Article by YWA member Victoria Vorsas
How many people do you know that lost their job due to COVID-19?
Think about it. Statistically speaking, you probably know at least one person.
Maybe you haven’t noticed, but there has been a noticeable spike in the number of new small businesses started in 2020. People either have more time on their hands, or were laid off from their job, and they have decided to branch off on their own and start a new business. We’ve seen everything from macarons to skincare lines, and you can bet it’s opened up people’s eyes to the possibility of real, independent ownership of a business.
According to an analysis of US Census Bureau data by The Wall Street Journal, new employer ID applications “reached 1.1 million through mid-September, a 12% increase over the same period last year and the most since 2007.” If you’ll remember, the Great Recession was from December 2007 to June 2009, so this trend lines up.
Let’s be real- the internet has made it easier to start your own business.
Etsy, an e-commerce website, has given small business owners a platform on which they can sell their items safely, securely, and easily. There are businesses that solely run online. You can dive even deeper and uncover that there are businesses that solely run on Instagram. There is no need for a storefront, extra employees, or even a phone! Especially with businesses that are made to order, you can work as little or as much as you want- it’s up to you!
One of the most common recently started small businesses is baked goods. This comes as no surprise, as ingredients are fairly cheap to buy and many people will pay good money to avoid ever picking up a whisk! Desserts such as macarons are not easy to make, and the average cost of one is usually from $1.75-$4.00. Instead of going through the stress of baking those yourself, why not just spend money and ensure they’ll taste good?
Why aren’t people going back to their career field instead?
There are many reasons why people may not be eager to get back to a job like one they had before the pandemic. The biggest reason is money v. happiness. Sure, maybe someone took a pay cut because they used to work sales at a high level, but now they’re selling their cupcakes cheap- they might be happier than they’ve ever been! After someone hits making $70,000.00 a year, a person’s happiness does not increase noticeably. You know the old saying, “more money, more problems”? Maybe those people are heeding that warning. Or maybe their business is thriving, and they’re staying because they’re making more money than they ever have.
Will these businesses outlast 2021? It’s hard to say. Some of these businesses were never made to continue on, they were just placeholders. Some of them, on the other hand, are the hopes and dreams of one person and will be nurtured and grown for a lifetime. It’s hard to know exactly how COVID-19 has shaped us until we take that step finally and are looking at it from the outside, in the past.
