Skip to main content
May 8, 2024 - 5:14pm

Article written by Tom Scalisi on the Viewpoint blog.

Let’s not dispute whether or not a recession is coming—the ifs and buts about it aren’t worth the time. What we know, however, is that recessions usually come along every 5 to 10 years. They’re hardly the Halley’s Comet of economic events, so it makes sense to prepare for a recession regardless of whether one is lurking around the corner in the near future or not.

Recessions happen. They’re part of the economic cycle. Recession-proofing your business just ensures you’re prepared for the next one, regardless of when it happens. This guide will explain some of the best ways to shore up your bottom line in the event of a recession.

Why You Need to Recession-Proof Your Business

Recession-proofing your construction business isn’t doomsday prepping or shuttling your executive board into a bunker. It’s a solid business practice that ensures your company is structurally sound any time the broader economy takes a few steps back. With current and recent U.S. GDP readings, we're far from that—but there are always proprietary models and economists that showcase the "indicators" one could be coming sooner rather than later. 

Recessions typically last 12 to 24 months, and may or may not include a bear market in stocks. Only the National Bureau of Economic Research (NBER) can call a recession—and only in hindsight. Prior to the short-lived Covid recession in Q2 of 2020, The Great Recession was our most recent "normal" recession, beginning at the end of 2007 and continuing through mid-2009 (though the impacts on the construction industry lasted longer). Many industries were impacted, but construction especially took a brutal blow. The housing market collapsed, demand for new construction projects flattened, and finding financing became a needle-in-a-very-crowded-haystack situation.

A nearly 10-year-old report from the NAHB stated residential builders alone dropped 50% from 2007 to 2012.

Housing still hasn't fully recovered, despite the ongoing demand and persistent supply shortages that have underlined the current growth in home prices. And while the impact of The Great Recession is an outlier—its was wider-reaching than most other recessions, from a historical perspective—it’s still a cautionary tale from recent history, and there are still reverberations throughout the industry. Companies need to protect their bottom lines and not forget that the right combination of circumstances can become a tinderbox that can burn unprepared construction companies to the ground. Preparing for these situations is the best way to survive them.

7 Keys to Recession-Proofing Your Business

Many companies think that the only practical response to a recession is cutting costs and praying for the best. But rather than the reactive approach, prepare for a potential recession and minimize its impact on your business with the following tips.

Read the full article on, including full details on each of these 7 steps for recession-proofing your business.

Request a Consultation

Fill out the form below to talk to our experts about how the right construction software can help you prepare.

What Our Clients Say

"He did a great job online and an equally great job in person. We’re enjoying working with our new Spectrum Viewpoint accounting software."

Chambliss & Rabil Contractors, Inc.

"I wanted to let you know Dan did a great job. He has a vast amount of knowledge, and I feel very fortunate to be working with him."

H.F. (Mechanical Contractor)

"Greg is terrific, and I’m so excited to have a better resource! I have him working on several projects now with many more to come."

Progressive Plumbing

"It’s a pleasure working with Robert. He's very patient, knowledgeable and goes far beyond to help with any issues we have as a company or as an individual."

HL Contractors

"We appreciate Tim and all of his excellent support."

M.J. (Manufacturing Firm)

"Michael and Matthew have exceeded my needs and expectations. I get help same day 95% of the time, which is very important in my business at times. They are professional and courteous 100% of the time. Zero complaints."

Mitchell Brothers

"Thank you for your assistance/responsiveness to assist us in getting P6 back online so quickly today. We appreciate all the support you provide."

M.J. (Manufacturing Firm)

"Beth is absolutely wonderful to work with! I appreciate her patience and professionalism. It’s a relief to know I can count on her to respond and be a life line for us as we continue to learn the system. She is truly top notch."

Eastbound Mechanical

"The level of service CDP provides is exceptional and always far exceeded my expectations. You can quote me on that!"

The Wesson Group LLC

"I want to let you know how grateful we are for Robert Pacheco’s assistance. He was able to meet with me and discuss the issue promptly and complete the fix within a short amount of time. He is surely an asset, and we are thankful to have such a great resource."

Marques General Engineering, Inc.

"Kristen is a very valuable resource for us!"

LCI-Lineberger Construction Inc.