Nearly two-thirds of Americans dream of opening a small business, so what's holding them back?
What's holding you back?
Many aspiring entrepreneurs simply don't know where to start.
If the idea of being your own boss appeals to you, but you don't have a good small business
idea.
I'm here to help.
The team at Fundera has helped thousands of small businesses succeed across the country,
and I've seen successful business owners in nearly every industry.
Today, I'm going to cover nine profitable small business ideas that don't take too much
time or money to launch.
Let's get started.
Our first small business idea is podcasting.
The best way to grab people's attention today is with interesting on-demand content that
fits a busy lifestyle.
Podcasts are the perfect solution.
More than 50% of Americans have listened to a podcast, with 90 million tuning in on a
monthly basis.
That's a huge potential audience.
And if you look around you'll see there's really no limit on topics that you can have
a podcast about.
For example, Casper Mattress’s “In Your Dreams” podcast helps listeners interpret
their dreams.
Mastercard’s “Fortune Favors the Bold” discusses the future of money.
Even the grocery store Trader Joes has a podcast explaining what's behind their product development.
Once you come up with a concept, getting started in podcasting is easy and low cost.
Just record your podcast episodes and upload them to a podcast hosting service like Buzzsprout
or Podbean.
Then, go out and get an audience by marketing your podcast.
Our second small business idea is real estate investing.
Although the economy has its share of ups and downs, the value of real estate always
tends to bounce back.
In fact, over the last several years, real estate has outperformed stocks two to one
in terms of annual returns.
There are a bunch of ways to get involved in real estate investing.
You can buy property and rent out all or a portion of it.
You can also fix and flip distressed homes or commercial properties.
If you think you need a ton of money to invest, think again.
You can get a mortgage loan for as little as 3.5% down.
You can also pool money with other investors as part of a real estate investment group
or REIG for as little as $5,000.
An REIG lets you invest money in a condo or apartment building and earn returns on a monthly
basis.
In some up and coming cities, the median price of a home is relatively low.
For example, the median home price in Arlington, Texas is just $240,000, but the city is experiencing
healthy population and employment growth, making it a great place to invest in real
estate.
Our third small business idea is accounting, tax prep, and bookkeeping services.
I know, way less glamorous than podcasting or becoming a real estate tycoon.
But, this can be a very profitable business idea for those of you who are good with numbers.
It can be helpful if you're already a certified public accountant, enrolled agent, or QuickBooks
expert, but you don't have to be.
In fact, there are short term training programs to teach you about accounting and taxes, and
bookkeepers don't need a specific degree.
You can also launch an accounting or bookkeeping business without a lot of overhead expenses.
All you need is a computer and some marketing spend to promote your services.
Tax season is the busiest time of year for accountants and bookkeepers, but the money
you make during tax time can help you cover your bills throughout the rest of the year.
Not really a numbers person?
Then consider our fourth small business idea, college admissions consultant.
Getting into college has become increasingly competitive and expensive over time.
Thirty years ago, only about half of high school grads applied to college.
Now, two-thirds of high school grads are applying to college.
The cost of attending a public university has also increased more than 200% in the last
30 years given the increased competition and cost.
Parents and students are hiring college consultants to help them navigate the confusing admissions
process.
If you have a background in education or connections with local schools, starting a business in
this field can be very lucrative.
The average hourly fee for a college counselor is $200.
You'll work directly with the student to assess their strengths, advise them on what colleges
they should apply to, and review their college applications and essays.
Up next on our list of small business ideas?
Starting a food truck.
There are now over 4,000 food truck businesses in the U.S., and revenue is growing at an
annual rate of around 8%, making this a very profitable business concept.
Because of patchy state and local regulations, food trucks are definitely more popular in
some parts of the country than others.
Portland, Seattle, and DC are popular hotspots for food trucks.
Starting a food truck requires a slightly larger investment of capital than the other
business ideas we've covered, but less than you might think, especially if you rent rather
than buy a truck.
Renting a food truck will cost about $2,000 to $3,000 per month.
Renting also allows you to test whether you're passionate about running a food truck business.
Starting a self-storage business is our sixth small business idea.
People in densely-packed, expensive cities like New York and Los Angeles are accustomed
to paying a premium for storage spaces.
Storage for personal items is actually a $38 billion industry and one in 11 Americans pays
to store their excess items.
Launching this kind of business takes a sizable investment since warehouse space isn't cheap,
even in small cities.
But once you buy the space, you can rent it out and make a nice profit.
As more millennials move to cities, and as more baby boomers downsize their living spaces,
you can count on this quickly becoming a very profitable business opportunity.
Many entrepreneurs worry that their business will be booming...until the next recession
comes around.
Well, our seventh small business idea--event planning--is pretty recession proof.
Even when the economy turns sour, people get married, have children, and throw parties,
and they need event planners to help.
The majority of today's event planning customers are young people who have grown up in an on-demand,
connected world.
The best way to build a business for yourself in this industry is to make yourself easily
available.
Provide creative solutions, and position your brand on social media.
Event planning is a pretty low overhead business because you're working in the venue that your
client provides, and you can factor the price of materials and decorations into your cost.
With the rise of ride sharing, restaurant delivery, and grocery delivery, support Services
for these industries are becoming important businesses in their own right.
Local messengers and courier services offer essential support services.
Most on-demand services need to rely on a delivery network that's broader and faster
than the postal service, FedEx, or UPS can provide, and that's where private couriers
and messengers come into play.
Revenues in this industry are growing at 5% per year, and command a total of $107 billion
in revenue.
If you have a dependable mode of transportation and a cell phone, you can start a courier
service.
You could use a car or truck, but a scooter or bicycle is fine too if you're on a budget.
Then, you just need to market your business so that services in need of couriers know
about you.
Our final small business idea is interpretation and translation services.
You might think that with online tools like Google Translate and Translate.com that the
need for human translators is going down, but the reverse is actually true.
What was already a $43 billion industry in 2017 will grow to nearly a $48 billion industry
in 2021, making this one of the most lucrative small business ideas.
As the country becomes more diverse, the need for professional translators is increasing
in healthcare, law, finance, entertainment, education, and other industries.
A skilled freelance translator, particularly one who is certified by the American Translators
Association, can bring in six figures per year.
You can promote your services on freelancing websites, directly pitch your business to
companies like Honda, Netflix, and Microsoft, or work with government agencies.
And those are nine small business ideas that can quickly turn a profit.
Check out fundera.com/blog for more business insights, and subscribe to our YouTube channel
for more videos.
Thanks for watching!