57 Recession-Proof Businesses to Start in a Bad Economy (How to Thrive, Not Survive)

Vending machines could be the solution for more than foodstuffs during financial strife.

And maybe one of the best recession-proof businesses that thrive during a recession.

This $7.5 billion industry has seen its fair share of bumps as consumers turn to healthier alternatives and shun the sugary mid-afternoon slump snack.

But what if?

• Vending machines stock healthy options in addition to the confectionery and soda pop they have built their existence upon?
• What if they are stocked with retail items or consumer staples?
• Low overhead costs, strategic product placement, location selection.

Who doesn't like the quick and easy?

People want minimal cost-especially when they are trying to trim spending.

There is a global shift surrounding vending machines as more countries are adopting a retail methodology around their use.

If companies are willing to embrace and implement change, they will see fortuitous financial outcomes, as evidenced in this publication.

With malls closing their doors and the increase of online sales, vending machines could be the next trend for more than a candy bar and a can of coke.

The cleaning service industry achieves revenues over $46 billion annually and is expected to see a growth rate of 6.2% by 2022. 

The demand for residential cleaning services continues to rise.

There's controversy about this market being recession-proof, consider these facts:

People lead hectic lives. 

If there is a way to scrape together the funds to retain their cleaning providers during financially uncertain times, people are willing to continue to outsource their house cleaning. 

An added service that cleaning businesses can offer to make an extra 500 per week is cleaning foreclosed homes.

Although they're a bit trickier to bid, they do offer an incredibly profitable opportunity once established. 

Here is an interesting article suggesting that a recession is an ideal time to consider launching a cleaning service targeting a wealthy client base and capitalizing on economic turndowns.

When the economy goes down, the demand for housing inevitably goes up. 

It's the nature of the beast.

With more individuals requiring home rentals, there is an increased need for rental agents.

Rental agents perform duties related to a rental property.

And are responsible a few things as per this article including:

• Managing
• Lease renewals
• Tenant approvals
• Filling vacancies 

People will always need shelter.

If unable to carry their mortgage due to financial hardship, renting is typically the viable alternative.

Rental property, in general, tends to remain unscathed by a recession.

While the economy does not directly impact the real estate market, it does ride the cyclical wave. 

There is no such thing as real estate recession-proof investments, as per this publication.  

However, specific properties fare better than others, and family rentals are at the top of the list.

We advised that selling a home during a recession is never the ideal investment strategy, however, there are circumstances where it is not an option.

During a seller's market, tapping into the buyer's emotional connection is the key to success as per this Canadian-based article.

Here's why:

• When the buyer feels a sense of attachment, they are more likely to follow through with the entire process and finalize the sale.
• Home staging highlights your home's most exceptional features and results in quicker sales and best prices.
• The challenge of selling a home during a recession is real and property stagers excel in this area. 
• As the housing market becomes increasingly competitive, home stagers may thrive as a result of the repressed economy.

Suggesting this is one of the recession-proof businesses that thrive during a recession as per this post.

Studies report that children twelve months to four years thrive in a daycare environment with age-appropriate stimulation, routine, and structure paving the way for employment in areas such as:

• Daycare Facilities
• In-Home Daycare
• Nanny/Au Pair
• Childcare Worker
• Early Childhood Assistant

Even when money is tight, most parents opt to maintain their daycare or childcare placement. So why not open a daycare?

This not only alleviates parental stress, but provides a level of consistency in the lives of young children.

This article offers further insight as to why continued childcare is imperative despite financial hardship.

Death care-most specifically, cemetery and crematorium services has to be the most recession-proof industry available.

No matter the economy, people die. 

While most funeral, cremation, memorial, or celebration of life events are pre-planned, when the unfortunate hour arrives, family and friends of the dearly departed have no choice but to commit to addressing the situation.

Financial downturn or booming economy makes no difference to the deceased.

When we stop to contemplate what constitutes a recession-proof business, essential and static services are at the top of the list.

But what makes an industry impervious to a reduction in business activity?        

There are five instrumental components necessary for a business to survive economic downturns:

Recessions may impact consumer spending, but goods need to be moved, and shelves need to be stocked.

The logistics industry in the United States is valued at nearly $12 billion and encompasses a profoundly integrated supply chain network. 

Each piece of this massive conglomerate puzzle links producers to consumers through a variety of transportation modes, like a trucking company.

The planning and execution of goods is a well-planned process and does not slow down for a sluggish economy, as supported in this article.

So if you've ever thought about starting your own trucking company, your odds of surviving a recession are pretty dang high!

Healthcare and medical services spending in the United States is over $4 Trillion and will continue to rise due to the increased aging growth of the population and rising costs.

The healthcare system has what is referred to as "price inelasticity," which means that it doesn't matter if prices go up or down, consumer spending habits remain unchanged. 

You need healthcare to survive--even during a recession.

However, individual companies will fare better than others, depending on their current debt to equity ratio. 

The healthcare industry can be divided into three main components, and include:

Granted, during a recession, people cut back on their spending, but that does not mean they stop spending altogether.

Retail therapy is a real thing. 

During economic downturns, the challenge is to make the dollar stretch farther.

Thus individuals who might never have entered a Dollar Store or Thrift Store are now more inclined to dig for finds. 

There is an economic term referred to as the 'Lipstick Effect. ' 

Essentially this equates to consumers purchasing luxury items that have less of an impact on their finances such as an expensive lipstick, craft beer, or a smaller electronic gadget as further described in this publication.

Discount retailers also have the edge over their mainstream counterparts in that they can provide staple consumer goods at a lower cost.

Staples such as hygiene products, food and beverages, household goods, and particular items people are unwilling to eliminate from their budgets, confirming that this is one of the recession-proof businesses that thrive during a recession.

Like auto repair, the appliance service and repair industry are one of the recession-proof businesses that thrive during a recession. 

They don't make them like they used to.

When an appliance breaks, replacement models are a costly investment for the majority of Americans. 

The American appliance industry is worth over $100 billion and on the rise with the introduction of smart appliances. 

But these bad boys are expensive.

During financial strain, the general public is more inclined to fix the old as opposed to buying new.

Generating a steady stream of business for appliance service and repair technicians and business owners as outlined in this article.

With the rising costs of appliances, water, and utilities, many Americans are heading back to the old school methodology of keeping their clothes clean by utilizing the coin laundry business.

Laundromats are a recession-proof business that is little affected by economic downturns.

During financial struggles, people will forgo the more costly dry-cleaning counterpart and opt for washing and wearing clothes that have low maintenance or associated costs. 

The coin laundry industry generates over $5 billion in gross revenue per year and is accessed by millions of Americans. 

For many with limited resources, coin laundry services are often the only option to clean clothes.

Changes in consumer spending during a recession result in a profitable effect on the laundromat industry, as further explained in this post.

It may not seem this way on the outside, but laundromats might be one of the best recession-proof businesses to buy.

There are nearly 7000 pawn shops across the United States.

For many, these unconventional credit lenders are the difference between having hydro or being left in the dark.

They are servicing banked and unbanked Americans by offering non-recourse, short-term loans that do not affect credit scores.

Licensed and regulated, most pawn shops are family-owned and offer consumer credit by purchasing collectibles and issuing cash loans based on physical collateral.

Here is a publication further explaining the role pawn shops play during economic hardships that confirms this is one of the recession-proof businesses that thrive during a recession.

Chocolate and candy are the Achilles Heel for many.  

Revenue from the confectionery segment amounts to $295,929 million in the United States and is projected to grow by 1.33% until 2025.

While not the most excellent news for a person's physical health, that is a potential landslide for businesses offering these sinful delights.

Even during a recession, people will find a way to satisfy their sweet tooth, and chocolate, in particular, is considered an affordable luxury. 

Touted as a 'mood booster,' chocolate goes a long way in lifting a person's spirits--a characteristic that serves us well during financial stress. 

People will make countless sacrifices during financial hardship, but the chocolate and candy industry will see little impact as a result of a recession as further outlined in this publication.

After all, who doesn't love to dive into their favorite candy bar when they're feeling a little stressed?

The old adage which has repeated itself during countless recessions is that Americans will drink in good and bad times.

Even with fewer discretionary dollars to spend, the nation frequently imbibes recession or no.

Be it the numbing effect or drowning their sorrows, alcohol consumption is little affected by financial declines in the United States.

A higher unemployment rate can also be cited as the culprit for the increase in alcohol consumption.

No job-no money to buy the things they really want-thousands of Americans turn to the liquid gold for a fleeting moment of happiness.

It would appear that during a recession, alcohol is one item, Americans cannot live without as per this post.

Yes, this one could definitely cause a bit of ethical conflict, but I'm just spitting facts here.

Much like its alcoholic and marijuana counterparts, cigarettes and vaping don't even flinch during a recession.

Historical evidence suggests that during a recession when boredom and stress or anxiety is at a heightened state, people that smoke will actually puff more often as per this article.

The American tobacco industry is worth an estimated $48 billion with vaping close on its heels, registering at a value of just over $20 billion.

Americans are little fazed by the health risks associated with both habits.

Willing to find a way to purchase this commodity despite being desolate, suggests that cigarettes and vaping are some of the best recession-proof businesses in 2021.

Measured by revenue, the hair salon industry in the United States is valued at over $47 billion. 

Americans enjoy pampering themselves and take pride in their appearance.

When you allow yourself the occasional indulgence or 'unessential product,' the pressure and stress of riding out a recession melt away.

Specific services and price points may need to be altered to accommodate the stagnant market.

But if you have a loyal client base, owners will see minimal adverse impacts.

Most Americans will still imbibe in services offered by the hair salon industry during a recession. 

This article confirms that the market will undoubtedly find itself resistant to a recession.

The American cosmetic industry is valued at approximately $532 billion, and starting your own makeup business is possible.

People enjoy looking their best, be it for themselves, work, or a social setting.

The cosmetic industry gives people the tools to look and feel their best. 

Price points can be adjusted to conform with budget restrictions imposed by financial hardship but tend to stay loyal to their favorite makeup brands. 

For most well-established names with non-cyclical products, economic downturns will have little to no impact on their bottom line, as evidenced by this publication.

When faced with financial stressors, Americans will cut spending wherever they can.

Great news for online video streaming and media services-bad news for cable companies.

Think about it.

What makes more sense?

Cutting out a $100+/month cable bill or a $13/month Netflix subscription?

Despite depressed finances, people still want to be entertained.  

Online video streaming offers an affordable, stay-at-home luxury that Americans can justify paying for despite financial challenges.

Positioned to earn significant profitability during economic downturns, as evidenced in this post.

Online streaming is one of the best online recession-proof businesses out there right now.

It's no secret that a recession and turmoil in the stock market go hand and hand.

But what about your secure assets-things like you 4019(k) or treasury notes?

During economic uncertainty, people with investments turn to professionals and seek expert advice from financial planners and analysts.

Looking for guidance on how to protect their assets best.

Financial planners see an upswing in clients and overall profitability as a result of a recession.

This article offers additional information and some interesting statistic.

Suggesting that Americans working with a financial planner feel more confident about their financial situation than those who do not retain professional services. 

When apprehension around the future of the economy is at the forefront of everyone's mind, the demand for financial advice and direction escalates.

Economists are like the fortune tellers of the fiscal world.

Their ability to forecast economic trends during financial hardship creates significant demand in their services.

People are anxious to seek advice and insight into current situation and solutions to recovery.

American's do not like financial uncertainty and want to ensure that their savings or investments are well secured in times of national economic strife.

Economists spend their livelihood analyzing everything from interest rates to global economies to the stock market and are well-versed in their ability to predict a recession.

Check out this pre-COVID-19 article, which indicates that evidence supported the possibility of a recession by 2021 at the latest.

Economists could not have predicted the pandemic, but they were on point with regards to a global recession.

This skill and expertise drives up demand and confirms that this is a recession-proof business that thrives during a recession.

Recessions are stressful.

In times of financial uncertainty, it becomes crucial that people understand where and how their money is being spent every month.

When you know your numbers, you can better understand what expenditures you are responsible for monthly.

And hone in on areas that you can cut back spending without adverse effects.

A bookkeeping business generally sees an influx of clients during a recession as businesses scramble to gain control over their financial security, as evidenced in this publication.

Bookkeepers can offer actionable plans and strategies to not only implement spending cuts but also discuss potential saving techniques. 

Suggestions that could be the difference for many businesses and homeowners between biding time and going belly up.

While not 100% recession-proof, staffing firms are an industry that benefits from fiscal peaks and valleys.

Numerous lay-offs during a recession may negate the need for temp agencies, or it may do the complete opposite.

It is more cost-effective for business owners to outsource work on a contractual basis as they eliminate the extra costs of holiday and sick time pay and benefits. 

During a recession, some of the most sought-after employees are looking for work, and the cost of retaining their services is lower.

In times of economic downturn, staffing firms are relied on to secure reliable and affordable labor for business owners.

And tend to bounce back from a recessed state quicker than other industries.

Staffing firms are good indicators of where the economy is headed-seeing patterns of temporary workers rise and fall as further outlined in this publication.

Contrary to popular belief, collections agencies are not waiting with bated breath for Americans to fall into dire financial straits.

This $13 billion market is closely monitored by the Consumer Financial Protection Bureau (CFPB) and faces numerous challenges regarding debt recovery.

Recessions drive the unemployment rate up, causing many individuals to fall into arrears concerning their consumer debt.

Forced into collections by business owners, increased collection rates, and outstanding credit provide an uptick for the collection agency industry.

But there is more to this story.

Just because a file is in collections does not guarantee that the debtor will be able to pay their loan.

When accounts face default, collection agencies do what they can to recoup losses for business owners.

But it is inevitable that some debt will never be collected and will need to be written off as a loss.

Collection agencies tend to see an increase in business during a recession based solely on individuals' economic situation. But it's business as usual for this industry as per this article. 

Information confirming that collection agencies are one of the recession-proof businesses that thrive during a recession.

Americans are consumed by their love for their pets and do not mince with spending when it comes to their precious four-legged friends.

With national spending on pet supplies seeing an annual growth rate of 7%, the 85 million pet owners across the United States may spend more on their animals during a recession as per this publication.

With over 67% of our nation's population proud pet parents, if you are employed or own a business in the pet industry, you can breathe a sigh of relief in the event of economic turn down.

The pet industry provides stability and a steady stream of income even when your stocks have hit an all-time low.

This article confirms that the pet industry is booming and is one of the recession-proof businesses that thrive during a recession.

Proud pet parents want their animals to look good and are willing to pay for it-even during a recession.

Of course, there are the necessary grooming essentials such as toe clipping and coat trimming, but even when times are tight, Americans do not scrimp on spending at the groomers.

This Canadian-based article was published pre-COVID-19 but reiterates that there doesn't appear to be a slow time in this $9 billion industry.

And that economic upheaval has little impact on their business.

For most American business owners, the telecommunications market represents a platform for effective communication.

Designed to assist with information sharing and effective communication between a business and the consumer, telecommunications represents how business will be conducted in the future.

The telecommunications industry is valued at over $1.4 trillion. 

The fixed network and mobile services market has continued to experience rapid growth in the last fifteen years. 

The current global situation dictates that this market will not see a decline in demand any time soon.

Americans will continue to rely on telecommunications to stay connected. 

Add the inclusion of mobile and wireless technologies, and continued advancement within the industry is certain as per this publication.

Even though it was exciting for the majority of folks in the beginning, working from home throughout the COVID-19 pandemic brought with it its fair share of challenges.

Everyone quickly found out that juggling parenting, e-learning, and workplace demands left little time for issues with technology.

As the shift to at-home and remote solutions continues, there will be an increased demand for IT service and support establishments.

Business owners across the board are refining and improving their technological components, opening up a host of possible concerns regarding system compatibility, security, and confidentiality.

All of which will require the expertise of tech gurus.

Jobs in the IT Support and Software & Development industries will fare equally well. 

They are the masterminds behind such programs as Python, Java, and Coda and are necessary to the sustainability of the online world.

IT service and support are one of the recession-proof businesses that thrive during a recession. 

This is an industry that will see increased growth moving forward, as businesses implement technology and expand their online presence as further evidenced in this publication.

Even during times of financial uncertainty, although it may be necessary to cut costs here and there and minimize spending, that doesn't mean everybody stops living.

Instead, they turn to lower-cost options to receive products and services to meet their needs.

By opting for DIY online services such as tax services, home improvements, and gym memberships.

One can get the same benefits for the lower prices that are often typical of the online options.

Streaming Beachbody on Demand, for example, is around $99/year--way cheaper than the cost of most regular gym memberships, yet still relatively attainable for the majority of the population.

DIY online services will continue to see expansion as per this post and may become the new normal for many.

What and how you construct your online courses will dictate how recession-proof your product is.

Are you giving people the most bang for their buck?

During economic upheaval, individuals are choosy where and how they spend their money, online products that meet consumer needs will fare well and will be unfazed by a recession.

Know your target audience-do your research and over-deliver on your product as per this post.

Blogs-podcasts-webinars-YouTube videos.

They all have one thing in common. Content.

We have already discussed how the world is online-but how do you generate a presence and secure a captivated audience?

It all comes down to content.

Whether written, video, or audio, people enjoy engaging and informative content.

Think of content creation like fishing.

You need to hook 'em and then reel them in nice and slow. Consider this: 

Every day for the last five years, approximately 640,000 people worldwide have logged on to the internet for the first time.

That is a lot of newbies ready to be influenced by your website or digital platform, so your content needs to be on point.

Businesses that offer content services or digital media production, such as video editing and online streaming software, will see little impact from a repressed economy.

With more people than ever before access the internet, business owners must maintain their online presence.  

This information suggests that digital media and content creation are among the recession-proof businesses that thrive during a recession as per this publication.

American consumers do everything they can to cut spending and reduce costs during financial downturns.

The same is true for business owners who remain committed to achieving the highest ROI for the best price point.

The internet plays a vital role in business engagement and sales with consumers, and there is no more prominent digital player than social media.

Touted as the 'love child' of the web, social media has reached a global social penetration rate of over 49% as per this post.

Do not underestimate the power of social media.

This go-to online communication and networking platform is the lifeblood of many millennial and Gen-Zr's, and will only see expansion in the future.

This article offers additional information on these points and goes so far as to suggest that a recession would be a profitable opportunity for social media.

The online sales market is blowing up.

There is no other way to describe an annual growth rate of 14% over two years running.

Sales from e-commerce in the United States equates to over $600 billion with no sign of abating recession or no recession.

With low overhead costs- if you offer a product or service in high-demand-your e-commerce platform is essentially a license to print money as per this post.

The key here is niche selection. 

Hone in on your target market and thoroughly research consumer spending habits.

Marketing is the other necessary piece to the puzzle in terms of profitability for e-commerce during a recession.

There is an ever-present need to maximize returns on ad spending during financial crunches. 

To keep your ROI riding high, you need to diversify marketing campaigns and minimize costs-all well, still adding longevity and value to your clientele.

Deliver a superior shopping experience-over-deliver on value and customer expectations.

And e-commerce will be a recession-proof business that thrives as confirmed by this publication.

With over 57 million freelancers in the United States and counting, this industry represents 35% of the nation's workforce.

A more economical and viable option for many business owners-especially in times of financial stress-the freelance industry is destined to see continued growth.

Micro-gigs and more remote work resulting from the pandemic is a wake-up call for many.

Why grind it in a 9-5, battle daily traffic nightmares, or payout costly benefits packages when the job can be done freelance style?

Of course, there will always be financial challenges if you do not have a well-oiled system.

But if you are strategic and monetize your skill set, freelancers stand to see little to no impact from a recession.

Here are a few suggestions to maintain profitability:

• Add income and pitch-pitch-pitch.
• Expand your repertoire of sellable skills.
• Business is business, so make sure your outstanding debtors pay up in full and on time.

This post further outlines tips on how to maximize your earnings and remain recession-proof.

Lead generation is a way to produce leads for local business owners.

The training in this program shows you step by step how to build and rank websites.

Get those sites to the top of Google, and they start bringing in leads.

Purchase ready customers that local companies need desperately during times of economic uncertainty.

This lead generation program is 5 simple steps:

The course is so detailed that we have grammas as students.

• People ready to retire.
• People who lost their jobs because of COVID and needed a plan.
• People looking for a business model that's recession-proof and can provide financial independence.
• People from all over the world-some with a ton of relevant experience (others with absolutely none).

Ready to follow the training. Trust the process, and do the work.

You have over 400 niches to choose from.

Focus on essential services. Businesses that are open and looking to grow despite the pandemic.

You choose which niches are the best ones to build your digital properties in during a recession.

The training teaches you how to perform your due diligence.

So you know what to look for and be successful with your lead gen sites.

Leverage Google like it's taught in this course and get those leads coming in.

The sites belong to you, and so do the leads.

Sell those leads like I've been doing with this tree site.

I built this lead gen property in 2015, and it's been making me $2000/month for the last six years.

In addition to that, I am discovering new business opportunities everywhere.

With deals closed on the daily-during a national crisis.

In a time that will be remembered in history, I can still collect a semi-passive income every month I just needed to switch gears.

Now I am creating lead gen sites for essential services that are in demand.

This is the beauty of lead generation.

You can build sites for any commerce you choose. Lead generation is flexible.

During a recession you just pivot to industries immune to financial stagnation and provide leads for those business owners.

Sell those leads and watch the money keep coming in month after month. Even during a recession.

It's not a get-rich-quick scheme.

It's not saturated, and it's not new.

Our program was around long before COVID, and will be here well after this current recession.

We have over 7000 students in our program.

Individuals willing to do the work. Get their hustle on, and commit to the training.

Students who see the value in lead generation.

Want to help local business owners. Want to be able to eat well and sleep at night.

People supporting one another, and willing to help each other and their local business owners.

Well, there you have it. 57 top  recession proof businesses.

Ideas on how to create financial independence and thrive instead of just survive.

You have no control over interest rates or the DOW.

But you do have the power to take control over your financial situation.

The future is in your hands.

Gain the skills and education necessary to achieve employment in a recession-proof industry, and you can provide yourself and your family financial security in uncertain economic times.

Countless other recession-proof businesses that thrive did not make the cut this time.

But if you have a suggestion worthy of mention, please feel free to leave it in the comments.