A list of REAL businesses started by people under $1,000.
Being your own boss is majorly everybody’s goal in life. It is one of the best favors you can do for yourself, and especially after witnessing the times of COVID-19, it makes logic why people are moving towards self-independency. According to the reports, there is a post-pandemic business boom where every 1/10 people are starting side hustles.
At FAYVO, we encourage ideas, help people build a relevant community, and thus we love to support small businesses rising on FAYVO. This way, people get to know their target audience. So today, we bring you the easy yet unique business ideas to get started with your own business.
First things first, why do people think about having their own venture?
It may have several factors. Maybe they are too passionate about the idea or they may have been thinking to change their lifestyle and finances. For whatever reason, you don’t need a ton of cash to invest in the venture.
Having little or no cash doesn’t mean you can’t set up anything of your own. Because the reality is, that “starting your own business doesn't have to be expensive.”
According to the popular Small Business Association, most micro-businesses are started for less than $3,000. Got enough motivation?
So, let's read down the list where we have picked our favorite low-cost business ideas to make starting your business easier with minimal upfront investment.
Here we go:
Best Low-Cost Business Ideas with High Profit
All of the below presented low-cost business ideas are evaluated comprehensively on the basis of ongoing expenses, required skill level, and earning potential to help you get your business started today!
Home Tutoring Business:
This business idea is best for people looking for home businesses. Also, if you are an enthusiast, who loves to learn and teach, and a “people person,” then you are the ideal fit for this job. After COVID-19, many online tutoring centers have been created. It is all about what you are good at, and the students will come to you.
But yes, this business got a high competition, as it is a very low-cost business with minimum investment. So, for the newcomers, it is highly advised to do something different and unique from the traditional ones.
Teachers have to spend time in online sessions, track students’ performances, and prepare them for their upcoming lessons. Self-control and motivation, are the keys to success here, and the profitability depends on your work ethic and how quickly your business grows.
If you are focused and persistent, $30 – $35 per hour could add up to solid profitability.
Personal Training Business:
To get the most clients, and earn their confidence, a personal trainer should be a walking advertisement for their own successful diet and exercise routine. To be a personal trainer, you can start online by giving paid plans. Once you have enough capital for investment, you can set up your own place with all the equipment and exercise gear.
Starting your business, as a trainer, brings in health benefits too, in line with the finances and revenue. Your core responsibility will be developing individualized sessions for your customers, taking note of their goals, guiding them according to their preferences, and cross-referencing those with optimal dietary advice and physical activity.
Related: Don’t Forget These Factors When Starting a New Business from Scratch!
On average, if covering all the countries on the globe, a personal trainer makes around $50,000 per year, but steady customer flow can make it cross $70,000 as well. Moreover, if you develop a great client relationship, you could see that price rise even higher.
The requirement is to put forth an initial effort into acquiring a certification, and little investment for advertising your health and fitness center.
Start a dropshipping business:
One of the most common and in-demand businesses is Dropshipping these days. Being chosen by hundreds of individuals around the world, and here they are, making more and more money out of it. So, what’s the deal?
All you have to do is buy stock, store it, pick it, pack it, and ship it. And that’s it.
You might be thinking, why do people choose it more than the other business ideas? The main reason is to get yourself out of the hassle of managing inventory. It is a big commitment and dropshipping keeps you out of it. Instead of handling everything at a warehouse, dropshipping lets you pick it up from someone else’s place.
It is an easy, low-cost, business idea to start and one of the most successful ones.
It can be adopted as a side hustle that you can pursue with your full-time job. It has a fulfillment model where third-party supplier stores and ships inventory to customers on your behalf. There are no employees needed, no extra costs to keep the items safe, and very handy. Additionally, the business is scalable.
Dropshipping business can be started by anyone, a student, a housewife, a full-time worker, anyone!
In fact, it is popular because it is one of the quickest and cheapest businesses to start. The theme is that when a customer buys a product from you, the order is sent to your supplier. There, the order is completed and you pick it up and deliver it to the user. The area where your effort is required is the marketing of the business and the customer service you provide.
The average dropshipping profit a mid-level experienced person gets is between 15%-20%. This can vary greatly depending on your chosen dropshipping niches and the goods. Here, success and profits depend upon the products you choose. Upon selling, try to make a profit higher than 20% to get the most out of the best dropshipping products you sell.
Here’s a pro tip: Always order a sample for yourself before sending it to the customer to ensure the quality of the products beforehand.
Design and sell print-on-demand t-shirts:
Another successful business idea that almost never fails is the selling and printing of T-shirts. With lots and lots of trendy slogans and captions, the world looks for something funky and unique.
Also, involving and starting this business requires very low on-hand inventory management. All you have to do is when an order arrives, buy a t-shirt from your supplier and ask the printing team to make it right then. It puts inventory, shipping, and fulfillment in the hands of a third-party supplier, and you will make profits in return.
This model is somehow related to the dropshipping one, but it covers the customization of products. The items are designed based on customer demands and it can also be a collective bundle of T-Shirt and caps, hoodie with it, phone cases, or anything popular. If you are a creative one, you can find and implements plenty of ideas to add to the catalog.
The possibilities are endless. Come up with witty slogans for developers or references that resonate with cat owners. If there’s any post or video going viral, target it, because there’s a lot of potential in the t-shirt business that you can use to your advantage. Utilize your creativity and use free tools to design the slogans on your own.
On average, after subtracting your expenses, you’ll get around 40-60% gross profit margin which will turn into 12-15 percent net profit. Additionally, mind that the markup will differ from one product to another.
If you are printing and selling T-shirts with popular designs, you can sell them at a more premium price, and a discount strategy may also be needed to move less popular shirts from your inventory.
Do you have a passion to capture ordinary things and present them in an extraordinary way?
Let’s start your little business with it. Photographers are always in business because it is them who are needed at every event, every happening scene, and at every celebration.
So, if you already spend time photographing the world around you, why not sell some of those images? You can sell stock photos to earn cash on the side. You can start with almost zero to low costs and quickly generate a revenue stream if you already have a camera—even the one on your phone. The Most Profitable Photography Niches to Explore
- Event Photography.
- Commercial / Product Photography.
- Social Media Photography.
- Real Estate & Property Photography.
- Fashion Photography.
- Wildlife / Landscape Photography.
Choose what you love and get started.
You’ll need to determine how you want to shape your business and on those parameters, your profit margins will be decided. For example, we use the following breakdown:
60% Weddings, 25 Weddings/Year
40% Portraits, 2 Portraits/Week (or 100 Portraits/Year)
So, the profit numbers will be, $4,190 per Wedding, and $698 per Portrait.
Decide what you are good at, analyze the costs, plan the business and do it!
Possibilities are unlimited. Good Luck!