Startups, entrepreneurship and small business are at the forefront of today’s political and social discussion. In July of 2011, President Obama launched the Startup America initiative
to fuel entrepreneurship by decreasing the entry barriers to start new businesses.
Although startups took a large hit during the recession, people are beginning to invest again. Three major sectors that are seeing rapid growth are senior care, pet care, and child care services.
People are turning towards these sectors because they see the explosion in demand for these services, according to Matthew Haller, the International Franchise Association’s
Vice President of Public Affairs and Chief of Staff to the President and CEO.
For example, with baby boomers now accounting for 76 million people, the senior care sector has enormous growth potential. There are startup opportunities in every arena of the market, from hospice and nursing homes to assisted living communities and in-home care.
Eric Little, Senior Vice President of Franchise Development at Right at Home
, points out, “The reality is baby boomers turned 65 last year. We are still taking care of their parents.”
Along with the boom in assisted living, the pet care sector is also expanding at a rapid rate. People will spend an estimated $52.87 billion
on their pets in 2012, according to the American Pets Products Association (APPA). Similar to the senior care market, there are several different business opportunities on which people can capitalize within the service category of the pet care sector: day care, luxury hotels, boarding, grooming, and pet-sitting. The APPA says these different markets contributed to a 7.9% growth in the pet care industry from 2010 to 2011.
Jason Parker, Co-Founder and President of K-9 Resorts
and a lifelong pet lover who turned his passion into a job, says pet owners “are realizing the importance of quality Veterinarian Care, pet care, and dog food.” IBISWorld
reports that the pet care industry is predicted to have 95,246 ventures
by the end of the year.
The child care sector as well has taken off in the past year, with 832,782 businesses
attributed to the services. The demand for options in this industry will only continue to flourish as more parents enter the workforce. These parents need a safe, educational alternative for their children to stay while they are at work.
Tony Padulo, Vice-President of Franchise Development at the Goddard School
, says that for these reasons the child care concept is “recession-resistant.”
“First of all, it’s a required necessity of life that comes immediately after housing and food. Given the economy, we are seeing more and more dual income families that require quality, nurturing, premium services and education.” As a result of the recession, many families are experiencing the need to have both parents in the workforce.
In today’s economy, smart players in the business world can identify certain areas where there is natural demand for services. Senior care, pet care, and child care all allow entrepreneurs to find their niche within a growing sector.
by Kate Aoueille