Welcome to the JackQuisitions newsletter, |
Every recession creates a filter. Homeowners suddenly have to decide what actually needs fixing versus what can wait another season. That filter is where the smart money is. |
In a recent podcast episode, I ranked the top 5 home service businesses I'd want to own during a recession, and the reasoning behind the list might surprise you. I share my thoughts below. |
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The 5 Home Service Businesses That Print Cash in a Recession |
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Ready For Your Next Acquisition? |
Check out these acquisition opportunities that caught my eye this week: |
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The Recession-Resistant Five |
Not every home service business behaves the same way when the economy turns. Some slow down fast because the work is optional. Others barely notice, because the problems they solve can't wait, can't be worked around, and can't be DIYed. |
That's the lens I used to rank these five. Here they are, in order, starting with the one that holds up the least and building to the one I'd bet on first. |
#5: Repair-Focused Electrical |
Electrical work is often a "nice to have." Moving a circuit, adding an outlet, upgrading a panel for aesthetics. That kind of work slows down fast when money gets tight. |
But the emergency side never disappears. A burning smell, a breaker that keeps tripping, a panel that's unsafe. Those calls still come in no matter what the economy is doing. Electrical lands at #5 because too much of the industry's revenue is still tied to upgrades and new construction, not urgent repair. |
#4: Septic Pumping and Repair |
More than one in five households in this country relies on a septic system, and those systems need pumping every three to five years no matter what. That gives the business a built-in maintenance cycle. |
Homeowners might push pumping back a little longer than they should during a recession. But once a tank fails or sewage starts backing up into the house, there's no more waiting. There's no DIY option here. Septic problems get solved immediately, recession or not. |
Here’s how I’d start a septic business in 2026: |
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Why No One Is Looking at Septic… and How to Buy One Cheap |
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#3: HVAC |
I own an HVAC company, so I'm biased, but the math still holds. When money is tight, a $15,000 system replacement often turns into a $3,000 or $4,000 compressor repair. Lower ticket, but the demand doesn't disappear. And in three or four years, that same customer usually needs the full replacement anyway. |
The reason HVAC isn't higher on this list is that there are workarounds. Window units, space heaters, portable AC units. They're not pretty, but they let homeowners delay real repairs longer than they can in other trades. |
#2: Water, Fire, and Mold Remediation |
This one surprises people. Restoration work is 24 hour emergency response: water extraction, drying, demolition, mold remediation. About one in sixty homes has a water damage or freezing related claim every single year. |
What makes this business recession resistant isn't just urgency, it's who pays. Insurance covers most of the bill most of the time, which means the work isn't dependent on a homeowner feeling flush with cash. Pipes still burst and storms still hit no matter what unemployment looks like. |
#1: Plumbing, Drains, and Sewers |
Plumbing takes the top spot because the market is massive, the volume is constant, and almost nothing about it can wait. No hot water, a backed up sewer, a leaking pipe. There's no workaround and no real DIY option once the problem gets past the basics. |
A plumbing company can run a small repair one day, replace a water heater the next, and do a full repipe the following month. That range, combined with the fact that none of it is optional, is what makes plumbing the most recession-resistant business on this list. |
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My Final Thoughts |
None of these businesses are recession proof on their own, they still require good operations and a real team, but they're built on demand that doesn't wait for the economy to recover. |
Happy hunting, |
Jack |
How do you feel about today's JackQuisitions newsletter? |
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Disclosure: Some of the content and links in this newsletter are sponsored or affiliate links, which means we may receive payment or earn a commission if you click through or purchase. However, all opinions expressed are entirely my own. |
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