Liquidity crunch is all time high it seems, it’s interesting that the economy is not crashing and entering into a state of deflation/inflation. What I have noticed is something is happening for the elites, they too are figuring out on how to deal with this issue when such an economic bubble is formed

There is never a bad time to start a good business. The problem is that a good business provides something that other people want, not what you think is a good idea. I would say that the best opportunity is usually something that you have some expertise in already and can also put work into to get started if you are bootstrapping to save on labor. Also, leveraging your network is usually key for getting started. If you can do something that people need better than other people doing it, you have something. If you want to start a business and just think people will show up, you will struggle.

I feel like the question is too broad.
Generally, of course it´s not a bad time to start a business. A recessions leads to some of your competition dying out and there is more cake left for your if you do a good job.

But specifically, I for example wonder which type of business are you talking about…

As long as your business solved a need for a client/customer that’s both willing and able to pay for it, it has the potential to be successful.

It’s never a bad time if you know what you’re doing and have a financial cushion which most people who start businesses don’t have .

Assume you will have no customers or profits for a year during good or bad times

I would say it’s a bad time mainly because interest rates are up. Unless you have a lot of cash on hand, high interest rates make borrowing higher and profitability lower. That being said, just cause it’s a bad time doesn’t mean you can’t succeed. Just more hurdles.

I would say that people complain about the economy and prove themselves right by driving business away all the time. It can be a mindset. I hear from people who are negative and cite a bunch of examples, or pick up tidbits on the news, sometimes from biased sources. Meanwhile, we’re busy, sales YTD similar to last year. Yes, some businesses are more resilient and some more sensitive to the economy ups and downs, but be smart with investing and inventory but don’t buy into the doomand gloom of others who basically are excusing their poor biz practices and resulting sales. Overall I honestly think the economy is strong right now.

There are so many more factors on the success of a small business than the greater Macro economy. While it may have some affect, there are many more things you have control over that will determine your ability to succeed.

A lot of people here are optimists simply cause it’s in our nature as entrepreneurs to find a silver lining. Kind of how when the stock market crashes and we see a way to make money shorting buying puts etc.

But I can understand your asking for a general sense. And to that your intuition is correct it is a bad time.

That doesn’t mean you should not do it. Depending on your idea it could have next to no effect on your success or failure.

But I’m not going to tell u yes when I have over 60 business owners on my contacts list and not a single one is doing better than they were a year ago. 🤷🏻‍♂️ I’m an optimist not a liar.

As long as you cash flow you’re fine. Ppl freak about interest rates which imo is not fully justified. Disclaimer: obviously I would prefer 3.99% business loan to 15%. But at the end of the day, if I can still profit at 15% (yes it means it’s harder to succeed because less cash to the business, I am aware) then it’s fine. Just do your due diligence, develop very conservative projections, and don’t be dumb. You’ll be fine.

business always works, there is no good or bad time, it just the matter of what works for you.

I don’t think so. Where I am, as a tradesman people are happy to even get a phone call back

Don’t do it that’s all I have to say. I’m a business owner and this year has been terrible. Next year they say will be worse. My business plan is destroyed due to the economy. My business would of been a slam dunk. I was planning on opening 2 locations. In 2022 I made 150k profit this year down 30% so far. Personally I wouldn’t do it but I still see some places booming so it’s all how much you want to risk it.

people are still spending money like they own a money printer.

Unless it’s focused on absolute necessities……the answer is “yes.”