Before COVID-19, unemployment was on a steady decline for the past few years and was approaching historically low percentages. After the pandemic hit, the economy suffered a major blow, one from which we are still trying to recover from. Between March and April 2020, people throughout America experienced job loss due to businesses being forced to make budget and staffing cuts or shut down completely. In April 2020, the Bureau of Labor Statistics reported that the unemployment rate peaked at 14.7 percent, which was the highest rate and over-the-month increase in the history of the data.
A new study from Grand Canyon University took a look at unemployment in the U.S. dating back to 1947. The unemployment percentage at the peak of the Coronavirus pandemic surpassed the 2009 Great Recession when the national unemployment rate peaked at 9.6 percent.
The major effect on employment forced people to rethink their career paths. Many people began looking for new jobs, while others began to consider creating their own jobs. With working from home becoming a new normal, Americans are now in a better position to start home-based businesses. At one point, this may have seemed like a distant dream, but it is now attainable more than ever. However, jump-starting your business can be hard. What will you do? How will you make money doing it?
Here are a few tips to help you get started!
1- Figure Out What You’re Good At
For some this is easy, for others, this may be more difficult. We all have a talent, sometimes multiple talents, but what would you be comfortable doing on a daily basis? You may have a great singing voice, but don’t want to base a business off of that. Consider making a list of your talents and skills, this will help you fully assess what you can turn into a successful home-based business.
2- Create Business Ideas Based on Your Talent
Now it’s time to brainstorm. Once you have identified your talents and skills, start thinking about business ideas that include your strengths. For example, if you are a detail-oriented person with great writing and marketing skills, the following ideas may be a great business for you:
- Marketing Consultant
- Media Relations Specialist
Also, assess what the public currently needs. For example, many businesses are trying to recover and rebrand after the pandemic, which means there is an increased demand for marketing professionals.
3- Can this Work from Home?
This step is pretty simple. Once you pick your top ideas, ask yourself “Could I efficiently do this from home?” Not every small business is meant to be home-based. If you want to start a bakery, and your business demand is 10 custom cakes per day, you might want to rent a professional space with an adequate kitchen. However, if you want to be a career consultant, you can most-likely advise people from your home.
4- What is the Likely Profit?
Let’s talk about money! This is perhaps the most important step in the planning process. You must ask yourself “How much are people willing to pay for this service or product?” and “Can I make a sufficient income from that?”
Every business has a time period in which it needs to start generating a profit, however, you need to eventually meet your income requirements in order for the business to be successful.
5- Write that Business Plan!
When you gather all of the basics, create a business plan. This isn’t only for potential investors, but it serves as a model that can guide your business. This will require research and in-depth thinking that will help you determine if this business will be successful. If you’re having trouble getting started, check out what’s included in a business plan.
Good luck with your future endeavors!