Starting a company, promoting it and seeking out funding is not new, but it is easier than ever within the sphere of technology and online marketplaces. This comes at a time when consumers are spending less in department stores and more in small businesses and on experiences.
Some argue that the sharing economy is no different than its corporate counterparts, with companies like Uber and Airbnb making profits at the top while contractors barely make ends meet, but a distinctive group is coming out on top in this new economy: entrepreneurs.
The concept of work has changed for many people since the 2008 economic collapse. A college education no longer guarantees a well paying job as it did twenty years ago and many work part-time, in temp work or as freelancers. What some freelancers are discovering, however, is that they can transform their passion into a business.
If you are thinking of starting business, consider how people’s spending habits have changed since the 2008 recession. Large chain store Macy’s has experienced a sharp decline in sales, forcing it to shut down stores. Consumers are still buying clothes but mostly in fall and spring to refresh their wardrobes. On the other hand small “boutique” style businesses are experiencing an increase in sales because shoppers are willing to pay a little more for personalized service and like to support local businesses.
With the rise of social media, anyone can promote their business with the right tools. Thirty years ago, the same exposure would have cost thousands of dollars in ads so it is much easier to promote a business now than back then.
Venture capitalists are always looking for the up and coming companies to invest in. Don’t want to take in money before you establish yourself? Bootstrapping might be the solution.
Whether she is a fashion designer creating one of a kind bags on Etsy, or outdoor enthusiasts connecting young people with sports, the sharing economy functions as a door for those willing to take a risk and follow their passion.
It is easier than ever to climb up, build a company and become your own boss, but it also requires a lot of time and energy. If you do your homework you can get ahead and secure a future for your business. I believe that the sharing economy is opening up new doors for entrepreneurs. As these companies grow, the need for workers to meet demand will grow so the forecast looks promising for online marketplaces helping entrepreneurs and the economy.
Have any ideas for a marketplace? Let's hear them in the comments below.