In this blog you will look about small business which will be best suited to start in 2023. But before that you should some basics of business and its types.
What Is Business?
A business can be described as an organization or enterprising entity that engages in professional, commercial or industrial activities. There can be different types of businesses depending on various factors. Some are for-profit, while some are non-profit. Similarly, their ownership also makes them different from each other. For instance, there are sole proprietorships, partnerships, corporations, and more. Business is also the efforts and activities of a person who is producing goods or offering services with the intent to sell them for profit.
Types of Businesses
Various businesses are organized per some type of hierarchy or bureaucracy. In these businesses, the positions have a customary role and responsibility.
As per business definition, we see that different types of businesses are:
Sole Proprietorship: In this kind of business, a single person owns and operates the business. There isn’t any kind of legal separation between the owner and business. Thus, the onus of legal plus tax liability is on the owner.
Partnership: As the name suggests, it is a business where two or more people run it together. The partners bring in resources and money, and then the shares in the profit or loss are divided amongst them.
Corporation: In this business, a group of individuals act together as a single entity. The owners in this business are called shareholders. They discuss their views on the common stock of the corporation. There are unfavourable taxation rules in a corporation for the business owners.
Limited Liability Company (LLC): It is not as old as the other business structures. It merges a partnership’s pass-through taxation benefits and a corporation’s limited liability benefits.
Different Sizes of Business
Small Business: There are different sizes of business. Small businesses are companies where small owners (an individual or a small group) operate. For instance, family restaurants, clothing companies, home-based companies, and publishing companies. In this type of business, the profits are not that high but just enough to continue the business operations.
Mid-sized Business: These businesses rake in millions of dollars in revenue. Usually, it ranges from $50 million to $1 billion. They are established better than a small business. The employee base of these businesses ranges from 100 to 999 people. For instance, Colorbar Cosmetics is a mid-sized business.
Large Business: This kind of business usually operates as a corporation. It has an employee base of 1000+ people, and its revenue production is more than $1 billion. Usually, these businesses issue corporate stock to finance their operations. Thus, it is publicly traded. As a result, it must report on certain things and operate restrictions. This is the opposite of a small business, where operations are independent of regulators. Amazon and Walmart are examples of large businesses.
Business Industries
There are different industries in which businesses operate. A certain company can define its business by the particular industry. For instance, there are industries of real estate, agriculture, advertising, banking, and more in which businesses exist.
Here is the list of most successful businesses-
Amazon: The largest online retailer, Amazon sells a wide variety of products on its ecommerce platform. It began as an online bookseller and captured almost every category of retail. It also offers cloud computing services, movie and show streaming platforms and subscription products.
Apple: It is a renowned company famous for its innovative electronic products. They sell personal computers, smartphones, earphones, watches, and laptops. Similarly, they also provide various services like music and video streaming and production services.
Walmart: Being of the most successful retailers globally, Walmart is a multinational corporation that runs a chain of hypermarkets offering a huge variety of products ranging from family apparel to housewares. It is present in 24+ countries and has millions of employees worldwide.
Let’s know more about Business
What is business plan?
Business plans help run your business and secure the fund needed to start the operations. There are two ways- traditional business plan or lean business plan. The former is full of details like the company’s summary, plan for success, product information, sales projections, etc. The latter one is not that detailed but has necessary information like details of the partnership, cost structure, revenue stream, and more.
How can one start an online business?
An online business is different from a traditional business. You need to design your website after your market research, business plan development, and paperwork formalities. After that, start finding ways to build up your target market and engage your audience with social media platforms.
How can one start an online business?
An online business is different from a traditional business. You need to design your website after your market research, business plan development, and paperwork formalities. After that, start finding ways to build up your target market and engage your audience with social media platforms.
TO KNOW MORE ABOUT ONLINE BUSINESS, YOU CAN GO THROUGH-
NOW DIVING INTO THE 11 BEST SMALL BUSINESS IDEAS.
1. Breakfast Joint/Takeaway Counter
Food being one of the three basic necessities of life makes it a top choice for people to indulge in and open up a business in F&B (Food & Beverage) Industry. This is why as a small-scale business idea, food joints will never run out of customers, as long they serve delectable food. Of course, a start-up business does not need to be a full-fledged restaurant from the start. One can start with only a few key dishes such as a wholesome traditional breakfast with optional snacks as an add-on.
2. Juice Point/Shakes Corner
As more and more Indians grow health-conscious, fresh juices without preservatives are emerging as a popular healthy alternative to cold drinks. This is why the humble juice bar has made this small business ideas list for India as a top option for a potentially successful venture. While one is at it, diversification into related drinks especially (perhaps less healthy) summer drinks like lemonade, buttermilk, and lassi might also work out well for this small business. Of course, one can decide to go the whole hog and get started with a fully-loaded food truck instead. As long as the food/drinks provided are of high quality and all the requisite permits are in order, ensuring the success of this business idea should not be too hard.
3. Tailoring/Embroidery Shop
As far as successful business ideas go, this one is based on another basic requirement of life – clothing, so the size of the market includes well, everyone. As a start-up businesses, tailoring and embroidery have been around for decades and most are usually home-based businesses that receive and complete orders on behalf of small boutiques. But being a tried and tested idea does improve its chances of emerging as a successful future business, especially in larger cities where tailoring services are in high demand. Obviously one needs to undergo the requisite training and ideally should have sufficient experience in order to improve the chances of succeeding in this small-scale business venture.
4. Online Business
Small business ideas have the potential to grow into huge businesses over time and the emergence of the Internet along with related technologies can definitely help out. It is proven that small businesses with an online footprint tend to do better than those that do not have an online footprint. So amazingly, this start-up business idea is focused on providing a range of online services to various small and medium businesses. This is the reason why social media experts, influencers, YouTubers, critics, SEO experts, website designers, and developers are in high demand these days. Such businesses require only smartphones, basic computers, software, and a high-speed internet connection.
5. Blogging/Vlogging
If one has to pick a single money-making idea from a list of internet-based small businesses from home, blogging, and vlogging (video blogging) have the potential to be money-spinners. As long as it is interesting, it does not matter what one writes or makes a video about. Even many top-rated performance artists, including stand-up comedians, have considered this as a potential way to expand their reach. The goal is of course to maximize the number of views or readers of the vlog or blog through the creation of interesting content. In the case of certain vlog platforms, one gets paid based on the number of views while in the case of most blogs adverting revenues generated through Google AdSense help the business make money.
6. Cookery Classes – Online/In-person
In case a skillful professional cook does not fancy the idea of slogging it out at a restaurant or food truck business, there is an alternative – cookery class. This is a unique trend that’s catching on among urban and semi-urban families in India, as something that people create something that’s delicious yet healthy. What’s more, it is even possible to carry out these classes both in-person and online or one could make a vlog teaching others the intricacies of culinary skills. The scope to expand and monetize from potential market segments that one might not be able to reach otherwise increases manifold by taking advantage of the online route.
7. Daycare Services/Baby Sitters
In today’s modern India, the concept of crèches in the office for working mothers is yet to catch on and as more women enter into and stay on in the workforce even after marriage, it is obvious that the demand for daycare services will continue to rise in the near future. As a full-time occupation, daycare services, crèches, and even babysitting have been around for years, if not decades, especially in the larger cities that have a larger number of working women and nuclear families.
8. Wedding Bureau
Weddings are made in heaven but arranged down here. Besides marriage online portals, wedding bureaus are more prevalent in small cities and towns. Families consider meeting other families in person before coming up with any decision. Therefore, small office space, 1-2 staff members, a registration certificate, and contacts can make you a successful businessman.
9. Tour Operators/Travel Agency
A couple of certifications and an attractive office at a prime location can help you start and run a travel agency or to become a tour operator. A successful travel agent is one who can make others travel at ease and convenience for its customers. Good knowledge of domestic and worldwide itineraries, sightseeing, flight fares, and hotel rates, can be really helpful.
10. Ice cream Parlor
Despite being a seasonal business, still, ice cream parlor is a big hit in terms of small businesses. Investment required in doing this manufacturing business is buying the franchise of any specific ice cream brand and secondly having a shop to place the counter in the desired location.
11. Coaching Classes – Online/In-person
Education is a field of diversity and a good low-cost business idea. Financial break-even is easily achieved and it’s not a full-time business.
FAQs.
Q1. Where should I incorporate my business?
The standard answer to this is Delaware because of its well developed corporate law. My answer is that it should be the state where the business is located, as this will save you some fees and complexities. You can always reincorporate later in Delaware.
Q2. How can I come up with a great name for my business?
This is difficult. First brainstorm with a bunch of different names. Then do a Google search to see what is already taken, and that will eliminate 95% of your choices. Make it easy to spell. Make it interesting.
Q3. What are the biggest challenges to starting a business?
The answers are:
- Shortage of capital and cash flow
- Having a good business plan
- Coming up with a great product or service
- Sticking to it
- Working more than you expected
- Getting through the frustrations of being constantly rejected by customers
- Hiring good employees
Q4. What kind of business should I start?
A business that
- You are passionate about
- Doesn’t take a kazillion dollars to fund
- Has the potential to grow into something big in a reasonable time frame
- You have some experience in (avoiding the problem of “you don’t know what you don’t know”)
- You would enjoy doing (don’t build a business that you will dread going to everyday)
- One that can cause meaningful improvement in users’ lives
Q5. How can I protect my great idea?
Ideas are a dime a dozen. It’s the actual implementation of an idea that is more important. If it’s truly unique, get a patent for it (see www.uspto.gov). You may get some protection through copyright, trade secret programs, or NDA’s, but not a lot.
