The most successful companies start with a good business idea. For merchants with limited access to capital, the best business ideas require minimal initial investment in upfront and overhead costs and can be started from home.
Here are some popular low-investment business ideas with high profit potential.
Table of contents
16 low-cost business ideas with high profit potential
- Launch an online store
- Offer online tutoring services
- Participate in affiliate marketing
- Launch a marketing consulting business
- Sell branded merchandise
- Become a personal trainer
- Produce online courses
- Start a dog-walking or pet-sitting business
- Perform social media management services
- Become an event planner
- Create a car wash business
- Start a photography business
- Offer freelance writing services
- Start blogging
- Try content creation
- Explore career coaching
Earning high profit margins takes work, but it should also be satisfying. Luckily, aspiring entrepreneurs can start a business on a budget in several ways. Check out these affordable business opportunities, prioritizing the ideas that best reflect your interests and skills.
Launch an online store
Start an online business using an ecommerce platform like Shopify. Ecommerce platforms typically offer customizable themes, secure payment gateways, and comprehensive inventory and customer behavior reports.
Start by brainstorming online business opportunities that suit your strengths. Create a product or service that fills a marketplace need, and write a detailed business plan. Determine your target audience, define your brand, and develop marketing materials. With time and dedication, you can turn a small investment into a thriving online business.
You can also try your hand at dropshipping, a business model where a third party fulfills orders so you’re not holding stock or managing inventory. This can be one of the most profitable small business ideas for beginners, if done right.
Offer online tutoring services
Another side hustle idea to consider is providing tutoring services. Depending on your expertise, you can tutor subjects like English, math, and science, or specialized skills like computer programming and video editing. Or, consider starting a test prep business for standardized tests such as the ACT or SAT.
Online platforms like Wyzant and Preply can connect you with paying students for a small percentage of your fee.
Participate in affiliate marketing
Affiliate marketing means promoting another company’s products, services, or brand using an affiliate link that generates income whenever clicked. Affiliate marketing is a great freelance business idea that leverages your network to encourage actions like buying products, signing up for newsletters, starting free trials, or downloading apps.
Start by joining an affiliate program that connects you with companies willing to pay for affiliate partners. Explore the Shopify App Store for affiliate marketing apps. Although affiliate marketing can be an inconsistent source of income, you’ll earn more if you already have a robust social media following you can leverage.
Launch a marketing consulting business
If you know how to understand and develop digital marketing strategies, consider starting a consulting business. Services can include search engine optimization, email marketing, and social media marketing.
Start by offering your services to local businesses, and build your résumé and reputation over time. Launch a portfolio website that features your résumé and allows potential clients to contact you directly.
Sell branded merchandise
Selling branded merchandise like t-shirts, water bottles, and USB drives is a good option for graphic designers, social media influencers, and artists with preexisting audiences and clear brand vision.
For example, on an episode of Shopify Masters, entrepreneur Gourmet Délice shares how selling merchandise through Shopify benefits his record label, Bonsound. “There are only 24 hours in a day, and if your mind is only on the profitable business side, then it’s tough to create,” Gourmet says. Selling merch on Shopify has helped bands supplement the money they bring in from shows and generate sales with minimal time and startup costs.
To start selling merchandise, design your products and create mockups. Then, find a print-on-demand service like Printful or Printify. A print-on-demand model lets you offer a wide range of products without investing in inventory upfront.
Become a personal trainer
If you’re passionate about health and wellness, consider starting a personal training business. Personal trainers evaluate fitness needs, develop specialized fitness routines, and keep clients accountable. Although it can take time to build a client base, you can launch personal training services with minimal upfront costs.
Before advertising, check for personal training certificates necessary to start a business in your area, and secure the appropriate insurance.
Produce online courses
If you know a particular subject, consider launching an online course business. You can create online courses in various formats, including written, audio, and video. Creating your curriculum requires initial time and energy investment, but online courses can be a fantastic passive income idea once established.
Start a dog-walking or pet-sitting business
Naturally connected to animals? Start your own pet-sitting or dog-walking service with minimal upfront costs. Begin with pet parents in your network and grow your business as you gain positive referrals.
Perform social media management services
Social media marketing is a growing industry, with one report estimating that global social media ad spending will surpass $260 billion by 2028. If you have a knack for creating social media content, consider contacting local businesses and offering to help with their social media marketing.
Become an event planner
Launch an event planning business specializing in sourcing venues, crafting schedules, coordinating catering, and arranging entertainment. Event planning can focus on weddings, birthday parties, conferences, or corporate events.
Running an event planning business can be stressful, but skilled organizers can net profits without significant investments.
Create a car wash business
Launching a simple car washing service only requires investing in cleaning equipment and a good lead-generation strategy.
Start a photography business
If you’re a skilled photographer, turn your hobby into a business by launching a website with your portfolio and services.
Another option for earning through photography is to license photos to stock websites like Shutterstock and Getty Images.
Offer freelance writing services
Freelance writers create content for paying clients who need original material that aligns with their search engine optimization and content strategies.
You can create blogs, emails, advertisements, press releases, website copy, and product descriptions. If you enjoy creative writing, you could also offer ghostwriting services to clients who want to bring their book ideas to life.
Start blogging
The beauty of blogging is that it requires minimal upfront investment—often just a domain name and hosting. From there, you can write about your passions, whether travel, food, technology, personal finance, or anything else.
Once you establish a readership, you can experiment with monetization. Try joining an affiliate program to earn commission promoting products, sharing sponsored posts, and running ads. Or, explore selling digital products, like ebooks, online courses, and merch.
Try content creation
Content creation means generating written, visual, or video content for the web. Initial costs are typically low; you probably already own the required equipment, like a smartphone or a basic camera.
Start by creating content for platforms like YouTube, Instagram, or TikTok, showcasing your unique style and expertise. As you build an audience, monetize through brand partnerships, ad revenue, or launching a Patreon for your most dedicated fans.
You can also freelance as a content creator, since many businesses need engaging content. This could mean anything from writing blog posts to creating social media graphics for other brands.
Explore career coaching
Are you skilled at helping others navigate their professions? Career coaching could be your calling, especially if you can establish a niche. Do you want to coach recent graduates, professionals switching careers, or executives looking to improve their leadership skills? Once you’ve identified your target audience, you can market your services through social media or networking events.
As you gain clients, you might offer one-on-one coaching sessions, group workshops, webinars, and online courses. Many coaches charge a premium for their services—establishing a solid reputation through word-of-mouth referrals can boost your client base.
7 helpful resources for starting your low-cost business
- 70 small business ideas for aspiring entrepreneurs. Discover some of the most profitable business ideas for different niches and budgets.
- 12 best million-dollar business ideas. Get creative inspiration with this list of lucrative business ideas.
- How to dropship on Shopify. Learn how to make money selling products online without fulfilling orders yourself.
- AI business name generator. Brainstorm names for your business using Shopify’s AI helper.
- Shopify’s free logo maker. Design an eye-catching logo for your new business with our free logo maker.
- Free business card maker. Spread the word about your new business by creating on-brand business cards.
- How to write a marketing plan. Assemble a marketing plan that will help you attract customers and make sales.
Low-cost, high-profit business ideas FAQ
How much time do I need to invest in my low-cost business?
Your goals and business type determine how much time you should spend. Many low-cost ventures like blogging or content creation can start as side hustles but may require more time with growth. Profitable businesses like dropshipping or online courses can require upfront effort to establish but can be scaled at your own pace once they’re running.
Can I run a low-cost business while working a full-time job?
Yes, you can run a low-cost business while working full time. Many entrepreneurs start blogging, dropshipping, or freelance coaching on the side, contributing hours on evenings or weekends. Realistic goals and careful time management will help you avoid feeling overwhelmed.
What is the cheapest and most profitable business to start?
There are several low-cost business ideas with high profit potential. The list includes tutoring, affiliate marketing, launching ecommerce through Shopify, and more.
What business is the easiest to make money?
Plenty of businesses have high profit potential and low upfront investment requirements, including cleaning services, pet sitting, and freelance writing.
What is the best business to start with $1,000?
Examples of low-cost business ideas that you can start with as little as $1,000 include photography services, social media marketing, and tutoring.
How do you start a small business?
Start a small business by brainstorming ideas, researching the market, defining a target audience, and honing your product or service. For online businesses, launch an ecommerce store through an integrated and user-friendly platform like Shopify.
