Many people would think that this would be the worst time to start a business. You might be thinking, “Start my business now? At the beginning of a recession?! Are you serious?”
The answer is yes, now is the time to start your inspection business. This isn’t a selfish tactic to get more people to use Spectora to boost our business, in fact it is quite the opposite.
It’s because starting a business during a recession is actually an opportunity.
Think about it - during the last recession the amount of home inspectors and home inspection business in the majority of markets decreased by 50%.
While many businesses went under, those that do not exist yet don’t have that risk. Since there are businesses closing up or contracting, it leaves a hole that needs to be filled.
Essentially, this means less competition for new businesses, and this provides new ventures like yours the ability to build relationships and gain market share faster when the economy and real estate markets inevitably recover.
At this point - in the early stages of a recession - no one can be positive how far real estate transaction volume will drop. However, it will always come back, as history has shown time and time again.
Of course, starting a business during a recession won’t be a walk in the park - but starting one at any time never is. It will take more work for less results - initially.
This may sound counterintuitive, but that’s the point.
Just like the stock market, people and markets are not rational. They tend to overreact to the downside, while not seeing the advantages.
This means every other inspector out there will be pulling back on marketing; pulling back on taking action, and neglecting their contact with agents that is necessary to maintain relationships.
Ultimately, this means that these businesses are losing mindshare. Loss of momentum for one business means momentum gained for others - and that can be you!
Think about it this way - businesses are not built overnight. Waiting until things are better to start your business will put you behind the crowd, and you’ll lose the advantage that you have during a time of recession.
Businesses that are investing in themselves right now will be much farther ahead because they’ve put in the work when it’s the hardest to - and made themselves more resilient in the process.
Waiting until the market starts to make a comeback will be too late. You’ll be starting from scratch while others have been building their brand, building their awareness and building relationships for months or years while others have been waiting it out.
The biggest and best home inspection companies in the country are increasing their marketing and overall activity right now.
In addition to getting a head start, you will also be recognized for your efforts and noticed by others who are like-minded and business-savvy.
When agents, clients and your community see you as a positive, proactive business in tough times - it shows your character. It shows you are here and you’re not going anywhere. You’re in this with them and support them.
Being proactive and getting your name and company out there when others are silent is key. People will notice and remember you, and when they need an inspection in the future, your company will be fresh in their mind. That means they call YOU.
Start reaching out to agents and grab coffee - or meet up virtually. Ask them how their business is being impacted and what you can do to help, get to know them and relate to them person-to-person, and business-to-business.
Every recession has stories of companies that started right when the recession hit. Was it ideal? Of course not. Was it much harder work? Absolutely!
Ultimately though, these companies saw the tailwinds and benefits from starting when others just sat on the sidelines. This is smart business and the push that you need to become one of those companies!
Don’t wait, the time is now - and the market is open to your new inspection business more than ever!