Don’t let lack of finance drown your budding business. The success of a business is associated with hard work, dedication, and smart business operations. If you want to build your business at a low investment, all you need is a solid plan. It’s not money but passion that sustains every dream. It would be best if you took the right actions to bring your small business ideas to life.
As a small business owner, you must focus on some of the crucial business activities that might help you drive your dreams to the next level. Do not delay implementation; instead, look for unique ways to start a business that incurs low investment and high profits. The amount of time and money that you may have to invest depends on the business idea you are willing to chase.
The key to succeeding with low investment is to land on a profitable business idea that rids you from inventory, warehousing, and retail space costs. This article has compiled unique, low-cost business ideas and ways to grow your business even when your budget is low.
Profitable Ideas for Business at Low Investment
People often back off on the idea of starting their own business at low investment. It is primarily due to the fear of investing a considerable amount with a zero guarantee on returns. However, not all start-up opportunities require massive investments or upfront cash. You can start your dream business with just the right systems in place and a better understanding of your target audience.
Here, we have coupled a few profitable low investment business ideas that allow you to customize your business as per your time, ability, and passion.
Non-profitable organizations contribute to creating a better world. But they can do a lot more than just that. Social entrepreneurs are driven by the causes that can bring about a change in society. Such business owners work with a mission and allocate certain shares of their profits to a cause of concern. It helps them place their business higher in the market place.
Several surveys prove that nearly 90% of the customers are likely to purchase or swap to a brand that relates itself to a meaningful cause. Offering products and services and implementing a social good can help skyrocket your business at low investment. In case you already have a business idea, you can partner with a charitable organization to support its mission, as long as you maintain the transparency with your customers.
You can create blog posts to educate your customers on your business’s impact in a particular community. You can track the result that you have created for your customers and share it on various platforms. It works as a useful marketing tool for small businesses. You can grow as a leader of change. Thus, it is one of the most profitable low investment business ideas for people who want to start with a low budget.
Freelancing is one of the least expensive business ideas that is gaining immense popularity. If you have the right skill sets, you can start right away; all you need is a laptop. Freelancing is nothing but trading time and effort for money. The concept of freelancing and remote working is currently stemming in India with an extensive growth rate.
It allows individuals to work for various clients on a global market, allowing them to expand their horizons as freelancers. Whether its content development, PR professional, graphic designing, or other services, you can market and grow your freelance business with just a few thousand rupees.
The expenses that a freelance business might incur are significantly less. For instance, you might shell out money on some essential tools, accounting software, or wallet websites. But mostly, your labor input is your product, which makes the monetary cost of staying in business extremely low.
Not many people look at it this way, but books are just like any other product. As such, you can create one to meet specific market demands. There is a wide range of variety when it comes to launching books. Starting from comics, cookbooks, picture books, poetry books, picture books, coffee table books to novels, you can publish and bring various books to market.
Usually, books are printed as per the demand. Each book has several editions as per the number of times it gets printed on demand. It is safer when you start publishing on your own as it also provides you the control over the quality and appearance of the books. If you have the right skill sets and creativity, you can also sign up on various platforms that allow authors to create and distribute their books as physical and e-copies.
Launching your book is also a great way to monetize your blog articles. In case you are planning to start a blog, you can consider launching your book shortly. An author/publisher’s costs in establishing a book depend on the time taken to create and sell the book. If required, you can shell out some extra money on attractive graphics and page covers.
Create a Fashion Boutique Online
Fashion is more or less like food; no one sticks to the same menu. If you are love experimenting styles, you can become an influencer online. You can use various online platforms to create your boutique. You don’t need to be a fashion designer; you can select unique items from other sellers and blend styles in your online store.
From formal attire to fancy dresses, swimwear, and other accessories, you can create a wide range of products for your brand. Create eye-catching styles that can’t go unnoticed. Model your styles, upload the best pictures online. Use social media for its advantage, become a trendsetter of your type. Increase your fan base to create an impact on your brand.
Coaching is more or less like freelancing, where your time is your product. Likewise, you might also require some business tools to run your coaching business online. You might need software that supports the client’s sessions. For instance, you might need a video conferencing software for overseas clients or data collection software to stay updated with information before any meetings. The software tools are inexpensive and thus incur fewer costs.
Coaching is one such business where you can design your teaching programs as per your field of expertise and passion. If you are an expert in finance, you can help your clients effectively manage their finances. If you are particularly good at time management, you can train individuals as a productivity coach. The more experience you have in your niche, the easier it will win clients and get paid.
Creating online courses is just like creating any other material. Likewise, you might have to invest in specific tools. Creating online courses might require recording and editing software, video equipment, and other devices that offer higher production value. Alongside this, you can also create effective PowerPoint presentations with screen recording software.
You can provide extensive content on every possible subject or topic. You can offer courses that help learn to code, tricks to solve Rubik’s cube or train introvert individuals to be fun. Find out your field of expertise, and you will find a market for it—research over the online course sites that are the pioneer of the industry. There, you will find what works the best, and maybe you can create something better than that.
Steps to Determine How Much Money Your Business at Low Investment Needs?
Understanding how much capital your business requires goes beyond calculating the expenditure of marketing, technology, and administrative costs. Having a good strategy enables business owners to determine whether or not to raise capital before starting a new business. It helps harness better results and returns on investment by creating a self-sustainable business.
However, financial sources’ requirements can be easily understood by breaking it down as primary and secondary pathways. In the segment below, we have briefly explained various factors that you must consider while determining the capital costs.
Creating a Self-Sustainable Business
The primary goal behind investing in a business is to provide that initial kick that boosts growth by clearing the runway of self-sustenance. Plan your strategies in such a way that you are free from being permanently dependent on investors.
Constant intake of external capital injections might cause the death of a business. Businesses that operate by being entirely dependent on external capital sources may not always be a failure. But, being self-sufficient provides more comparative advantages.
Long-Term Capital Requirement
Some businesses require additional financing from time to time. In case your business is designed in such a way, you will have to save some extra time that you might need to raise capital and tackle other milestones.
Failure to do so, you will have to struggle and pitch for the right investors. If done correctly, relying on capital costs is certainly not a death warrant for the business. Thus, prioritize self-sustenance when you plan for your capital sources.
Project Your Expenses
Once you have successfully understood the self-sufficient and long-term ongoing capital requirements, you can start projecting your expenses over time to know the exact point at which you might achieve the milestone of being a self-sustainable business. Calculate the capital you would require for this timeframe to determine how much money your business will need.
Moreover, that is not all; there will be several goal milestones that you might encounter as your business may grow. Calculate for alternative milestones as making the best estimates helps put your business in an optimal and highly profitable position to determine the capital you need.
Alongside calculating the milestones, you will have to calculate various expenses that your business might incur from time to time. These expenses buckets include technology costs, marketing costs, and other daily costs required for business operations.
Lastly, prepare for the worst. Businesses do not necessarily start as per your plan. It might take longer or incur extra expenses as you proceed. If you want to be on the safer end, secure at least 130% of the amount based on your financial forecasts. It will provide you the safety over the unexpected capital costs.
How to Grow a Business at Low Investment?
We have drafted some of the great ideas to grow a business at a low investment. These action steps are well researched and do not cost you much money. So, start implementing your ideas right away! In case you face any problem, do not hesitate to reach out to our support team. We are ever ready to help you out.
1. Create a Comprehensive Business Plan
Antoine de Saint once said, “A goal without a plan is just a wish.” One of the crucial keys to unlock success with a low budget is to plan accordingly. It helps analyze your current situation and your business position in the coming years.
You must have a clear understanding of your finances, ideas, and other fields of expertise. Carry out comprehensive SWOT analysis. Figure out the amount of work you can carry out initially. Analyze how you can delegate to take your business to the next level.
2. Know Your Unique Selling Point
Often, business owners underestimate the power of the word “value.” Businesses must focus on solving the problems of customers and provide value. Alongside figuring out your critical skills and expertise, you need to determine how they can add value to your business.
If you fail to provide value to your customers, then who will buy your products or services? Look for the problems that people around you face and specify the problem that your business can solve. Implement your business ideas and create a comprehensive plan that can help you.
3. Create Specific Goals in a Given Timeframe
“Plan to work and work your plan.” Specify your goals in your business plan and execute them with the right mindset. This way, you can focus on the essential business operations. Divide these goals into long, medium, and short term. It lets you break the more significant tasks into effective and smaller portions.
Start with creating mission statements to set specific goals. Determine the timeframe you need to start your small business at low investment. Create road maps that will help you reach where your desire to be in the coming years. Specify the tasks and divide them into long term, midterm, and short term. Always specify the timeframe to accomplish a specific goal.
4. Implement an Effective Billing System
Put the right billing system in place to simplify your business operations. Right accounting software not only bills faster but helps make data-driven decisions. 40-50% of your real assets are counted by your accounts receivable. Do not pile your invoices and batch them all together. Create and send invoices instantly.
Delayed payments can hurt your business’ cash flow. It can hinder your business’ ability to sustain in the long run. Implement modern accounting software like Imprezz.in. It is the most reliable software in India that offers extensive accounting features. From creating invoices, tracking transactions to being an integrated marketing tool, the software is the best of all.
5. Create and Reinforce Digital Marketing Strategy
As a small business owner, it is ideal for you to use free sources. Various digital platforms enable you to promote your business organically for free. If you think it is necessary, you can also use paid methods of promotion. But initially, Facebook, Instagram, and Pinterest are ideal places to promote your business using free resources.
The merging digital world has made it a lot easier for businesses to reach out to their target customers. It would be best if you instead consider using these platforms from day one of establishing your business. Free modes of promotion might take a while to work, but it will be ready when your initial set up is good to go. Eventually, you will have more followers and an engaged audience on your business page.
6. Build an Extensive Network Amid the Business Circle
Not everyone in the business field is your competition. Networking with like-minded business owners can help you improve your client base and the overall business. In case you feel like networking is something you are not good at, learn that skill. As an entrepreneur, you need to step out of your comfort zone.
How to initiate networking? Start with sending emails and making calls. Various networking platforms enable business owners to reach put to ideal people. You might have to pay the yearly fees to attend the frequently held meetings from time to time. You can consider this as a significant investment. Networking is a symbiotic relationship that helps you grow together.
7. Increase Your Business Visibility
Increasing your business visibility online is crucial to create brand value. You will have to work on SEO (Search Engine Optimization) so that your business ranks higher in the search results. Remember, you need to claim your business on google.
Do not depend on third-party sites for your promotions. You will have to suffer every time they change their algorithms. Instead, create your site and make sure you work smart on increasing your business visibility.
8. Consistently Promote Your Business
Promotions play a vital role in creating a practical impact concerning your brand. Businesses must continuously promote their offers, features, and related news. Modern owners now promote their business through email footers, invoices, and email signatures.
Provide accurate and relevant information across the board. Implement an integrated accounting software that you can use as a tool for marketing as well. For instance, Imprezz invoicing software allows you to promote your business through customized invoice templates, quotations, and emails.
9. Reward Your Team
Your team plays a vital role in driving your business to greater heights. Reward them often as a thankful gesture for meeting those timelines and budgets. Likewise, do not be punitive when your team makes a mistake. Provide timely incentives to team members who perform exceptionally every month.
As a business owner, you must spend some extra time in educating and motivating your team members. Help them grow into executives who can calculate risks and take practical actions. Do not miss out on any opportunities that can generate revenue on innovations. Let your team become the best version of themselves.
10. Be Thankful to Your Suppliers
Your service providers may not be on your payroll, but they can do a lot more than just providing services for you. Suppliers can render help, give suggestions, and help improve your overall business for zero costs or any other expectations. All you need to do is show some thankful gestures towards them.
Work on the trade-off between refraining payments for as long as possible (while you still respect their payment terms and conditions) and exceeding expectations. Your suppliers are your well-wishers; they care for you as much as you care for your loyal customers.
11. Provide Giveaways to Your Customers
Gift your customers with something valuable or offer giveaways on your website, front desk, when you send them invoices or while you deliver them their desirable products. Anything you give, make sure it doesn’t incur extra costs to you. But, at the same time, ensure that its useful for your customers. For instance, you can gift them coupons, invites, or special discounts.
12. Maintain Active Presence on Social Media Platforms
As a small business owner, you must focus on having an active presence on your social media handles. Please respond to your potential customers’ DMs and comments when they express their positive reviews, voice complaints, or express their concerns about those channels.
At the same time, you need to maintain a balance between doing it right and overdoing it. Do not spam your followers. Research to know what platforms your target audience is using and focus on one or two of those platforms. Free promotions are sufficient, but you can try paid advertisements to expand your reach instantly.
COVID-19 Impact on Small Businesses in India
COVID-19 pandemic has globally changed the way businesses operated. Small businesses are adapting to the changes to survive the impact of the pandemic. There have been several predictions regarding the possible outcome of the current crisis. We have listed some of the crucial predictions that might help emerging entrepreneurs in India.
- Pandemic has wholly erased the scope for print materials, business cards, or brochures usually handed over manually. The social distancing measures have given rise to complete digitalization.
- As mentioned above, businesses adapt to the new functionalities and thus are adopting digital marketing tools and techniques instead of traditional practices.
- Businesses now prioritize building customer email list more than ever.
- Before the pandemic, remote work was beginning to grow in India. Now, it is more likely that remote work will enhance remote team co-operation.
- Entrepreneurs should further focus on implementing business ideas that create enduring value. Selling subscriptions can be a huge advantage for small businesses in the years to come.
- Sole proprietors are now rising due to pandemic. It has become easier than ever to outshine as a business on various online platforms.
Today’s world is driven by innovation and creativity. The times when small businesses set goals regarding funding projects, public appearance, or strategies to grow and expand are now long gone. Post pandemic, these default targets of SMEs in India are likely to change. Staying small, local, and dedicated can be the new trend.
Start by digitalizing your business operations. Grow your business at low investment by choosing remote work culture. Becoming an entrepreneur is now easier than ever. If you have the right skill sets and innovative ideas, launch your business online. We hope this article has helped you figure out how to drive your business towards success with a low budget.
If you are planning to implement business intelligence software, you must try Imprezz accounting software. It is an integrated invoicing tool that offers various features from creating invoices, managing purchase orders, tally integration to comprehensive marketing tools. Stay GST compliant with Imprezz.in.