5 Money-Making Reasons You Shouldn’t Put Off Your Startup

Ольга Simankova / Getty Images/iStockphoto

Kristopher Kane

Sat, Nov 30, 2024, 12:00 PM 4 min read

Just as no one could predict COVID-19, no one could predict some of its long-term effects. Among perhaps the most surprising is a boom in the number of entrepreneurs. Most of us wouldn’t think of a pandemic as a good time to open a business, but many startups that launched during this period have experienced unexpected success.

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Whether it was through innovation, adapting to changing market conditions, or taking advantage of novel opportunities brought about by the pandemic, these businesses have seen growth that was difficult to pull off even pre-COVID-19. These post-COVID startups have defied the odds and contributed to an economic revitalization that the New York Times called “a record surge in new businesses,” which has “helped drive job growth and could have longer-term benefits.”

Keep reading for five compelling reasons why starting a business now could be a good move despite the apparent risks.

Economic Resilience

The pandemic laid the groundwork for an entrepreneurial boom by giving millions of people more time at home. This contributed to a shift in employment, and businesses that formed between 2020 and 2022 had collectively created 7.4 million jobs by the end of 2022 alone.

This kind of job growth underscores an economic resilience that startups can take advantage of. Entrepreneurs who can adapt and thrive can tap into the needs of this new market. Despite ongoing challenges like supply chain disruptions and labor shortages, new businesses can fill a niche and find success.

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Startups Can Leverage Lasting Market Shifts

As the global health crisis kept so many of us home for extended periods, we also had time to change our consumer behaviors. Successful startups that emerged during the pandemic were able to capitalize on these changes, notably with many consumers opting for e-commerce and other online services.

These shifts didn’t end with the quarantines but have instead become changes with real, lasting power. How consumers now interact with the market has forced changes in traditional business models. Startups are uniquely situated to provide innovative solutions to meet these demands and benefit from early adopter status.

Startups Can Harness the Power of Innovation

Entrepreneurs have always been innovators. The pandemic gave many people considerably more time than when they faced daily commutes, and this time allowed them to pursue new ideas. Those who used that free time to launch startups were part of a wave of creativity and experimentation.

Through the power of innovation and technology, these new enterprises succeeded by filling gaps left by businesses that closed during the lockdowns. This kind of innovation has demonstrated its staying power as these businesses continue to create wealth for the entrepreneurs who started them.

Startups Can Benefit From Supportive Ecosystems

The pandemic changed how we shop and how we bank. There’s now greater access to novel avenues for funding through online-only banks with more attractive interest rates. This has proved to be a thriving ecosystem for startups.

With low initial interest rates, startups have had an easier time acquiring capital. Innovative providers also offer outsourcing solutions for payroll and human resources, allowing many entrepreneurs to punch above their weight. This has helped new enterprises experience unprecedented growth in a short period.

Contributing To Economic Growth

This is the chance to pay it back. One of the most compelling reasons to launch a startup now is the chance to make a positive contribution to the broader economy. The entrepreneurial boom has been a critical component of a newly energized job market. Startups are creating new positions that increase both economic diversity and stability.

These new businesses and the jobs they create sustain employment levels. Low unemployment is foundational to a steady economy, and it has many other long-term benefits. As more people seize the opportunity to become entrepreneurs, this slipstream effect could lead to more affluent communities with greater opportunities.

Carpe Diem

Launching a startup is never easy, and it requires you to overcome many obstacles. The current economy may not be one of them, though, as it has shown to be fertile ground for new business success.

Entrepreneurs are replacing lost jobs, driving innovation and underpinning a market recovery that many have found to be surprising.

This new market environment is more adaptable, and entrepreneurs with novel ideas might have a competitive edge. Whether they’re driven by a desire to innovate, capitalize on market changes, or contribute to wider economic growth, aspiring entrepreneurs have no shortage of reasons to take advantage of this moment in history.

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