8 Key Concepts of a Recession Proof Business - Part 3

This is the third article in a series of how to find a recession proof business. In the first article we discussed the definition of a product and how that definition can actually help us determine whether a business could be recession proof or not. And in the second article we talked about market saturation and whether you are in a market that is unique or one that is over crowded with many competitors. In this type of market you may not even get noticed.

Now the third thing we need to discuss is when we are talking about a product you need to determine whether your product is short term or long term to figure out if you have a recession proof business. The best example I can give is when my wife and I became pregnant and we have our first child we really did not know anything about having a baby. Of course we were not the first people to ever have a child but we had an enormous amount of questions. We did not know what to expect, did not understand what was normal or not normal for a baby. We ended up spending some money on educational books to help us know what to expect and help put some of our worries to rest.

As I was looking at these books I realized they were not all new and some had been around for years but still applied to my current situation. I soon realized this was an excellent market to get involved in because people would never stop having babies. These products and the value they add to their market would never become obsolete. This is the makings of a recession proof business.

If you look at other products that offer educational materials like for video games or computer programming. These products change so quickly and are obsolete almost before they hit the market. People are always looking for the next best greatest game or programming language available so information on these types of products quickly become obsolete.

So the one thing we have to do to guarantee a recession proof business is to find a product that has longevity and can carry you through good and bad economies. Find a service or product that people are never going to stop needing. There are several different niches you can look to for these types of niches which include health, financial and educational.

There are a lot of MLMs selling all types of supplements and these markets are completely saturated. So although we want to keep a product that is not going to be obsolete in the near future, we still want a product that is going to be unique and solve a unique problem. Building a business on a product we know is not going to be a long term commodity is going to fail. It will not last you long term and as soon as the economy gets bad people are not going to be interested in something that is obsolete and out dated.

So one thing we definitely want to avoid when we are looking at how to be a recession proof business is to find a service or product that people are always going to need or have questions about, and will not become obsolete. Find something that will provide a solid foundation for your online home based business or traditional brick and mortar business.