her venture in COVID times. Smritsonian is generating work for a self-help group of local women in Kodai, Tamil Nadu. The women wanted some work, and Smriti decided to put their skill of making stuff toys to use. She started designing rag dolls and these women were engaged in making them. Smriti says, “I know it wasn’t a great idea to invest all my savings in a venture like this in the middle of a pandemic, but these women needed to earn, and I had to help them do that.” Smriti markets them on social media in her unique style; each doll goes out with a story about the women she represents. From Savitribai Phule, Kalpana Chawla to Frida Kahlo all these dolls are a hit. Smriti is getting orders from all over the world from the USA to the UK to Dubai. She is hoping that the venture will do what it intends to for the local women of Kodi.
These are not the only two women who have started something in difficult times; several home cooks and creative artists have begun their ventures in these months. Across the world, also companies and start-ups have had to adapt their operations. The social distancing protocols, economic downturns made it tough to stay afloat. Launching a new business in such times is nothing but complicated. Yet some companies can survive and thrive during a pandemic. Bhuvan Khanna points out, “there is no time that’s bad to start a new venture, there are a lot of new opportunities in difficult times. These are times when everyone is aware of the needs, available finances, potential for things changing, and that’s when innovation takes place.”
Smriti Lamech with her Kodai team
So, what are the reasons that you may find attractive to start your business during a pandemic? There is less competition in tough times; there is easy access to talent at a much lower price, the opportunities that get created now can become habits. Also, a lot of people are taking out money from the stock markets because of volatility and are looking to invest their money in newer businesses, so there is easy access to funds. Other than these you are more likely to get lower rent for space, and there could be other businesses selling out their furniture etc. which you can buy at a cheaper rate.
OPPORTUNITIES FOR STARTING UP IN PANDEMIC:
Any business thrives if it is solving a problem for a lot of people. In COVID times businesses that are seeing strong demand are:
Office Automation tools/ software technology as companies realise that they can do with lesser people and work with people at different locations more automation is coming in place. Companies need to maintain their bottom line too. Hence they are eliminating positions and automating that work.
Cleaning services: Trained professionals who can safely and effectively sanitise homes, offices, and restaurants are in demand. Also, services that could provide reliable and professional housemaids are need of the time.
Small Appliances: Innovative small appliances that can reduce the workload
Gaming/Entertainment: It’s one place where the users are spending more of their time
Delivery services. With many staying home and avoiding unnecessary outings, people are increasingly relying on delivery. Retail delivery, as well as food, grocery, and meal delivery, are seeing particularly strong demand.
Telehealth services. People have been wary of visiting doctor’s, where they could more easily contract coronavirus. As a result, telehealth services have become increasingly popular.
Mental Health services. Staying at home, fear of illness, Job loss, over internet exposure all this is leading to mental health issues.
Education Technology/ Online classes. Schools shut, and parents do not want the children to venture out. Online tuitions to co-curricular activities have gained momentum.
Landscaping/Plant Nurseries. People are spending more time at home hence are growing Kitchen gardens or are landscaping their land for hosting smaller outdoor get-togethers.
Mask makers. With mask-wearing becoming a requirement in most countries, several companies have cropped up or successfully pivoted their operations to create high-quality, aesthetically pleasing masks.
Marketing Services: Content creation, VR or any such thing that is helping in mapping the physical experiences into an equally impressive online experience with your brand.
Businesses do thrive during times of economic uncertainty; you should research well and understand your finances. The success of your venture depends on the kind of work you intend to start and the structure you chose for it. If you are looking at any of the above ideas or any other business that you think can be explored in these times, there are certain things to keep in mind before you set out.
1. Consumer needs: as Bhuvan says, “In tough times there are specific needs which might become part of the behaviour. These new things will form the basis of what the next ten years would look like.” For example, pet adoptions have soared 700% in the US since last year, as people sought pet companionship while they are spending more time at home.
2. Develop a digital marketing strategy: COVID has made marketing far more difficult as most of the traditional ways are not feasible in these times. The companies need to be more transparent while building a digital marketing strategy to build a loyal consumer base. Connecting with consumers, sharing updates, and genuinely engaging will excite them about your brand.
3. Create a long-term plan and be flexible: The business landscape looks hugely different now. Bhuvan Khanna tells us, “2020 world over has accelerated the growth of an online audience for any brand so doesn’t matter what business you have there has to be a digital aspect of it, which will stir your growth in these times and going ahead.”
4. Recession-proof business plan: this means to insure your business. Financial planning should be in place to ensure your start-up can weather any storm.
5. Keep your cost low: Bootstrapping, Bartering and Bargaining will help you do this.
A lot of business crashed during these times, but a lot of those people evolved and started afresh, as Shweta Joshi puts it, “It is about gathering all your courage and just doing it initially. When you cross that hurdle of fear of starting something new, the ball starts rolling.”
