The lowest cost and most profitable business ideas for aspiring entrepreneurs
The unstable economic situation affected everyone in different ways: some types of business suffered more, others - less, for the third - new prospects opened up. According to open statistics, one can trace the main trends and draw conclusions: in which area is it most profitable to open a business now, and what is best to refrain from.
Crises come and go, but you always have to work. What business is in demand now, where to look for a promising niche? Despite the fact that the SME business activity index shows a decrease (Fig.), The number of individual entrepreneurs in Russia has increased. According to Kommersant: as of December 2021, their number amounted to 3,643,911 against 3,534,516 for the same period in 2021.
Figure 1. Dynamics of the entrepreneurial activity index in 2021-2021. According to the public organization SMB "Support of Russia".
The decrease is mainly due to the drop in sales and investment: the share of trade in small businesses is more than 40%. You shouldn't be guided by the average "temperature in the hospital", so let's take a closer look at how the situation is developing in three directions:
Main directions in trade
The negative impact of the crisis on retail is obvious: a decrease in income, a saving behavior model, and a shift of buyers to cheaper goods. The last factor was not negative for everyone. Networks of the “all for one price” type are expanding, including actively moving to remote regions (“Fix Price” franchise); commission trade revived. According to a study by the Magazin Magazin group, stagnation was observed in the trade sector in October last year (Fig. 3).
What entrepreneurs complain about:
- 76% of respondents noted a drop in sales;
- 55% of retailers were forced to raise prices;
- the cost of rent and property tax increased.
On the whole, the mood is pessimistic, a revival of consumer demand in the near future can hardly be expected. But on a sectoral basis for industrial goods - the decline is not the same, which is clearly seen in Figure 3. For certain commodity items, the index is above average.
Resume. The market for luxury consumer goods (and services) is virtually unchanged. The segment of the "economy" class is not developed. A special skill is required to organize profits at low prices, low costs and margins, which not many have (successful example of "Fix Price"). In recent years, trade has been most active in the middle class segment, and the greatest decline in real incomes has occurred in this particular segment of the population.
If you decide to break away from everyday life, from daily trips to work, constant waiting for a salary and fear of getting "on the carpet" to your boss for being late or an untimely report, then the idea of opening your own business is best for you. Doing your own thing, you will be able to independently enter the rules of the work schedule, monitor the implementation of certain actions, set working days and days off.
Having made the decision to open your own business, you get the opportunity not only to take two positions at the same time (employee and administrator), but also try to manage your life on your own. At the same time, both the direction of activity and the amount of money that will need to be invested to open and further develop a business play an important role. Of particular interest to applicants are the ideas of a low-cost, but at the same time profitable business.
This material provides information on the most popular business ideas, the implementation of which does not require significant investments, in particular:
- business development ideas in small towns;
- low-cost and profitable options for the fairer sex;
- business ideas for beginners;
- interesting offers of earning money at home and in the service sector.
How to decide on the type of activity?
Before proceeding with the implementation of the conceived, you need to decide what you would like to do in the future, and what type of activity is most suitable for you. To do this, you need to objectively assess your skills, determine the inclinations and financial potential.
As a rule, the choice of direction depends on the following factors:
Low-cost and original business ideas
Before making a final decision on a business idea, it is necessary to consider a list of existing options that have been tested in practice. This will allow not only choosing the most suitable option, but also preventing the possibility of various risks.
So, the list of the most low-cost and profitable business ideas for beginners includes the following ways to make money.
What are the most profitable types of small business in Russia, and how do they differ from popular implemented ideas in other countries? The specifics of laws and consumer demand, the still short history of the development of entrepreneurship in the state, have led to significant differences in areas and areas that are successful in the Russian Federation and abroad. If in the West and in newly industrialized countries the basis of tax revenues from businessmen are IT-technologies, development, production know-how, then in our country the most profitable types of small businesses are concentrated in trade and services. Among the main reasons, experts point out:
- focus of businessmen on the formation of assets at the expense of working capital, which are faster and easier to implement, if the business does not receive recognition and success. These are also the expectations of a sudden change in laws, when it is not always possible to be sure what part of the profit an entrepreneur will be able to dispose of after receiving it. And difficult conditions for entry into manufacturing industries, and the lack of affordable cheap loans. Therefore, small business is in no hurry to acquire less liquid fixed assets (machinery, equipment, etc.);
- difficulties with sales. If the service is organized specifically "for the buyer", for example, in a new microdistrict in a "sleeping" area of the city an atelier opens or near a new business center - a cafe, the owners can always count on effective demand and a client audience. Engaged in production and development, you need to know the consumer in advance. You can participate in the procurement program, based on FZ-44 or FZ-223, but this requires serious knowledge and financial support, which is not always available at the initial stage of the case;
- difficulties with resources. Even if a sale is found, in order to organize a laboratory or a research center, qualified personnel, complex, often imported equipment, and consumables are needed. Often it is difficult not only to buy them, but also to find them.
The most profitable small businesses in Russia
Assessing the most profitable small business in Russia, the rating can be presented as follows (the share in the total number of recognized profitable activities, the profitability of which, regardless of the season, is 100 percent or more):
Rank Industry Percentage 1. wholesale wholesale bases0. 52. shops (food and manufactured goods) 0. 13. Market trading 0. 4.Repairing and construction0. 95. advertising, including online, website promotion8. % 6. consulting, professional services (accounting, jurisprudence) 7. % 7. education servants (tutoring, governess, nannies) 0. 78. medicine (massage, nursing services, nursing) 0. 69. Organization of holidays, animation, floral decoration, photography0. 510. Household services to the population - atelier, watch repair, etc. %eleven. bschpit 4. %12. Lending business0. 413. hotel business0. 314. Business 0. 2
Others have not yet become widespread, since the client market has not been formed, not sufficiently prepared, and so far they can only develop in large metropolitan areas. Among them are private managers, financial consultants, chiropractors.
Some of them will become promising and in demand over time, others will not become widespread and will not become profitable types of small business in any other regions.
Profitable Manufacturing for Small Business
In detail, how much investment is required by production in the most profitable types of small business in Russia and what entrepreneurs can count on:
What to do during the crisis: the best business ideas for the coming years
Small wholesale bases
Their main advantage is the convenience of location and wide sales. These organizations are necessary for both private buyers, and large networks, and counterparties - small entrepreneurs.
Organizing and starting your own business is not easy. Everything must be thought out carefully to the smallest detail. First of all, you need to figure out which profitable business with small investments in 2021 will be a really effective way of investment.
There are several rules that the most promising and successful businessmen follow:
- Among the large number of options, choose the one that you understand and the one that interests you.
- A minimum investment does not mean bad goods and poor quality services, it means savings and profitable connections.
- Making mistakes and failing, do not despair and keep going forward.
- This is the only way to achieve success.
- Constantly explore new trends, opportunities and novelties.
- Don't forget that good advertising moves things forward.
What business to open in Russia to get the maximum profit per year?
Choosing the most profitable business for himself, every entrepreneur thinks about making small investments in it. With the inflation rate and the economic decline in the Russian Federation in 2021, this is especially important. The most profitable are still business ideas in a small city, where the level of competition is low and there is a greater likelihood of demand for your goods and services.
What small investment business ideas will be successful in 2021? For example:
- Service industry, because many services require nothing but a small amount of inventory and a high skill of the master.
- Online stores, because here you can provide goods on a prepaid basis, and also very much save on renting premises for a retail outlet.
- Any business related to the Internet industry, because information technology continues to flourish all over the world.
- Clothing stores and catering establishments are still at their best, because people will always eat and dress.
Now, let's take a quick look at some of the most promising business areas for 2021.
Idea: Resale of goods from China
As you know, goods from China are famous for their rather low cost. Organizing a store that will sell retail goods ordered at a tiny wholesale price is a profitable business. The easiest way to translate this into reality is to create an online store. You can host your own website, or you can do everything through a group on a social network.
There can be two paths in each of these options:
- Sale of goods already purchased in bulk at retail prices with a decent margin.
- Collecting prepaid orders and then purchasing goods and distributing them to customers after delivery.
For the convenience of customers, an online communication should be organized, and a pleasant bonus for them will be home delivery of goods.
When developing a business, an entrepreneur thinks about optimizing his income. Over the past decades, more and more types of business have appeared in Russia. Every year experts make up the top profitable businesses.
The top 10 and other ratings of the most preferred areas of entrepreneurship reflect those that are most profitable and relevant.
The Ministry of Economic Development of Russia informs that the share of small business in the state GDP by 2021 should grow to 30%. Entrepreneurs are implementing a variety of ideas for small and medium-sized businesses in all Russian regions.
Things to know before opening
Most likely, it will be profitable for those who have mastered the profession of a financier, accountant or manager. However, there are many exceptions to this rule.
- time period for the return on investment,
- the selected business area is in high demand,
- the optimal level of profitability. Profitability increases in parallel with the volume of services or goods,
- a small price threshold, where the purchase of materials contributes to an increase in profitability,
- a positive rate of return on assets.
To implement the idea of a small business, you need minimal funds and labor resources. For example, you can gather friends and start cleaning office and residential premises. You can also successfully engage in repairs. Often people open catering establishments, for example, a fast food kiosk or a bar.
Network marketing has been in demand not so long ago. This business has the principle of selling the produced service or product to the consumer without intermediaries, which greatly increased profits and reduced costs. An example of successful network marketing in the world is the cosmetics company Oriflame.
To start such a business, you should sign a contract with the manufacturer or start looking for a supplier.
Then you need to sign an agreement with outlets and deliver your goods to them.
Next, you need to keep statistics and collect arrears for the goods.