Entrepreneurship has been on the rise since the start of the pandemic as people sought creative outlets, activities to fill their free time, and ancillary income. Heading into 2023, with the risk of a recession, uncertainty about the job market, and workers' relentless push for autonomy in their jobs, more people are becoming entrepreneurs.
In fact, it's an advantageous time to start a business because of low startup costs and fewer barriers to entry – like the access to digital tools and the ability to market oneself online. What's more, it's especially promising for solopreneurs — business owners who run a company without employees — to capitalize on skills they already have, said Dave Mawhinney, an entrepreneurship professor and executive director of the Swartz Center for Entrepreneurship at Carnegie Mellon University.
Luke Pardue, an economist at the human-resources platform Gusto, said personal and professional services were among the most successful companies to emerge in the past two years.
"During the onset of the pandemic, we saw a focus on entrepreneurship in these personal-services sectors," Pardue said. "As the economy shifted towards remote work, we've seen that new business creation has been focused on professional services," like virtual assisting.
People are taking advantage of these opportunities: freelancing rose 3% in 2022 to a new high, according to freelance platform Upwork.
The gig economy is growing in size and specialty, said Lauren Russell, freelancer and founder of social media marketing agency Irresistibly Social LLC.
"With the gig economy growing, there are a lot of micro niches so people can have a more custom, tailored service," Russell said.
Insider spoke with economists and entrepreneurs about the best businesses to start in 2023.