Businesses With Low Startup Costs - 15 Best Ideas To Be Your Own Boss

ByDanica Jovic
May 06,2022

Many people dream of being their own boss. If you are among them and looking to launch a new venture, this guide is packed with ideas for businesses with low startup costs. 

Image credit: https://pixabay.com/photos/startup-whiteboard-room-indoors-3267505/

Introduction

Setting up a new venture always requires a certain amount of investment. But it doesn’t have to be exorbitant, as there are many ways to make money through good business ideas with low startup costs. If you’re ready to become your own boss or considering a change of career, and you’re exploring easy businesses to start as a side hustle, you’ve come to the right place. In this informative guide, we’ll outline the best businesses to start with little money and share tips and tricks on how to set up this kind of venture. 

Businesses With Low Startup Costs: 15 Ideas To Inspire You

If you’ve ever watched Hollywood blockbusters or read articles written by business moguls who have built empires from scratch, you’ll know that it’s possible to turn low-cost business ideas into multinational corporations that generate millions of dollars in profits. Even though not every story is a success, it’s important to understand that you don’t need substantial capital to strike it rich as an entrepreneur. 

If you want to be your own boss but you’re on a shoestring budget, it’s wise to consider home business ideas and focus on the cheapest businesses to start. We’ve put together a list of easy businesses to start to inspire you and get you thinking about your next professional move. 

1. Blogging

Do you love to write, share opinions or engage with people online? Do you have passions or hobbies that you’re keen to talk about, or do you have experience or skills that could benefit others and help you connect with like-minded souls? Blogging is one of the most popular ways to boost your income if you’re thinking about starting a business with no money. You don’t need employees, and you can work from home or on the go. Best of all, you can scale the venture as your following grows. 

Studies suggest that there are currently over 600 million blogs in the world. Despite the marketplace already being saturated, blogging can still prove lucrative in 2022. To maximize your chances of making profits and attracting attention, you should focus on a niche and cover subjects that interest you. Think about your target audience, create fresh, interesting, original content, and encourage people to check out your articles and interact with you and other readers.

Setting up a blog as a low-investment business rather than a hobby requires you to think about how to monetize the site. Various options to explore include affiliate marketing, paid reviews, membership schemes, and exclusive content and advertising. Browse high-profile, popular blogs, see how bloggers make their money, and use social media to build a following, drive traffic, and get people talking about your content. 

2. Social media consulting

If you’re a whizz when it comes to social media, you could leverage your skills to set up a new business providing services for companies or entrepreneurs whose objective is to boost sales or put their brand on the map. If you understand how social platforms work, you enjoy posting and sharing content and engaging with followers, this could be the perfect option for you.

It’s one of the easiest businesses to start if you know your way around Twitter, Facebook, and Instagram and you have a good grasp of the basics of social media marketing. Most big companies have dedicated teams for social media management and marketing, but small businesses don’t have the budget for such a luxury. This is where your skills could come in handy. Since it’s a cheap business to start, it could give you extra income and the opportunity to grow and expand your client base quickly. 

3. Teaching and tutoring

Teaching and tutoring are excellent home business ideas with low startup costs. Not only does teaching give you the opportunity to use your skills, knowledge, and experience to benefit others, but you can increase your earnings in the process.

If you have qualifications in accounting, graphic design or website development, you are fluent in foreign languages, have expertise in subjects such as geography or English, or play a musical instrument, for example, you can offer your services to teach others from the comfort of your home. As far as low startup cost businesses go, this is one of the best options for those looking for a flexible venture that offers the opportunity to expand your network.

If you decide that you want to teach or offer private tutoring services, advertise your business online using local SEO and post flyers in your area. Tell people about your business in local and community social media groups and spread the word via colleagues, friends, neighbors, and family members. Ask your clients to leave reviews and recommend you to others so that you can grow your business. 

4. Handyman/ odd jobs

Most homeowners could rattle off a list of jobs they need done around the house. They represent an excellent client base that a handyman/ odd-job service provider could cater to. It’s one of the best businesses to start with little money because you don’t need a lot of capital; you can build a client list through word of mouth and cheap marketing methods.

Even though you don’t need formal qualifications to be a handyman or handywoman, it’s important that you have the necessary skills to tackle the tasks you take on and meet customer expectations. 

Setting up a handyman and odd-job service is one of the cheapest businesses to start from home, but you may need to spend some money at the outset on tools, equipment, and marketing. Look for deals, compare prices, and ask to borrow more expensive items from people you know until your business grows.

Rent the machines that you’ll be using occasionally instead of buying them at the outset and use cost-effective marketing techniques, such as flyers, social media, and local SEO. Of course, safety first: Don’t forget to purchase the protective gear required for the tasks you’ll be performing.

5. Creating your online store

Online stores are among the most profitable small businesses. As online shopping becomes more popular and screen time increases, more and more consumers opt to buy from websites and apps rather than going to the mall.

Creating your online store may not be the cheapest business to start, but it doesn’t have to be expensive, especially if you have relatively low product development costs. Before you start selling, compare platforms and marketplaces, take a look at existing stores and gather ideas, research impactful design and marketing strategies, and define your target group. 

If you’re looking for low-cost business ideas with high profit, think carefully about what you’re going to sell and how much you’re going to buy and sell for. You could sell products you make on platforms like Etsy, for example: clothing, accessories, jewelry, furniture or pieces of art, or you could look into buying and selling through sites like eBay.

It’s worth spending time on research to make sure that there is a demand for your products. Moreover, you should calculate costs and establish suitable price points based on the target customer and competitor pricing strategies to define the most profitable route to take.

6. Online courses and tuition

Online education is booming. More people are learning online than ever before, and this is a trend that is set to gather pace in the months and years to come. If you’re exploring ideas for profitable businesses with low startup costs, and you have knowledge, skills, and expertise in specific areas or subjects, you could create online courses or offer tuition via video platforms and social apps.

From yoga and personal training to language classes and online courses about software development, accounting, or web design, there’s scope to use your professional experience, hobbies, and interests to add to your income. This is one of the cheapest businesses to start from home, and it offers considerable flexibility, as you can schedule classes for times that suit you. What’s more, you could provide courses that people can access remotely or download.

7. Resume writer

Businesses with low overheads are ideal for aspiring entrepreneurs who want to start making money without worrying about expenses. Being a resume writer is one of the most inexpensive businesses to start. Whether you decide to set up a side hustle for extra income or have grand plans to turn a solo venture into a big business in the future, you can get started straight away with minimal investment. To offer this service, you should have a firm grasp of the labor market and what makes an effective resume.

In turn, this will enable you to provide a tailored service for your customers, which will help them secure roles that match their skills and level of experience. Resumes may all look similar, but they should be adjusted to ensure that the content is engaging and relevant to the role in question. 

8. Social media influencing

Most of us are familiar with influencers and social media users who have built up enormous followings and whose profiles and accounts rake in substantial profits. It’s not easy to create content that will earn thousands of dollars per post, and it may take time to build a following, but it’s possible to turn a low-cost business opportunity into a profitable venture. 

If you like the idea of becoming an influencer, find a niche and start contacting brands so that you can post content that will resonate with your followers and become commercially viable in the process. Inspire existing followers to share your posts, and consider running giveaways to get people to follow you and take an interest.

Promote products that are relevant to your personal brand, your passions, and your target customer. Interact with your followers, get to know brands, and build relationships with them, seizing all opportunities to network. 

9. Freelance writing

Freelancing has become increasingly popular as people seek alternatives to a traditional 9-5 job. Freelance writing is a low-budget business idea which can help you boost your earnings and establish a reputation within the industry. There are multiple paths to explore if you’re looking for low startup cost business ideas, including writing for blogs, using websites and portals to find jobs that involve writing, signing up with agencies, and writing for companies on a freelance basis. 

Freelancing is not as stable and secure as conventional employment when it comes to payment and income, so it’s crucial to establish a client base and manage your money prudently. Think about how you’re going to attract clients and find work, research rates, and market your services via social media. Design a website to describe the services you offer and provide information about your qualifications and experience, sharing some pieces and showcasing your writing style. 

10. Personal training

Are you passionate about health and fitness? Do you want to help others reap the rewards of regular exercise or a new, targeted training regime? If so, personal training services could be a new business idea worth exploring. Being a personal trainer is rewarding and can also be quite lucrative.

If you love to work out, you can use your passion for this lifestyle to motivate and guide others. It’s worth noting that you’ll need certificates and proper training to start offering services, but once you have the recommended qualifications, you can earn a lot of money in a short time. 

Setting up at home is a great idea if you’re looking for the best business to start with little money, as your overheads will be low. This will help you generate profits faster. You could also run online classes and sessions or create an app or a website with a members’ community. Another option if you don’t want to rent premises or pay to use a gym is to visit clients and make use of their homes as training spaces. 

11. Dog walking and sitting

Did you know that there are over 76 million pet dogs in the US alone? Dogs are wonderful companions, but they need a lot of care and attention. For many families, owning a dog can be difficult due to work commitments and the desire to travel or take vacations. This is where dog walkers and house sitters come in handy.

A cheap business to start, dog walking meets a market need by providing services for people who have pets but find it inconvenient to walk them during the day. By using a dog walking service, people can add a furry friend to the family without worrying if they’ll get enough exercise or become lonely while the owners are at work. 

The advantage of a low capital business is that you don’t need to spend a lot of money at the outset. You can advertise via local magazines and newspapers, flyers, and social media, encourage customers to spread the word and scale your business as the demand grows. You’ll need a vehicle if you plan to travel outside of your local area. If your business becomes a success, you could consider expanding by hiring more dog walkers or adding services, such as house sitting or doggy daycare. 

12. Virtual assistant

As our lifestyles are becoming increasingly rushed, many people have hectic schedules and are struggling to manage their diaries. If you have strong organizational and time management skills, you can use your expertise to offer this service to those who are daunted by their to-do lists.

If you’re interested in profitable businesses with low startup costs, being a virtual assistant is a marvellous idea. You can work from home, which means low overheads, and you can add clients as you go along once you start receiving more inquiries. 

It’s a good idea to target people who have busy schedules, such as business owners, professionals, and working parents. You can advertise your services through social media, a website, and local press. Research the market to learn more about your target audience, establish a pricing strategy, and get to know more about how being a virtual PA works. 

13. Gift ideas

Do people always compliment you on the gifts you buy or come to you for advice when they need a bolt of inspiration for a birthday or wedding present? If so, have you thought about turning your talent into a business? Many people don’t have time to trawl websites or stores looking for gifts, or they just can’t come up with original, imaginative ideas.

If you have a reputation for choosing fantastic presents or conjuring up inventive ideas, this is an easy business to start from scratch. You can offer customers a bespoke service to help them take the stress out of sourcing and buying gifts or organizing experiences. By hiring your business, customers can save time and effort while ensuring that the people they love will adore their gifts. 

14. Proofreading

Are you meticulous when it comes to grammar? Do you have an eye for detail? Do you enjoy reading and writing? If so, why not set up a proofreading business? If you have an outstanding grasp of grammar and punctuation, this is a great home business idea with low startup costs. All you need to get started is a computer.

You can work at home or remotely, with compete control over your schedule and pricing strategy, choosing which jobs to take on or turn down, all while your running costs are kept at a minimum. It is critical to ensure that you have the relevant skills and knowledge to offer this service to paying clients. If you make mistakes or fail to notice and correct errors, customers may ask for refunds and may leave negative feedback.

15. Event planning

Are you the go-to party planner in your circle of friends, or do your family members rely on you to manage their social schedule and organize gatherings for special occasions? Event planning is a skill in high demand. From parties, weddings, and garden gatherings to corporate events, competitions, and charity functions, there is room in the market for a wide range of services to cater to diverse clients. 

To excel in this role, you need to have superb communication, organization, and time management skills. Even though it’s not one of the easiest businesses to start, it can be profitable, as clients strive to make an impact with their event and will invest substantial sums to impress their guests. Start small and build a network of contacts. As you gain more experience, you should find it easier to plan events, which will enable you to take on bigger, more valuable contracts and expand your customer base. 

How To Start a Business With No Money - Top Tips

Starting a business with no money is no mean feat, but it’s possible to turn a small startup into a profitable venture. If you’re looking for low-cost business ideas with high profits, here are some tips to help you maximize your chances of success:

  • Devise solutions for common problems: One of the best ways to make money through new business ideas is to identify some common issues and find solutions to address them. Think about the problems you want to solve in your life or the issues you hear friends, family members or colleagues talking about. 
  • Play to your strengths: Think about your skills, qualifications, and experience when considering startup ideas. From language skills, cooking, playing musical instruments or singing, designing websites, bookkeeping or managing your diary to playing sports, training, marketing and building apps, there are all kinds of opportunities to make money based on your existing skillset. 
  • Conduct research: Research is essential for any aspiring entrepreneur. Use market research methods to gauge the level of demand for the products or services you’re offering, identify competitors, define ideal buyers, and set price points. 
  • Manage your finances: Managing your finances from the outset is vital if you’re looking for low-cost business ideas with high profit margins. Try to keep initial expenses and overheads low while building a client base and bringing sales in. 
  • Spread the word: Running a profitable venture takes more than an ingenious low budget business idea. To make your new business work, you have to attract customers and encourage prospective clients to take the next step and actually spend money. Think of all the ways to spread the word and calculate marketing costs accordingly. Popular marketing techniques for businesses with low overheads include local SEO, social media marketing, and flyers. 
  • Take inspiration from your passions: Your passions and interests can help you identify possible business ideas and narrow down your options. It’s possible to monetize hobbies, for example, baking, fitness, playing music, writing, and spending time on social media. If you run a business that allows you to do the things you love and help others do the same, this will not only boost your bank balance, but it should also give you a sense of satisfaction. 

Summary

More and more people are pursuing the dream of becoming their own boss. If you want to be a successful entrepreneur, you don’t have to spend a fortune getting your new venture off the ground. These low-cost business ideas can help you build a profitable business without worrying about investment sources or bills while you’re still trying to find customers. If you’re on a tight budget but still intend to set up your small business, take inspiration from this guide and explore business ideas with low startup costs!

FAQ
Which is the cheapest business to start?

Several businesses are cheap to start. These can include dog walking, online stores, and selling on virtual marketplaces and platforms. Additionally, home-based businesses such as online tutoring, virtual assistant services, personal training, blogging, and designing online courses are all great ideas for a first-time entrepreneur with limited resources. There are certainly many ideas to explore if you’re on a budget and want to be your own boss! 

What business makes the most money?

There is no single type of business that is guaranteed to make more money than others, but there are low-cost businesses that tend to be more successful than others. These include online shops, various services, online consulting, training and teaching, as well as web design and development.

To increase your chances of making profits in any sector, you should research the market, use marketing techniques to attract customers, and create and convert leads. Based on your market insights, you can respond to emerging trends and new problems people are looking to solve. 

How can I open a store with no money?

Opening a store is one of the most popular businesses with low startup costs. If you don’t have the capital to invest in a new venture, you can use free websites to set up a store and sell products you already own, you’ve bought at a discount, or made by yourself.

Make use of cheap marketing options, such as social media, and encourage customers to spread the word and leave reviews and feedback. This kind of approach will help limit your expenses and keep overheads low. Ask friends and family to help out if they have skills such as marketing and sales, web design, or bookkeeping. 

About the author

Danica’s greatest passion is writing. From small businesses, tech, and digital marketing, to academic folklore analysis, movie reviews, and anthropology — she’s done it all. A literature major with a passion for business, software, and fun new gadgets, she has turned her writing craft into a profitable blogging business. When she’s not writing for SmallBizGenius, Danica enjoys hiking, trying to perfect her burger-making skills, and dreaming about vacations in Greece.

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Chicago will pay back the principal of $100 as the bond matures, which, combined with $5 of fixed income over ten years, makes quite a decent investment. Benefits of Investing in Bonds There are a number of benefits associated with bonds as an investment, including the following: Stability Bond prices are generally less volatile than stock prices, which means that they can provide stability for your portfolio. The majority of bonds are issued by governments, which are typically considered stable and less likely to default. Income Bond interest payments can provide you with a source of income. While the coupon rate is rarely as generous for the smaller investment as in our example, investing in multiple bonds with a solid coupon rate can turn into a decent annual income. Diversification Every investor knows that a diversified portfolio can make all the difference. Adding bonds to your portfolio can help to diversify your investments and reduce overall risk. Types of Bonds There are many different bonds, including government bonds, corporate bonds, agency bonds, and municipal bonds. Federal bonds are issued by the Department of the Treasury. There are three different types of bonds issued by the Treasury. Also referred to as "treasuries", these have different names based on the maturity date. Those that have a year or less to maturity are called "bills", while those with up to ten years of maturity are known as "notes". Actual "bonds" are those that have over ten years to maturity. Corporate bonds are often issued by companies that need loans much larger than angel investors, VCs, or banks are willing to provide or cannot find bank loans with favorable terms. Corporations often find it more affordable to issue bonds than to go with bank loans when the interest rates and terms are taken into consideration. Municipal bonds are issued by states and municipalities to fund different projects. Investors will often find bonds with tax-free coupon income. Agency bonds are issued by organizations affiliated with the government, such as Freddie Mac or Fannie Mae. Risks Associated With Bond Investments These investments are not without risk. The biggest risk is for the bond issuer to default on the loan, which could result in the loss of your principal investment. Additionally, bonds are vulnerable to market fluctuations, which leads to price volatility. This is partly linked to the bond’s interest rate, meaning that rising interest rates can cause the price of bonds to fall. Finally, bonds are also subject to credit risk, which is the risk that the issuer will not be able to make interest payments. All in All The most important thing to learn about bonds is the different types of bonds and the risks associated with each type. You should also know your investment goals and objectives. Bonds, as fixed-income securities, can be a good addition to an investment portfolio but aren’t the right option for everyone. Finally, it is important to remember that bonds are subject to market fluctuations, so you should never buy bonds with more money than you can afford to lose.
By Vladana Donevski · May 18,2022

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