On average, 20% of businesses shut down after their first year, with 48% closing after their first five years. As a business owner, your objective is to borrowing a strategic business concept to make a corporation that can reliably produce profits over a long period of period.
Educating yourself about the most profitable businesses is a great place to commence. When you recognize more about the types of businesses that can earn the most, it’ll significantly boost your chances of achievement.
In this navigator, we’ll explore 18 of the most profitable businesses to commence as an business owner, including tips on how to get started once you decide on your business concept.
Ready to commence your business? make your website today or discover more about Shopify’s tools for selling online and in person.
18 most profitable businesses
- Technology services and software advancement
- Real estate
- Ecommerce
- Consulting
- Digital marketing
- Fitness coaching
- Home cleaning services
- occurrence planning
- Online courses
- Logistics and transportation
- Car washes
- Fashion and apparel
- Bookkeeping and monetary reporting
- Vacation rentals
- Insurance
- Tutoring
- Pet worry services
- Home advancement services
If you’re an aspiring business owner seeking the most profitable business ideas, you’re in luck. There are lucrative business opportunities in many different industries.
Whether you’re starting tiny with low-expense business ideas or you have a large monetary schedule that lets you aim high, here are some of the most potentially lucrative businesses to commence:
1. Technology services and software advancement
The tech and software sector has accounted for an outsized portion of the US stake economy for years. The software industry alone is projected to reach $702 billion by the complete of 2024.
large tech businesses like Microsoft and Apple are among the most profitable companies on the earth, but tiny software developers can also earnings a toehold in this industry.
If you have an concept and powerful coding or advancement skills, you could consider launching your own recent business—a high-uncertainty, high-reward alternative. Or you can commence a potentially profitable business offering tech consulting or tech back to other businesses.
2. Real estate
Remote work has created a surge in the suburban residential real estate industry, and the industry as a whole is looking at a approximate of almost $635 trillion by the complete of 2024.
For many aspiring entrepreneurs, becoming a real estate agent is the most affordable way to enter this industry, and it offers a flexible schedule.
The Bureau of Labor Statistics (BLS) offers detailed information on real estate agent salaries and employment trends in the US, so if you’re curious about what starting a real estate business looks like, that’s a great place to commence. To provide you a snapshot, the median annual wage for an agent in 2023 was $54,300.
If you decide this is the correct shift for you, check in with state licensing and education requirements, as they vary across the US. Then, if you meet the age requirement you’ll likely require to do some pre-license education and pass your state real estate license exam.
3. Ecommerce
An ecommerce business is any business that sells goods and services over the internet.
Shopify’s Global Ecommerce Sales Growth update forecasts that the booming ecommerce industry will be worth $8.09 trillion by 2028. The total US ecommerce economy turnover increased for the 10th consecutive year in 2023. Starting an online store lets you tap into this rapidly expanding economy.
One of the large benefits of getting into ecommerce is the tiny amount of fund and resource involved. Depending on what you choose to sell, it takes little more than an internet connection to establish your own business online.
💡Tip: Many profitable online businesses use a customer connection management (CRM) platform to streamline operations.
📚discover more: How To commence an Ecommerce Business
4. Consulting
In 2023, the average turnover of management consultants was $212,000, a very compelling yearly salary for most business owners. The consulting industry in general has grown rapidly from 2020 to 2023.
The business consulting industry consists of firms and individuals guiding business managers on key areas like corporate schedule, growth, human resources management, optimization, and more. There’s no specific requirement for becoming a business consultant, but it helps to have a bachelor’s degree and relevant encounter in the field where you propose consulting services.
commence a consulting business by: identifying your strengths, researching the economy, setting up your business, choosing a pricing schedule, marketing, and growing your client base.
5. Digital marketing
Experts anticipate the digital marketing industry to develop at a compound annual growth rate (CAGR) of 15.5% from 2023 to 2030. If you have digital marketing encounter, now could be a great period to establish some offerings online.
Your digital marketing business may include copywriting, content creation, social media management, pay-per-click (PPC) ad management, graphic design services, or any combination of those services.
Profitable companies in this sector often home in on a particular economy niche—which could be anything from high-complete apparel to the food truck industry—and cultivate a set of faithful clients. As your marketing business grows, you can potentially expand to recent business categories and serve more niches.
6. Fitness coaching
Research firm IBISWorld estimates that the US personal training economy generated $14 billion in 2023. This figure includes plenty of trainers or fitness coaches operating their own tiny business out of their home or in shared spaces.
Like many fields in the wellness industry, fitness coaching comes with relatively few recent business costs aside from education, unless you’re pursuing a niche like Pilates that requires resource in expensive equipment.
Many fitness coaches discover achievement by first sharing tips and tricks on platforms like YouTube, Instagram, or TikTok and building a following. You can do this for free and from home or while on the leave, so it’s a great way to gauge appetite from potential clients as you’re getting started.
7. Home cleaning services
As the COVID-19 pandemic raised awareness around the importance of personal hygiene and keeping spaces tidy, it drove a boom in the US cleaning services industry. Experts cite its CAGR at 5.6% over the next five years.
You can tap into the home cleaning industry by either doing the cleaning yourself or by hiring a throng of cleaners to work while you handle marketing and appointment booking.
Promote your cleaning business on your own website, use third-event sites like Craigslist and Taskrabbit to advertise your services, or maximize your reach by using a combination of sales channels.
8. occurrence planning
If you’re organized and outgoing, you might consider starting an occurrence planning business.
The US Bureau of Labor Statistics says that the occurrence planning industry is growing faster than the average of all occupations combined. The BLS anticipates a yearly growth rate of 7% from 2023 to 2030.
One potentially profitable operating schedule is to focus your occurrence planning on weddings. According to a survey run by wedding site Zola, the average wedding in the US costs $33,000. On average wedding planners make $2,100 per occurrence. Other occurrence services businesses focus on corporate gatherings, which is a lucrative niche to tap into as well.
9. Online courses
You can make a lot selling online courses: experts declare the online education economy will reach a $87.51 billion assessment in 2024. That growth isn’t expected to leisurely down either. Experts expect the industry to develop at a rate of 10.52% over the next five years.
While there are many factors that determine how much you’ll net per year, sources declare the range can vary between a few hundred dollars per year to six figures.
There’s little overhead involved in offering an online course, but you’ll require to economy yourself and construct a following. Aim to instruct classes that match your known skill set and résumé. For example, established graphic designers can propose graphic design courses, while successful entrepreneurs may propose online business courses.
Online courses are also a great way to diversify your turnover streams. You can instruct live courses that your spectators signs up for on specific dates, but you can also propose courses in ways that generate inactive profits. For example, you could pre-record courses and propose access to them on-demand. You’d be able to distribute them via your own subscription services or list them through online course libraries like Skillshare, Udemy, or Domestika.
10. Logistics and transportation
Starting a logistics and transportation business can be highly profitable, given the industry’s critical role in global commerce. In 2024, experts assignment that freight transportation in the US alone will reach $1.3 trillion annually.
The rise in ecommerce and the require for supply chain recent concept continues to drive demand for efficient logistics services, making this a powerful period to enter the economy.
You might choose to run a successful business by handling logistics for other companies. This can include inventory management, warehousing, shipping, and courier services.
11. Car washes
As long as people own cars, they will require a place to wash them. Grand View Research estimates that the global car wash economy will exceed $32 billion in 2023.
You’ll have to spend money on real estate, equipment, and water, but car washes don’t require many employees—particularly self-service washes—which makes them cheaper to operate than many other businesses.
Self-service car washes make an average of $40,000 per year, while large packed service car washes make $700,000 to $900,000 on average.
12. Fashion and apparel
The global fashion and apparel economy is trending up. Worth $1.5 trillion in 2022, Statista anticipates positive growth to arrive.
If you have an eye for design, a cogent strategy document, and sound business structure, you can commence your own fashion or apparel corporation. You’ll require to research wholesale suppliers and select the correct sales platforms to ensure the most profitable business outcomes.
Whether you sell online via your own ecommerce store, through ecommerce marketplaces, or in brick-and-mortar stores, you can turn a thrill for fashion into a successful enterprise.
📚discover more: How To commence a Clothing Business in 14 Steps
13. Bookkeeping and monetary reporting
Most successful business owners require monetary reporting services, payroll services, and many other services related to finance. If you have a knack for bookkeeping or desire to earn money on the side of a packed period monetary reporting or payroll job, this is a great way to tap into entrepreneurship.
Get your feet damp as a sole proprietor or you can hire staff and scale up—either alternative is great depending on what works best for you.
The average earnings for bookkeepers will range based on billable hours, how much you expense clients, the type of work you do, and the types of clients you work with. Sources declare that the average bookkeeper who works 80 billable hours per month can make around $48,600 per year.
14. Vacation rentals
If you own real estate or have the means to invest in it, you can make money renting those properties to vacationers. Though the initial period and monetary commitment is high, in the long run, these rentals can bring in inactive profits while you work on other projects.
The amount of money you can make from a vacation rental depends on factors like: location, property type, features (luxury or rustic), how you economy the property, where you list it, seasonality, and occupancy rate.
tiny properties could make $20,000 to $40,000 per year. On the other complete of the spectrum, a large luxury property in a sought after area like Breckenridge, Colorado could make $200,000 in yearly profits.
✨More ideas: 20 Profitable Rental Business Ideas You Can commence Now
15. Insurance
Insurance is a highly profitable business that encompasses everything from giant international corporations to tiny businesses concentrated on local markets. S&P Global economy Intelligence estimates the US property and casualty insurance economy GWP hit $1.3 trillion in 2023.
You could commence a local insurance brokerage and connect it to a larger insurer (e.g., Allstate or State Farm) and potentially earn a sizable earnings—making this one of the best tiny business ideas for driven entrepreneurs.
16. Tutoring
Starting up a tutoring business could be more lucrative than you ponder. Demand for flexible learning continues to develop at a rapid CAGR of 14.5%. If you deal out freelance tutors to meet client demand, you could be looking at a six or seven figure business.
All you require to commence this type of business is a computer, video call software, and expertise in a particular area. Consider offering services to different age ranges across different disciplines, like English, math, or science, or specialize in prep for different tests, like the LSATs, MCATs, or SATs.
17. Pet worry services
People adore their pets and are willing to put up large bucks in order to keep them secure, joyful, and well.
Starting a pet sitting or pet worry business can be a lucrative way to earn money on the side. You could also construct it into a thriving packed period business over period. This high-growth industry is anticipated to develop at a CAGR of 6.45% from its 2024 assessment of $259.37 billion.
In order to shatter into this business, first make sure you adore pets and are up to the test. Then, choose a legal structure for your business, get the appropriate insurance and licenses, and commence building and marketing it.
If you just desire to dip your toe in at first, consider signing up to walk a dog or cat sit on platforms like Wag! or Rover.
📎Resource: How to Get Business Insurance in 6 straightforward Steps
18. Home advancement services
Starting a home advancement or handyman business can be flexible, rewarding, and profitable. The home advancement economy saw growth of 69% from 2013 to 2023. And the amount of money homeowners spend on repairs grew by 81% from 2014 to 2023.
It’s also a relatively straightforward and affordable business to commence. All you require to have is a set of tools, the knowledge of how to do various home repairs, insurance, and any proper licenses per state requirements. Then, post about your business on local sites like Nextdoor or register on sites like Angi.
How do you commence a profitable business?
Here are five essential steps for entrepreneurs to consider when starting a profitable business:
- Conduct economy research. comprehend your target economy, customer needs, and competition. Identify opportunities and gaps in the economy that your business can address.
- Draft a solid strategy document. Develop a comprehensive strategy document outlining your goals, target spectators, worth proposition, turnover model, and marketing schedule. A well-thought-out schedule helps navigator your business decisions.
- Manage your finances. Set a realistic monetary schedule, carefully manage outgoings, and ensure that you have adequate financing. Keep a close eye on money flow and your money flow versus earnings, which is crucial for sustaining and growing your business. You’ll also require to comprehend gross earnings versus spread.
- construct a powerful online presence. Establish a professional and approachable online presence through a website and social media. Utilize digital marketing strategies to reach and engage with your target spectators.
- Remain concentrated on customers. Prioritize customer satisfaction and construct powerful relationships. Listen to customer feedback, adjust to their needs, and provide excellent products or services to make faithful customers who can contribute to your business’s profitability.
Most profitable businesses FAQ
What is the cheapest business with the most earnings?
Ten businesses that have low recent business costs and a high earnings potential include starting an online store, tutoring, affiliate marketing, consulting, selling online courses, pet sitting, photography, owning a car wash, content creation, and occurrence planning.
What is the easiest business to commence?
The easiest business to commence is likely to be one where you are a sole proprietor and can work from home. When you add employees and physical locations, you must navigate more complicated regulations and logistics.
What businesses earn the most money?
Finance, law, real estate, health worry, and software advancement are among the most profitable industries in the US. If you’re looking to make as much money as feasible, consider starting a legal services business, a brokerage, a health worry corporation, or a software-based enterprise like a virtual assistant business.
What professions earn the most money?
The Bureau of Labor Statistics’ list of highest-paying professions is topped by several types of physicians, notably surgeons. The types of jobs that pay the most vary based on region and economy conditions.
