Conventional thinking says bad economies are the worst time to start a business.

If innovative entrepreneurs believed that, dozens of household-name companies would never have been launched.

Toronto's BizLaunch co-founder Roger Pierce says smart entrepreneurs can start a business in a recession,

BizLaunch co-founder Roger Pierce says that smart entrepreneurs can start a business in a recession. Through seminars, coaching and workshops, Toronto-based BizLaunch helps entrepreneurs launch their companies. Pierce and co-founder Andrew Patricio have successfully created 17 small businesses.

There are opportunities all around us, says Pierce in an article appearing in the Toronto Business Times. The trick is spotting them and then jumping on the right opportunity.

Dominik Loncar, a business adviser at the Toronto Business Development Centre, says that a slowing economy can actually create opportunities as people look to cut back, he is quoted as arguing.

At the same time, in a recent survey conducted by Mountain View, Calif.-based business software maker Intuit Inc. found that nine out of 10 U.S. small-business owners reported seeing opportunities for their businesses in the current recession, and more than 75 percent expect growth.

To make this growth a reality, small-business owners say they'll rely on their experience and passion; nearly two-thirds have survived previous downturns.

And to recession-proof their businesses, respondents plan to put their customers first, with 63 percent naming customer retention as their top priority, followed by focusing on their finances

UPS also released promising survey results, showing that 86 percent of small-business owners expect their company to be in the same or better financial shape in one year. Also, only 10 percent expect to reduce employment over the next year.

During recessionary periods, all companies are watching their bottom lines and cutting costs. They’re laying off workers, and they’re spending less on resources – equipment, technology and travel.

Yet many companies’ misfortunes can translate into opportunities for others. When a large company scales down and lays off people, it’s likely to open outsourcing opportunities for a small company that can provide critical functions at enormous savings. Small IT solutions providers, for example, can run all of a midsize or large company’s IT functions from a remote location, saving both IT staffing and equipment costs.

Those making these choices would be wise to proceed with caution. A guide is now available from this newsletter's parent, Information Strategies Inc. This comes in the form of a free report, 10 Effective Strategies For Growing Your Business In Downtimes. It is available free by clicking here: http://www.is-incorp.com/forms/pdf_signup.aspx.