Form Your Own Accounting Firm and Get Through a Bad Economy
Nowadays almost everyone knows what a "double-dip" recession is. With large businesses holding respectable surpluses and job creation beginning to pick up the recession could be done with, but unemployment remains through the roof with minuscule prospect for a rapid comeback. The housing market, which kept the economy floating for years, persists in getting worse. Finally the unemployment rate is hovering at almost 10%.
Is it time to surrender and join a monastery?
I wouldn't recommend it. In a time of pressing economic difficulty, you should start a business.
That might shock you but if you look back you'll see that lots of successful companies are established during the most troubled times.
Walt Disney, Apple, and Microsoft were all established during economic hard times.
Accountants are exceptionally qualified to take advantage of a harsh economic environment.
An accounting practice can easily be set up as a home based business with a humble initial investment. Many staff accountants have been let go as businesses tighten their belts and resolve to get by with less. With so many people needing work, the unemployed have a distinctive chance to pull out an old business plan and give them another stab. What better come-uppance on an old employer than to start a successful business and take over the market?
It wont be easy easy. Starting a new business never is. However the right idea might just work at the right time. Since companies tend to lock down during hard times new businesses get a real chance to be successful. They can take advantage of:
- Low-cost office space
- A lot of available talent
- Weakened competition
Accountants with an even slightly independent streak should consider the current environment and figure out the underserved segments of the population. The more you can carve out a niche, the better your chances of standing out from your competition.
Think outside the box. It may be easier to tap a small specialized segment of an existing market than it will be to go head to head with an established competitor. Keep this in mind when examining your market. Are there any sub-populations in your community that you could tap into? Musicians? Car dealers? Motels?
According to Bob Parsons, founder and CEO of GoDaddy, "When the economy is in a recession, I think that's the best time (to start a business)". The reason? Your efforts will stand out."
So is it a good time to start a business?
You bet it is.
About the Author
Brian O'Connell is the President and founder of CPA Site Solutions, one of the country's leading website design firms dedicated solely to CPA website design. His company at present provides websites for more than 4000 CPA, accounting, and tax preparation firms.