How To Make Money In A Recession

How To Make Money In A Recession
How To Make Money In A Recession

The global financial crisis caused by the crash in the value of crude oil has caused an economic recession in many countries around the world. This unfortunate economic crisis has triggered the inflation rate in these countries to rise to abnormal heights. The situation hasn’t just caused a currency crisis in countries like Nigeria for instance, but has caused a financial meltdown for many small, medium, and large businesses.

Large companies like PZ, Woolworth, and the likes are grumbling exorbitantly about the policies placed by various federal governments (especially Nigeria’s) during this economic recession, and have no other options than to find ways to either acquire foreign exchange at ridiculous prices from the parallel market, or halt operations altogether.

How then can businesses make money in a recession? What measures have to be taken to ensure your small business doesn’t fail during an economic recession any where in the world? How can you make money in a recession?

See Also: 6 Recession Proof Business Ideas & Opportunities In Nigeria


Here Are 7 Ways To Make Money In A Recession Anywhere In The World:


1). Buy Shares That Profit In An Economic Crisis:

During an economic recession, many people tend to start selling all their stocks, properties, and more to get a hold of the little they can, just incase the economy takes forever to recover. The unfortunate nature of this practise is that people are doing the exact opposite of what they ought to be doing.

Like many world billionaires would say, “when people are selling, start buying”. A recession provides a great opportunity for entrepreneurs and visionaries to get a hold of as many low cost properties, businesses, and even stocks from the stock market.

The stock quotes of businesses that are majorly focused on medical services for instance usually appreciate during an economic crisis. Spotting these businesses by daily following the stock market news, can help you take advantage of these stock opportunities.

While the stock market today may seem scary to venture into because of the global financial crisis been experienced in most parts of the world, constantly studying the stock market and taking advantage of unpopular stock opportunities as they arise is one way to make money in a recession.


2). Take Advantage Of Deals Offered By Struggling Retailers:

In any economic recession, retailers try to do everything possible to maximise their sales. They try to achieve this benchmark by improving their customer service, offering great incentives, and even offering extremely low discounts.

Taking advantage of the extremely low discounts offered by most retailers in a bid to sell their merchandise fast, is a smart move to make; especially if you have clients or customers that may need those items, and would naturally pay a higher fee for them because they already trust your brand.

In an economic recession, you need to be on the lookout for businesses offering mouth-watery deals. What’s better than an amazing discount is a business closing up and trying to get rid of their items at any cost. If what they sell are in line with your own product offerings, then acquiring a bulk of their merchandise at the cost of nothing is a good bet to make.

See Also: 7 Sure Ways To Cut Your Small Business Expenses And Increase Your Profit


3). Start A Money Lending Service:

In an economic meltdown, banks give out lesser loans and increase their interest rates. This poses problems for many small businesses and individuals seeking loans to carry out some transactions and make some capital ends meet.

Employees for instance seek out payday loans because the value of their expenditure rises during an economic recession, and as such, have to make ends meet much earlier than anticipated. This need for payday loans drives them to approach professional money lenders for a cash advance. These short term loans are usually expected to either be repaid as soon as they get their salaries, or after a few months.

The need for quick cash loans by individuals and small businesses during an economic crisis creates a unique opportunity for individuals with excess cash to take advantage of. Giving a payday advance loan or small business loan to people who need them, to be repaid in a short time with a reasonable interest is a good bet. You could provide your credit service as installment loans, so you can directly ensure the cash loans gotten are adequately used at the right time, and for the right purposes.


4). Store Away Your Hard Currency:

If you’ve got hard currency in cash, or in a dollar debit card, an economic recession is the time to spend it extremely carefully. Paying a close attention to the inflation rate should help you determine when to convert some of your foreign currency into your local currency for capital expenditures.

As the inflation rates show a pointer indicating that the devalued state of the local currency may start regaining its value, converting some of the hard currency to the local currency for your business investments and basic needs would give you a much higher valued deal.

See Also: 6 Startup Tips for Women Entrepreneurs


− Export Business −

Make Your First $25,000 Exporting Products From Nigeria WITHOUT SPENDING YOUR OWN MONEY!

Our in-depth online export course is specifically designed to help you build a successful export business from scratch IN 90 DAYS WITHOUT LOSING MONEY FROM YOUR INVESTMENTS OR SPENDING YOUR OWN MONEY! And in the process, show you how to MAKE YOUR FIRST $25,000 from the export business within the first 3 months of finishing the course.

Click Here To Learn More >>


5). Sell Your Old And Unwanted Items:

One way to make money during an economic recession is to sell your old and unwanted items; especially items lying around the house. These items could range from household appliances to old clothing, utilities, and more.

A good incentive to place your used items for sale is because, people would be more inclined to buy old items during an economic crisis than in a period where the economy is stable.

You can sell online on various market places like OLX, Konga, Ebay, and the likes. Selling online would not only help you make money in a recession, but would also help you get rid of unwanted items faster than if you only tried offline channels.


6). Rent Out Parts Of Your House:

Owning a home during an economic recession could be one of your most valued assets. If you own a building with apartments, you could rent out some of the apartments to people seeking accommodation. If where you live isn’t an apartment but a detached house, you could rent out a room or two in your house to squatters.

Putting up apartments for rent, rooms for rent, or houses for rent is a great way to make money in an economic recession. You can place ads for your rental properties on an apartment guide. These real estate magazines will help people know more about your home rental business faster.

See Also: 10 Reasons Your Business Will Fail, And What You Can Do To Avoid That


7). Invest In Government Bonds:

The best place to protect and increase your assets during an inflation is to invest in government bonds. While all other investments have high-risk profiles because of an economic crisis, government bonds are the safest place to protect your investments for long-term growth.

You can find full information on how to invest in the Nigerian federal government bond market here

Where ever you are in the world, investing in bond markets is your safest bet to not just secure your investments, but to also grow them.


A Quick Tip!

You can make money from blogging by setting up a blog on WordPress or Blogger. Starting for as low as only $3.95 per month, anyone can follow this link to create a WordPress blog in minutes for a really cheap rate (this low price is only through my link). In addition to the low pricing, you will receive a free website domain (a $15 value), a free site builder, and a 30-days money-back guarantee through my Bluehost link if you purchase, at least, 12 months of blog hosting.


What are your thoughts on how to make money in a recession? Let me know by leaving a comment below.


Image Source:

Stan Edom
Stan Edom
I'm an entrepreneur with expertise in supply chain management, international trade, small business development, e-commerce, internet startups, renewable energy, and agriculture. I'm also a network engineer, I.T security expert, and computer programmer. In my spare time when I'm not working out at the gym, I try to solve problems people face in their everyday lives with whatever means necessary.

Latest articles

Related articles


  1. I love the tip about Government. They are not only safe, they help you grow your funds. Thanks for sharing these tips. I found them useful. And, straight-to-the-point. Also, I’d say people should sell their expertise. We all have experiences and knowledge we can share with others. If we package ourselves appropriately, we’ll be able to charge for our services.

    • Thanks Iyabo for the contribution.

      If people begin to harness their critical expertise for consultation purposes, they’d be able to survive any recession. Especially since they’re selling intangible goods.

      Have a great time!

  2. I like the idea in this writeup, but I didn’t have anything to work with from what you mentioned.

    • Hi Fatus,

      Hopefully you’ll eventually find a business idea to work with on the blog.

      You can follow us daily till you see what works with you as we’ll be adding more in progression.

      Thank you for your comment.

  3. Great article. That the Nigerian economy is in a recession is not the end of the world. The informed will always ride on it to greater success. Thanks for the tips. Worth passing along to all the people who are sore afraid because of the official declaration of recession and rising costs.

  4. Thanks for the above informations, they are good and it stated what i have been wanting to learn on how to do. Its Blogging. I opened one some time ago and i do not know how to go about it, where to start from.

    My intention was to actually see how i can do business with blogging.

    Kindly assist me while you remain blessed.


    • Hi John,

      It ultimately varies. But I’d suggest you talk to a person at the Debt Management Office of Nigeria (DMON) before you make a decision.

      Thank you for the contribution.

Comments are closed.