As an entrepreneur, one would love to be in a business which is immune from market uncertainties. This can never be completely true for any business, but just in a few cases there could be business opportunities which are minimally impacted by market uncertainties.
Market uncertainties can be defined as Economic downturns. These can also be termed as Recession (when overall earning potential of a market reduces, or when the total value of the market decreases). The Indian market has been plagued by Demonetisation, Introduction of new GST rules, Lockdown due to Covid Pandemic in 2020, and a second Lockdown due to Covid pandemic in 2021. Such events have led to an uncertain economy and in other words moved the economy into a recession.
In these challenging times, people want to know if there are Franchise business ideas that are minimally impacted or not impacted at all by recession or lockdowns.
To identify such Business opportunities we have to understand 4 Criteria that keep a Business Immune from Recession:
The good news is that there actually exist 4 Recession Proof Franchise Opportunities in India, which can be described as Recession Free or Lockdown free business opportunities. These are:
2 Upcoming/Fast growing brands in Laundry Franchise are:
Not cyclic nature, independent of seasonal changes this business opportunity is one of the most stable industries. Partially disposed to fashion, short term opportunities do arise like courses in coding, digital marketing and similar. The primary education vertical stays extremely stable and that’s why multiple players and even reputed business houses have entered the field of education. Last but not the least, this is a daily requirement enforced very strictly by all Indian parents alike irrespective of religion, caste, status.
3 Upcoming/Fast growing brands in education industry are:
Note: Lockdown scenario in India has made this sector less attractiveness as physical classes have been stopped, but in a few years’ time when the Covid pandemic is behind us, this will, once again be the most desired sector for new entrepreneurs.
Fitness Franchise: The Covid led lockdown in India has taught people the importance of a strong physical being, and therefore a heightened focus on personal fitness. There are so many opportunities in the fitness sector like a Gym, Yoga Class; Non Weights based fitness, Pilates, Zumba and many more. The fitness segment caters to youngsters, women, sportspeople, elderly and even kids.
Staying fit and healthy throughout the year is the new motto in India. Obviously a healthy and fit personality also adds to the glamour quotient in a social setting. New investment is pouring in this sector and Sachin Bansal (Flipkart co-Founder) has invested a significant proportion of his wealth in the new age health venture – Cure Fit.
No seasonality impact in this sector, as people want to exercise throughout the year. Partially swayed by fashion trends like Pilates or Zumba, but traditional avenues like Yoga, Gym, Aerobics continue to be very stable and devoid of any fashion ups and downs. Every doctor visit ends with an advice for improving fitness levels, whether it is to lose weight or to fight illnesses like Diabetes or Thyroid.
3 Upcoming/Fast growing brands in fitness domain are:
Note: Lockdown led social distancing has led to the closure of most of the fitness centres, forcing people to workout at their homes, however this industry remains a fast and easy to start business venture, not requiring expensive real estate.
Health Franchise: If there is one business that is truly immune to the ups and downs of the economy and even the lock-down has not created dent on its profitability, it is the Healthcare industry. This opportunity is available at low entry costs by investing a pathology lab collection centre or a mid-sized clinic with Multi Specialty streams and doctors coming in and going or at a high entry cost by opening a full scale hospital. This industry has place for interested people at all budget levels.
Seasonal weather changes that bring about cold, cough and fever, might influence the inflow of patients a bit more than usual, nevertheless throughout the year people need to visit the doctors for regular health check-ups, co-morbidities, sudden illnesses, pathology test, etc.
Someone or the other in the family is always in need of medical assistance. Homes with kids are prone to visit their paediatricians for routine check-up and vaccination. The industry never loses its charms and keeps on creating new business opportunities in fields like Cosmetics, Skin Care, Dental, Physiotherapy and many more. The only challenge for a new entrant is the hiring of trained manpower – Doctors, Nurses, and Support Staff.
3 Upcoming/Fast growing brands in healthcare sector are:
Research into 42+ industries led to zeroing down the 4 sectors mentioned as businesses opportunities which have less or no Impact of Economic downturns vs other market Industries.
If you have limited amount of money, a Laundry business franchise like Tumbledry Laundry & Dry Clean store sounds best with its opportunities of low investment (upto INR 25 lacs). Good for new entrants in the field of business as prior experience is not required to enter this vertical. Shielded from the pains of old school business industries, the laundry vertical has No Credit issues to manage and No Inventory to worry about. A laundry setup is for life and generations of a family have been known to run laundry and dry clean stores.
However if you have idle funds available, Health care will be an apt investment platform to work with. The investments are high ranging from 1Cr to 5 Cr, the returns do come late, but this again is a set up for life. Having someone qualified with a medical degree in the family adds more value to this business opportunity.
All in all, there do exist opportunities that are more immune than others when the downturn hits the economy.