Top 15 Business ideas in India with low investment
Here is the list of top 20 business ideas in India with low investment to start and can scale to the medium or high volume of turnover to make huge money.
In this list, I will provide business ideas with some more detail information so that you can implement them also and in case you need any super depth detail of any below business then you can tell me in the comment box and I will provide you.
Domain flipping is one of the top business ideas which you can do online in India with low investment to start and also can do while sitting on your bed. And The best point is the requirement of capital is very low in this business because if you buying the fresh domain then it will cost you only a few hundreds of rupees (Approx $20).
There are a few advantages and disadvantages which are as follows
- Low investment required.
- Can be operated from anywhere.
- Evergreen business.
- Huge margin.
- No limit of earning(You can make millions over time).
- You have to learn how to select a Domain name that sells.
- Low liquidity
- Little high risk (Because of low liquidity)
- Not much information is available online about how to sell the domain
2. Online Store
In today’s world, the advance version of the retail store is an online store, yes you heard it right you can open the online store without inventory and this business model is called dropshipping.
If you don’t know what the dropshipping is then let me first tell you, In this business, you will make an online store just like Flipkart or Amazon where you will select some hand-picked best product which can be unique and problem-solving from Aliexpress where you can get the products at wholesale price now the main task is to drive the traffic to your store so that people can visit your store and place the order.
Now you are thinking that you don’t have any coding skill then how you will make an online store the answer to this question is Shopify where you can build a beautiful store without writing a single line of code.
This is the best online business model where you can start the business without any much initial capital. Let’s discuss some pros and con of this business model
- Inventory is not needed
- low investment
- No limit of scaling the business
- High Margin
- can be operated from anywhere
- Passive income opportunity
- Lots of information is available online for starting the business
- You have to be an expert on Facebook & Instagram marketing
- Product testing can take a higher budget in case of bad luck
3. Renting Business
Renting business is one of the best business because if once you have some clients whether online or offline then you will get recurring income from your tools and asset you put on for renting purpose.
One of the best examples is Car and as you know the car is expensive and not everyone can afford it but there is a need for a car at some time for everyone, may the customer need to go out for some office purpose or for holiday or just need the car for two days for marriage purpose so for this type of short term need they are not going to purchase the car instead they are ready to pay you a nice amount for taking the car for short term.
Like this, you can give many things as rent some examples are costumes, DSLR camera, bike, car, garage space, marriage lawn etc.
You can advertise your renting business for free on some online platform like OLX
- One time investment needed only. (for purchasing the asset for renting)
- recurring income
- No hard work just need to make a client network in starting.
- Low risk
- Less manpower needed.
- one can start on both platform i.e online and offline.
- less competitive currently
- Low income at starting due to no client network
- number of renting items are very less. (few of them are costly also i.e car)
- Medium-high investment needed in starting for purchasing the asset for renting in order to make a decent income from it.
- High management required(if done on large scale)
4. Truck Business
Currently, India is in a growing industrial phase in which there is a requirement of huge goods movement which can be done only via trans and trucks and the majority of the movement is done by trucks because every medium scale owner can afford it but in case of train only high scale business owner can afford it.
The best thing about this is you can get the truck easily on EMI because of the collateral options. (Truck itself as collateral).
You need only 3 lakhs rupees only for making the down payment and for other expenses and due to the huge demand for trucks and evergreen business model you can get regular customers with nice pay.
- High margin (freight rate is very good currently in India).
- Less Investment required in starting (Easy loans are available for purchasing the trucks on a very fair rate of approx 11%- 15% per annum). You need approx 3 lakhs in starting.
- High liquidity.
- Many online portals are available now for searching the freight for your truck.
- High risk. (all your invested money is in truck make sure your truck is safe while traveling.)
- The biggest and most difficult task is to find the right and honest driver in this business.
- you have to take a loan. (It is not a good thing to take a loan but due to the high required of investment for purchasing the truck you have to take the loan and hence taking the more risk.)
- High management required.
5.Real Estate trading
Trading in real estate is the best business idea if you have a lump sum amount of capital to invest because it carries very low risk (but make sure you have enough knowledge of land prices before buying).
The reason for the low risk in this business is continuously increasing land prices in India from the last 5 decades. Now some pros and cons are
- High return
- Evergreen business due to increasing population
- Always profitable (be sure to buy at the right price at the right time to gain exceptionally high return)
- Low liquidity.
- Need high investment.
- Need right price info.
Opening a petrol pump is one of the best business in today’s world but it needs high capital investment and a good location property for situating the petrol pump.
If you have good capital to invest and want to open an evergreen business then this business is for you. As like all the above, there are few pros and cons of this business which are as follows
- Evergreen business (there is an endless demand for petrol and diesel in every country.)
- Low risk
- Always profitable
- Less management required.
- high liquidity
- The high capital investment required.
- property required on the high traffic road.
- Yo need manpower to protect your petrol pump from the unsocial element at night.
- Low margin so needs high volume for making a greater profit.
7. Restaurant business
Restaurant Business is the evergreen business because the product which you are serving is consumable (means there is an endless recurring demand) and if you are proving good quality then you can make a loyal based customer group which will come to your restaurant again and again because of your quality and service.
Also, you can list your restaurant on some online food serving websites to boost your order list and can get regular order without any much investment. some of the website names are food panda, Zomato, GrubHub, DoorDash, Munchery
Now some pros and cons
- Evergreen business model
- high Margin
- low risk
- online platform support available for promotion at very low cost (like food panda and Zomato)
- Can scale to multi-restaurant business
- Only approx 8-10 lakhs investment required.
- High management skill required.
- With the investment, you also need to find a good potential customer area where you can open a restaurant.
8. Electronic Wholesale
Please don’t think that these websites are your competitor instead they are your support because the people who are selling on these platforms are electronic wholesaler just like you the difference is they registered there name on these sites as a seller so they are getting orders from these sites.
So, you can get easy sales via these platforms online and you can sale offline too but there are some drawback also let’s discuss one by one both the pros and cons
- The high potential customer base is available
- high liquidity
- medium investment required
- Low risk
- high competition
- low margin
9. The franchise of popular brand
I know many of my readers wants to earn big from day 1 then this is possible too but on one condition and the condition is you have to invest big also. This business model is similar to this i.e invest big earn big.
If you don’t know what the franchise means then let me first tell you what it is.
A franchise is an agreement between the two legally independent parties which give the person or group of people(franchisee) right to make the product or service using the trademark of another business(franchisor) in exchange of pre-decided charges per year with quality maintained as per franchisor quality standard.
Let assume you take the franchise of dominos (Jubilant food firework) by paying the Rs 30 lakh (approx $50000) then you can make the pizzas and can give the trademark of dominos so you already get too many loyal customers from day 1 this is why there is large sale volume in this business from day 1.
But in order to gain a quick profitable business, you need a high investment of minimum approx 1 crore. ($150,000).
if you are going to search a franchise opportunity then search on franchise India
- High sale from day 1
- Reputable Business
- high Margin on sale
- Best support available from franchiser because if you grow then they also grow
- Evergreen business
- Very high investment required.
- High management skill required.
- High manpower required.
10. Electronic Repair Hub
Electronic Devices (like mobile, laptop, TV, printer) are increasing day by day in exponential rate and these devices are expensive too so if any device stopped working then it is a high chance that the user wants a repair rather buying a new one.
From reading above I think you will get enough reasons why this business is evergreen business and plus point is everyone is selling but only a few of them are giving the service of repairing after 2 years of purchase so there is less competition because after warranty period it is more likely that customer don’t don’t want to pay heavy charges to company for a simple repair.
- Less competition
- high growth potential
- Less investment required.
- Low risk.
- high margin.
- The high technical skill required.
- The time required to build trust in customers
11. Becoming a Real Estate Builder
This is a business where you can earn a high margin on your investment and if you have high management skill.
This business pays you for your management skill and there is lots of potential in this market because constructions never stop and in India, the constructions sector is at his peak in India so if you find competition then no problem there is no shortage of works also.
As you work in this business you will get some experience which results in further savings because you will get know where to save money in the construction process and hence your profit vs turnover ration increase over time.
- high-profit margin
- profit margin increase over time due to experience
- low risk
- evergreen business model because building construction will never stop in any country.
- high investment required
- difficult to find the first few projects due to no experience
- High management skill required
- Experience is the must for boosting the number of contracts.
12. Opening a Manufacturing Unit
There are many things in India and most of the developing countries which are being sold with any brands like cotton, paper, Honey, bread etc. so you can set up a manufacturing unit of the same and as you know there is a huge margin in manufacturing business which results in high profits.
After the implementation of GST in India, now it is much easier to open a manufacturing business in term of taxation.
But before opening a manufacturing business you need to do a few things
- Check whether there is sufficient demand for the product is available or not.
- Calculate the total investment required precisely.
- Do good research on how to manufacture the product at minimal cost.
- Find a good and cheap source of raw material needed for manufacturing.
- Build a team for marketing to sell the manufactured product.
- Extremely high-profit margins.
- No limit for scaling the business.
- Very high ROI on invested amount.
- Less competition due to less number of manufacturing units.
- Large Investment required.
- High managing skill required.
- High knowledge required about product manufacturing, therefore, need to do deep research.
- You have to manage marketing also for selling the product. (You need to pay special attention to marketing because you are going to manufacture the product on large scale and hence you need to sell them too.)
- High risk of business failure due to less knowledge. (If research is not well done before starting the business)
13. Writing ebooks
Want to earn the passive income from your business than writing ebooks is the best business idea from which you can earn the passive income continuously.
You have two options
- write the book yourself
- hire a writer and focus on promotions of the book.
If you don’t have many funds for investing in business then choose the option 1 or if you can invest in hiring writers then choose the option 2. It all depends on your fund availability but remember you can’t skip the promotion partly because ebooks need promotion to get sold first few copies in starting.
- Passive income idea.
- low investment required.
- No management skill required.
- zero risk.
- Many resources available online.
- 100% margin.
- Writing skill required.
- Knowledge required to write on the selected topic
- continuous expenses on the promotion can eat up your margin.
14. Open a Web Hosting Company
Today there are millions of blog and website are online in 2019 and the numbers are increasing continuously and exponentially and each one required the hosting service to host their website data.
So, there is a huge opportunity in this market but there are many big players also like Godaddy, Big rock, Bluehost, wp engine, Host Gator, reseller club and many more so, there is a huge market but there are many big players to capture the same.
- Profit increases as no. of customers increase
- Millions of customers available (Millions of websites and blog need web hosting.)
- the future is bright. (because no. of websites are increasing day by day).
- Very high returns over a long time.
- Large investment needed for purchasing the servers on a different location.
- High advertisement needed for making the first few clients.
- High technical skill needed.
15. Open a school/coaching center
School opening is the best business in today’s date because there is so much potential in education sector because nowadays more people are educated and wants to give a bright future to his child by educating him/her also, so if you are providing good facilities at your school or coaching.
If you have large investment then open a school and if you don’t have any large investment then you can open a coaching center because school need time to provide you with the breakeven but in case of coaching investment needed is not very big unless you want to scale it very quickly whereas school is beneficial over a long period of time because in starting it is tough to acquire first few children for your school.
But eventually, if you want to earn big you need the big investment for setting up the coaching.
- Very high return.
- after a certain period, you don’t need an advertisement because the quality of your coaching classes will advertise for you.
- easily scalable in case of coaching. (for school you need to acquire the space in large before the opening of school)
- Passive income if you hired the teachers for your coaching.
- Need high investment even in starting. (for schools only)
- Take time to becomes profitable.
- difficult to acquire the first few students in starting.
If you have more profitable business ideas then tell me in the comment box and I will add it here if I like it.
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