Best small business ideas in India

India and Indians don’t prefer to be identified by the names, caste, religion. They are what their business is because that’s the means to their survival, their reputation and standing in the market and an identification of their name.

India is populated with 58.5 million entrepreneurs. The self-employment in India is recorded at 76.8% as of 2019.

It’s not because of the deployment of the opportunities at the established cooperations but because of the increasing needs of the consumers which has fueled theses entrepreneurs and  businessmen to increase the production of the major necessities, essential and demanded goods and keep the money running in the economy with all their needs met.

Consumer satisfaction is surely one objective of these entrepreneurs to the extent their demand makes their business but profitability is the word and the element they are looking for in terms of what keeps them bucks in and flowing.

So, here’s something for you if you are wondering to start small but have plans for not letting that just be it.

These businesses are likely to provide you with the following advantages

• Low capital investment
• Minimal man power requirements
• Low space/area/land requirements
• Easily available raw materials
• Large target customer base
• Easy marketing
• Wide scope for expansion
• Minimal license requirements
• Adequate profit margins

5 profitable small business ideas

Noodle making business:

With the growing increase in ready-to-eat food and take outs which is worth $261million and $0.62 billion respectively. Of which noodles market in India is worth at ₹93.66 billion. Wouldn’t you want to slurp this spicy business ?

• Target consumers.  : Chinese QSR, Instant noodle market (Maggie, yippee etc) Street food vendors, grocery stores
• Investment required: ₹40000-₹150000
• Profit margin : 53%
• Licenses required:

• FSSAI registration
• GST registration
• Trade license
• MSME registration

Organic store:

The increase in westernisation in terms of maintaining a health lifestyle and preferring organic products for dietary purposes , skin benefits,  avoiding animal cruelty and toxic substances over the artificially produced and chemically induced products has increased the needs for organic products like organic shampoos, lotions, vegetables, perfumes, incense sticks etc. whose market is worth at $1.70 million.

You can establish an organic store comprising of all of these organic products and also customising the products like shampoos, creams etc according to the needs of the consumers

• Target consumer: Restaurants, hotels, cafés, gym goers, millennials
• Investment.        :
  
  
  
  ₹50000
• Profit margin.    : 25-30%
• License required:

• FSSAI registration
• MSME registration
• Trade license
• Organic food certification by NPOP

Paper bag making business:

The paper bag industry witnessed a sale of 9,00,000 tonnes in 2018 causing this industry to grow at a CAGR of 4% by 2029. The constant need among consumers to ensure environmental stability and trust the brands motivating them to buy their products from, have a similar aim.

 This business is as light on operations as the weight of that paper bag is.

• Target consumers: Retail outlets, shopping malls, high end companies, Small scale and medium scale shops, grocery stores, supermarkets etc
• Investment.          : ₹5 lakhs
• Profit margin.       : ₹70000 per month
• License required:

• GST registration
• NOC by the state board
• MSME registration
• Trade license

Shoe laces making business:

Yes, you read it right. A fastening/ancillary product like shoe lace also has its own business opportunities. India accounts for 85% of the unorganised footwear industry so to imagine the demand your shoe lace business is likely to get is vast.

Shoe laces of different lengths, materials, colours are required across the nation or even internationally given the labour the cost benefits present in India.

• Target consumers : Retail shoe stores, Online shopping websites, shoe companies: Nike, Bata, unorganised Indian shoe sector etc
• Investment: ₹25000-₹50000
• Profit margin: 30%-40%
• Licenses required

• MSME registration
• GST registration
• Trade license

Phone cases business:

About 300 million phones were purchased in India in 2019 and the mobile phone accessory market alone is expected to splurge at $3.54 billion. Although, mobile phones are a trend in itself the phone cases are adding to it through customised phone case, printed, graphically designed, 3D phone cases etc

• Target consumers: millennials, teenagers, online shopping platforms etc
• Investment: ₹2lakh-₹3lakh
• Profit margin: ₹1lakh-₹2 lakh per month
• Licenses required

• Trade license
• GST registration
• MSME registration
• NOC by the state board

Suggestions

• Firstly, all these business opportunities mentioned above require minimal capital investments worth less that ₹6lakhs
• Secondly, All these businesses have a wide scope for expansion in terms of offline and online presence
• Lastly, the profit margins of these businesses are ample and the possibility of capturing a global demand is also vast.