Monday, October 21, 2019
Small businesses require more work and risk than many other investments, but the return on investment can be considerably important. Small businesses are a major part of the economy and provide jobs for a high percentage of the workforce in many western economies. They are also one of the best paths to long-term wealth for an individual and his/her family if the right business area is selected.
Everything depends on skills, knowledge, background, and interest. Success is hidden in a wide range of small businesses. From solo online service businesses to brick-and-mortar stores, restaurants and offices, there is no shortage of options when it comes to starting or investing in a small business.
Considering getting started, there is always a focus on one of the most profitable small businesses. Here are some of the best small businesses with the best profit margins. The list of the business areas below, don’t require an advanced degree. However, some do require a serious investment or a proper license.
It is a very good option. Nobody enjoys scrubbing a bathroom or a kitchen. Some people loathe it so much that they would rather pay someone else to do it for them. You can manage to hire a small team of cleaners as a first short-term stage, and outsourcing the actual cleaning.
The equipment is also simple and affordable during the start-off stage. All you need to start is a vacuum and some basic items from a local big box retailer or supermarket. If you can land a contract with a business customer, you can earn a higher-end rate than working with homeowners in most cases.
Invest in a few vans and some “smart” marketing and hire a few low-skilled but reliable workers, and you can be off and running with a profitable venture with immediate return on your initial investment.
Storage facilities require less manual work but more capital. Depending on where you live and invest, real estate property costs can make a storage facility a five-figure investment or a multimillion-euro deal.
But storage facilities require almost no training or labor. You just need someone to rent out units, handle basic customer service and property care and take care of tenant issues like evictions. For the most part, people’s stuff just sits there, and they pay you for the privilege.
Work with a trusted commercial real estate agent to get started with this type of business. You can also search for properties for sale online. Every country has its own character related to Storage facilities business. Therefore there is a need to consider the best target market and the right partnerships to make your first steps successful and give further perspectives for future expansion planning.
Accounting and related professions require just a license and a computer, depending on the official requirements per country. The most common professional designation for an accountant is to be a certified public accountant.
Basic tasks like tax preparation, bookkeeping and payroll don’t require a specific higher education credentials. As the business grows, additional employees may be employed, but this will always lower profit margin. However, everyone has to do taxes, and all businesses require accounting and bookkeeping. If there is the possibility of providing a quality service, it is one that will always be in demand.
More often than not, an accountant will have a degree in accounting, finance, business management or a related topic. Higher-educated accountants can demand higher rates and provide higher-value services, such as consulting and financial analysis.
Real Estate Sales and Management
You don’t need any specific degree to get into real estate. You can go from any background and hit the books to earn a real estate license in your state. Some may require a specialized broker’s license or property manager’s license to operate your own real estate office.
However, once established, it is another business that requires little more than a computer and personal time. Much of real estate is building relationships, creating a regular funnel of new clients and marketing properties for the fastest possible sale.
Typical real estate commissions are 6% of the sale price, split between the buyer’s and seller’s agents. Selling a typical GBP 250,000 home yields a GBP 7,500 payday for each agent. Put together managing to sell just two of those per month and it is close to quickly hit a six-figure income.
Copywriting or Content Development
Someone had to write the content of every website, large or small. Blog posts, white papers, articles, how-to’s, advertisements, guides, and other features require someone with native-level English writing abilities and impeccable grammar and spelling. If one can handle that, a career as a writer may ideally work as a business activity.
Copywriting is another high-margin business, as it requires only a computer and a competent brain to start up and thrive. Is there a real trend here? Yes, there is Low overhead that means high-profit margins. This type of business doesn’t require a physical office or employees. It doesn’t even require any type of equipment or machinery beyond a laptop or desktop PC.
Like any small business, the need to deliver a quality product and generate a steady stream of sales to earn a good income is of critical importance. But if this can be realised in a consistent way, a creative small business with just one employee or a small team is sufficient for a profitable venture.
Party and Event Services
If you can organize or provide party and event services, you can earn a good income doing so. Planners just need a computer, phone, and excellent communication and event skills. Other service providers, such as DJs and photographers, need the relevant equipment to provide their services.
No need, at least when starting off, of an office or expensive storage for most event-related businesses. Nevertheless, if things are done the right way, one can build a solid client base and turn it into a serious business.
Working with business clients in addition to individuals makes it even more lucrative.
The fewer employees you have, the lower the risk. Delivery capacity is the critical success factor related to the services ordered. Additional services like editing a video, may lead you not to be out of focus and start a business as a video editor instead of concentrating to the main body of services. Focus on personal skills, hobbies, and areas of expertise to provide the best results and build the best business reputation.