George Cohon, renowned businessman and founder of...
Just like the weather in Canada, the economy has its up and downs. When you are considering the various brands and industries available in the franchise sector, it doesn't hurt to consider options from some of the more "recession-resistant" categories, which include the three outlined below.
Services for restoration
Of course, Mother Nature could care less about the state of the economy. Disasters and wild weather will still happen, so people will still need and pay for restoration services so they can get their lives back to normal as soon as possible. Since a lot of this type of work goes through insurance, the bill often doesn't solely fall on the shoulders of the homeowner, either. Another benefit of franchises in this sector is that they often have lower overheads; brick and mortar locations are usually not needed.
Senior care services
Canada is getting older. Statistics Canada estimates that one in five Canadians will be 65 or older by the year 2024, thanks to the Baby Boom (https://www150.statcan.gc.ca). More and more older Canadians are also opting to stay in their homes instead of moving to senior communities, and that's where senior care service franchises come in. From non-medical caregivers who visit seniors at their homes to provide daily services to specialized moving companies, this sector has a ton of variety available and a potentially huge client base on the horizon.
Education services for kids
People want their children to do well, and they will weather a strain on their budget to help their children succeed. Educational services such as tutoring and specialized learning experiences are in demand in Canada and are likely to continue to do so even if the economy is tight. According to research firm IBIS World, the educational industry in Canada is worth about $40.5 billion a year, and its revenue is expected to grow by an average of 2.3 percent from now to at least 2023. This is a sector you may be able to get into even if you have no experience or background in education, as some models allow for the hiring of professionals, with the franchisee in a more management-type role.
While being "recession-proof" does not guarantee stability in an economic downturn, it can add some security and stability to your business plans if you are concerned about how your franchise will perform in a shaky economy. Consider all the angles before you make your final franchise decision.