Massive start-ups started in Recession
Many people frequently ask about which is the best time to boost a startup? if the answer is yes then they tell me about how can I boost or start my business in this recession where the whole of the economy is down.
So in these Article, I will tell you about those multinational companies which too started in recession, and in the end of the blog, we will know why? Recession is the best time to open a startup, so read the blog until the end and stay connected.
5 Companies that started in Recession
Let’s discuss these five multinational companies which started in a recession.
It started in 1975 . At the time when Microsoft started USA was in recession for 16 months and their GDP was drastically down, and at this time Bill Gates and Paul Allen dropped out of the college and started Microsoft. They understood that the demand for personal computers is rising and many companies started making personal computers.
But the question arose was Who will make the software?
This is the reason they dropped out of college and started making software and now you can see the results. Microsoft has become a Trillion dollar company.Bill gates have a network of more than 100 billion$ and Paul Allen was also a Billionaire.
If they have stopped due to the fear of recession they could have missed these golden opportunities, but they took a risk and now results in we all can see.
It also started around 1976 during the recession period, but actually the growth of apple started in 2001 when Steve jobs launched iPod. The interesting thing is that just before the launch of iPod the very unfortunate event 9/11 took place due to which market was in drastically trouble.
But when Apple launched the iPod , People got in love with that product, the iPod changed the whole music industry and brought APPLE on the front page of the TECH companies.
After that you know the story, APPLE kept on increasing they launched iPhone, iPad, improved MAC, watch, Air pods and every products had a breaking deal in its segment.
If they had stopped because of the recession earlier Apple could not have been these successful today.
Started in 1997, the most important thing is they started growing in 2002 which had unfortunate incidents like 9/11. In 2007 Netflix started online streaming and after that it started growing drastically.
Currently one share price of NETFLIX is more than $400 and Market CAPT is more than $180 BILLION.
Also during today’s Recession, NETFLIX is still growing. Our next example is crazy and very interesting. Your mind will be blown away by seeing the stats.
MailChimp is basically an email marketing service which Started in 2001, now we have previously discussed the problems that occurred in 2001.
During the starting years of the MailChimp, the founders were working in these as a side business, they were earning around $1000, they started focusing on the corporate clients and then slowly business started growing.
Suddenly recession started in 2007 and 2008 and the Big companies canceled all the subscription plans which gave MailChimp a sudden halt.
But in 2009 MailChimp launched its premium plan and in the tenure of 1 year their total users increased from 85000 to 4.5 lakhs This growth during the recession was on the next level.
In 2019 MailChimp’s annual revenue crossed $700 Million and the most interesting fact is they didn’t borrowed single funding and starting their company in recession now we all can see the level of the company.
The sector of the 5th example has the most impact during this pandemic.
It started in 2008. The founders of Airbnb had moved to San Francisco but they were unable to find the job. they sawn a business opportunity over there as all the hotels were occupied, they started to allow people to stay in their apartment. The idea was great and they started working on it but they were not able to scale it up.
But they decided to stick on the plan as they know that this plan has a great opportunity. As the recession started growing so the peoples were not able to afford the costly hotels and AIRBNB started growing.
AIRBNB is one of the biggest startups and if you want the detailed case study just comment below, we will be happy to share with you.
Why recession is one of the best time to start a business?
You get the clarity of mind and you open a startup that actually solves the problem and the costumers to love the product, rather than the fake companies which build their business with the ads.
You build a sustainable business because you do not get enough fundings during the recession, so you focus on profits from day 1. So you build a company that is valuable rather than build on valuation or hype.
So we hope you all are inspired by these start-ups and able to learn something with this article, you are free to comment on your thoughts and ideas in the comment section below.
You can also read our previous article by clicking here