How to Start a 7-Figure Cell Phone Repair Business (2024)
July 8, 2020
This article is all about starting a cell phone repair business that’ll blow all the other repair shops out of the water. Once you start your repair business, you’ll be able to tap into this lucrative customer base.
And then, as far as earning potential goes, THE SKY’S THE LIMIT!
To ensure that this article contains the most up-to-date information about cell phone repair, I talked to Joe Pilat, of Joe’s Gaming & Electronics located in Deming, Washington. He owns a business that buys, sells, and repairs brand name electronics—including cell phones.
The name of his business is Joe’s Gaming & Electronics. In just three short years, he turned his business into a multimillion-dollar empire with 30 employees. Here’s a photo of him and his team:
Joe’s Story
Joe began his entrepreneurial journey eight years ago. That’s when a buddy of his gifted him a Game Cube. He tried to sell it to Game Stop, but they only offered him a measly five bucks for it. Joe knew he could get more than this pathetic amount. So, he went home and created an Amazon account to sell the game console.
Joe quickly found a willing buyer. Although he lost money on the deal because shipping cost him more than he made, Joe still got more than he would have at Game Stop. That single transaction turned him into a raving eCommerce addict.
This utterly transformed his life!
Next, he bought a whole bunch of Nintendo merchandise on Craigslist. That led to him buying more stuff he could flip for cash. His cell phone started blowing up with endless payment notifications, and he soon had a highly profitable business on his hands.
Within two years, he was able to quit his day job. He also dropped out of college, because the experience of selling consumer electronics provided him a real-life educational opportunity college could never compete with.
Starting a cell phone repair business really isn’t that complicated.
You just need the right tools, some basic repair skills, and a killer marketing strategy.
So, what are you waiting for? Let’s get started, so that you too can follow the exact same steps Joe followed to create his own multimillion-dollar cell phone repair business! If you want to watch our interview with Joe, you can do so right here:
Follow this step-by-step guide to get more information.
Step 1: Come up with a cell phone repair business plan.
Joe didn’t follow this step. When I asked him about it, he said:
I did not create a business plan. Just started to fill in the gaps in the market where we saw it.
However, you might want to make sure you create one. A business plan takes a vague idea floating around in your head and gives it solidity. It helps ensure that your business model is a viable one. It can be a formalized, highly complex document. Or, it can be a short, outline scribbled on the back of an old envelope.
Here’s what one looks like:
Start by figuring out who you’re writing it for. If you’re pitching for investors, include things like return on investment and your exit strategy. If it’s for your own use, you can leave this stuff out.
Here are some of the sections you might want to make sure you have for your cell phone repair business:
- EXECUTIVE SUMMARY: This is an expanded version of your elevator pitch, and lists all the reasons you’re writing your business plan. The executive summary is the first thing interested parties will see, but it will be the very last thing you write. Readers will either be captivated by your idea and want to read the rest of the plan, or, they’ll get bored and won’t.
- BUSINESS DESCRIPTION: This is a concise overview of your cell phone repair business. What is it about your business that’ll make it a runaway success? Describe, in excruciatingly exact detail, how your company is uniquely positioned to meet customers’ needs.
- OWNERSHIP: This is how you’re going to structure your cell phone repair business. When you’re starting out, you’ll probably be organized as a sole proprietorship.
- MANAGEMENT AND ORGANIZATION: Who’s running the day-to-day operations of your repair business? Write about the experience of each person running the company, including you–the owner. Interested parties are going to want to know how each team member fits into the organizational structure.
- MARKETING: How do you plan to promote your cell phone repair business? Write about your marketing strategy and how it’ll drive more customers through the door. Whether it’s by word of mouth, social media, or something else, it’s important to plan it out.
- MARKET ANALYSIS: Here’s where you list five similar repair shops and evaluate how they stack up to your own. Rigorously evaluate your competitors, describe the industry you’re working in, and provide a little info on your target demographic. A fantastic thing to do is to list five repair shops similar to yours and how they stack up.
- OBJECTIVES: How will you know when your repair business is successful? You won’t know that unless you establish specific metrics.
- TARGET MARKET: Who’s your ideal customer? List all the attributes you can think of that make up customers you’d think you should be targeting. This is known as a customer avatar.
- FINANCIAL PROJECTIONS: Here is where you take your objectives and translate them into figures backed by hard data.
- REQUEST FOR FUNDING: Include current and future funding requests, so investors and lenders will know how much debt you’re potentially taking on.
- FINANCIALS: Here’s where you’d put your financial projections. Normally, they’ll want to see past financial data, but since you’re just starting this company, that documentation is most likely nonexistent.
Step 2: Make real-world experience part of your education.
College might not be the best choice for people who want to be entrepreneurs.
That’s because entrepreneurs learn best by actually doing things. To become a top-notch business owner, hone your skills by perfecting them out in the real world.
Ever since that momentous day when he decided to pursue his ambitious dreams, he’s acquired a world-class education without going to college while making TONS of cash in the process.
Step 3: Get some equipment and supplies.
If you’re starting a cell phone repair business from scratch, you’ll need some tools. Try to not waste money on cheap ones because they’ll only end up breaking. Joe uses Hakko for all his soldering equipment. As for other types of tools, see what repair industry professionals recommend and buy those.
As you grow your cell phone repair business and have a little more money in the bank, you’ll be able to afford fancier tools to do fancier repairs with. A piece of equipment might cost several hundred dollars. But if it lets you do cell phone repairs many competitors can’t do, it becomes an excellent investment.
Step 4: Acquire the necessary skills.
Starting a cell phone repair business doesn’t require an expensive college degree or a formal training course. Sure–you can go to a cell phone repair school or a technical institute, but you don’t have to. That’s because everything you need to know about mobile repair you can learn from YouTube videos.
That’s how many cell phone repair shop owners began their entrepreneurial adventure. It’s an incredibly easy way to get started!
Here’s what Joe had to say about skills:
We spend thousands of hours taking things apart and making internal repair guides to fix electronics that no one wants to. Over time we have experience with general electronics and most electronics are the same after you get them down. It’s common for us to buy a brand new item and tear it down completely. This will then allow us to be able to replace any parts that fail on that unit in the future. Skill is trained over time.
Step 5: Find a location that’s right for you.
When you’re starting a business, you can always run your cell phone repair shop out of your home. That’s what Joe did. He first operated out of his bedroom, then his parent’s garage. What’s great about working from home is you don’t have to shell out a single dime for rent.
There might come a point when you’ll want a repair shop that’s separate from your residence. This could happen if your cell phone repair business gets way too big to operate out of your garage or bedroom.
If you’re going to have walk-in traffic for your cell phone repair business, make sure you find a place that’s convenient for customers to get to.
If you’re only doing mail-order business like Joe does, this won’t be a factor.
Step 6: Assemble a team of dedicated ninjas.
When you’re just starting out with your cell phone repair business, you’re probably going to be a company of one.
However, there might come a time when business is booming so much, you have to bring on additional employees.
If you want your cell phone repair business to skyrocket to stratospheric heights of success, forge partnerships with people who have a singular passion for your company’s mission. These are the guys (and gals) who are going to make all the work happen. So, make sure you’ve given them everything they need to be resoundingly successful.
Employees who have a passionate intensity for the work is vastly more important than employees who have skills. Here’s Joe again:
Skills don’t really matter. What’s important is attitude and amplitude. How high can you go? And how well can you work with this team?
Step 7: Fund your business with your profits.
You only need a shoestring budget to fund a cell phone repair business because you only need a minimal amount of inventory and tools. Here’s Joe again on how he funded his own company:
Funded it by selling products and investing back into my business. Started with a $10 GameCube. Sold it for $35. Used that $35 to buy more inventory and sold that for $200. Took that $200 and bought more stuff to sell etc…
Step 8: Create an effective marketing strategy.
Experiment with different marketing strategies for your cell phone repair business and come up with one that’s effective. In Joe’s case, his plan has continuously evolved over the years. His current approach is to let the work speak for itself. He does this by having hundreds of YouTube videos showing people how they can repair their own cell phones and other devices.
His company has lots of tutorials on how to repair iPhones and other cell phones, Xboxes, wireless earbuds, and so much more. Viewers can purchase the parts and tools they need to complete the repairs. This organic funnel has dramatically increased business revenues.
Create a brand identity.
You need to create a brand identity for your cell phone repair business with an eye-catching logo and a compelling description of what you’re all about. Many business owners think that coming up with a company image is only for such corporate behemoths like Walmart, Apple, and Coca-Cola.
This is outdated thinking!
These days, even a small business can benefit from creating brand awareness so powerful, it gets customers to sit up and take notice. By making the customer aware of what value they’ll derive from your service, you’ll give your brand awareness an extra “oomph.”
Joe brilliantly uses his website to build brand awareness. For example, it’s visually elegant, with only two colors that provide an attractive simplicity that draws people in without overwhelming them.
His “About” story is folksy and humorous. I love these words from his “About” page:
This kind of language puts a human face on his business. As human beings, we have an intense desire to deal with fellow humans, and not companies that sound emotionless and robotic.
Step 9: Start out organized and stay that way.
For Joe, starting out organized and staying that way is the only way to operate a repair shop at optimal levels of efficiency.
In Joe’s shop, everything is organized to the nth degree. There are QR codes everywhere you look—even on the garbage cans! If you want to learn the most efficient way to do something in Joe’s business, all you have to do is to scan a code.
Then, a video pops up showing you the best way to do that task!
Joe put something called a “Kanban card” in every box of parts. “Kanban” means “signboard” or “billboard” in Japanese. Joe and his employees place these Kanban cards exactly at the point in the box when more inventory needs to be reordered. An employee scans the QR code on the card, the vendor receives the order, and more stock is on its way.
By using a system like this in your cell phone repair business, you’ll never run out of inventory. Never running out of stock means you’ll always have a steady supply of cell phone repair parts to make sure you fulfill customers’ orders.
Step 10: Learn to delegate.
One of the most significant challenges Joe faced in his entrepreneurial career was learning how to delegate. It was difficult for him to realize that he couldn’t do everything by himself–that he needed a team of dedicated ninjas he could trust to help him carry out his mission.
If you want your cell phone repair business to be successful, you’re also going to have to learn how to delegate. When your business grows to the point where you have a whole team of employees, you’re setting yourself up for failure if you continue to do tasks that are better handled by others.
So, trust your team to help you carry out your mission.
Step 11: Have a guiding philosophy that permeates every aspect of your repair business.
Learning about the way Paul Aker uses the Lean philosophy was a life-changing experience for Joe. Lean creates efficiency while eliminating waste. Paul took a concept practiced by many of the world’s top companies and made it easy for the average guy on the street to understand.
Joe uses the Lean philosophy to try to gain ten-second improvements every single day. He’s got a sign in his cell phone repair shop that beautifully says it all:
THE LITTLE THINGS ARE THE BIG THINGS.
People who want to work for Joe must first listen to Paul’s book, which is free on YouTube. This weeds out those who have a burning passion for improving themselves from those who don’t. If the prospective employee comes back after four hours (which is the length of the book), super excited to work for his repair company, Joe knows that person is a good fit.
That’s because Joe knows that this individual possesses the energy and drive that’ll make that person an indispensable asset!
Step 12: Understand the market you’re servicing.
Joe considers this to be one of the most important things you can do to make your business successful.
He says if you focus more on what the customers want, and less about what you want, you’re going to have a profitable cell phone repair business. You need to understand the consumer—what are they willing to pay for, and how much are they’re willing to pay for it. Once you determine that number, it’s going to be a lot easier to know what value you have in the marketplace. This will make you SO much more confident about your marketing efforts.
This is the way Joe puts it:
Customers tell you want they want. If you suck, they’re not going to buy stuff from you—it’s pretty simple. So, you just try to provide value to your customers rather than providing value for yourself.
Step 13: Always stay one step ahead of the competition.
As the owner of a cell phone repair company, you need to always be looking for ways to beat your competitors.
Here’s what Joe has to say about that:
I think anything can be copied. No one company has something that’s a million times better than the competition. That being said, our biggest leg up is the fact that we care. We have a great team that is obsessed with getting better. We are content but never satisfied with our results. That kind of stubbornness creates an environment of precision.
For the last three years, his cell phone repair company has been feverishly working on software that automatically sends a shipping label to a customer. The customer can then send his item to the repair center for free from anywhere in the United States. This provides the customer with an end-to-end solution, and they love that.
This has allowed their mail-in center to grow its revenues fifty times what they were before.
Although this software has exponentially increased the efficiency of its operation, this system can be replicated by many other repair businesses. However, Joe’s cell phone repair company is leading the pack when it comes to making the customer experience as easy and enjoyable as possible.
Step 14: Create more income streams by adding more services to your existing ones.
You might find yourself hitting a profit ceiling if repairing cell phones to good working order is the only service you offer. If that happens, think about branching out from cell phone repair and offer other things to your customers. For example, you can be like Joe, who, in addition to cell phone repair, fixes Fitbits, speakers, headphones, iPads, and more.
Step 15: Learn from your mentors.
Joe always looked up to his dad, who had a side business installing HVAC when Joe was just starting on his entrepreneurial journey. When his father turned 55, he decided he was done with his regular job. He then made his side hustle his full-time work
Joe took inspiration from this and decided to do the same thing. Joe’s father’s hard work and determination showed him how incredibly rewarding these traits could be in business.
On a more strategic level, Paul Akers was a tremendous help for Joe. Lean manufacturing powerfully transformed Joe’s cell phone repair business. Joe knows that incremental improvements lead to lasting success, and Joe’s company has greatly benefited as a result. We highly recommend that you watch Part 1 and Part 2 our interview with Joe on the topic of lean manufacturing. Here’s the preview of it below:
Step 16: Be persistent.
The first thing you’re going to have to do is to when starting a business is to work on your mindset so that you’re like the T-1000 robot from Terminator 2. This was the prototype Terminator sent by Skynet and made from something called a “mimetic polyalloy.”
This formidable liquid metal monstrosity relentlessly pursued Arnold despite having numerous obstacles thrown at him. And even when Mr. Schwarzenegger blasted the entity into a trillion nanoparticles with his trusty 1887 Winchester 12-gauge shotgun, the mechanical shapeshifter always managed to put himself back together again. This is the kind of determination you’ll need to have if you want your cell phone repair business to be a smash success.
Here’s how Joe puts it:
Be patient. Be firm. If you believe in the mission and it doesn’t get done in one day, don’t worry about it. Just keep pounding the pavement, and eventually, with the right team and processes, you’ll make it where you chose to go.
What’s the downside of a cellphone repair business?
- THIRD-PARTY LIMITATIONS: Many cell phone brands won’t let a third party business repair their stuff. However, Apple allows independent repair shops to repair out-of-warranty iPhones if they have an Apple-certified technician on staff. The only problem is that new phones are off limits, and the certification is expensive.
- LOCATION ISSUES: If you’re working from home, there’s going to be distractions galore, so you won’t get as much done as you would working at an office. On the other hand, if you work out of a dedicated storefront, you’ll be incurring a mortgage or lease expense.
- MARKETING EXPENSE: If you’re not careful, marketing costs can quickly add up. Billboard and radio ads, mass mailings, and Google AdWords can be expensive. If you’re creative, you can effectively market your cell phone repair business with little money—you can even start on a shoestring budget.
- EQUIPMENT COST: When you’re just starting out repairing cell phones, you’ll have to buy some basic equipment. While some stuff is cheap, other stuff can be quite expensive.
How much does a cell phone repair business make?
How much you make depends on how many cell phone repairs you can do and how good your supply chain is. However, many cell phone repair businesses have HUGE profit margins.
When you start a cell phone repair business, you might see a profitability rate between 80 and 100%! If you charge an average of $75 per repair and do 15 repairs each week, your weekly gross earnings will be $1,125. With an 80% margin, your weekly profit would be $900.
Not too shabby!
There are also cell phone accessories to sell, which will increase your bottom line even more. Of course, if you’re ambitious like Joe, you can scale your business to stratospheric heights. Then, there’s no limit to how much you can make!
Is mobile repair a good business?
Joe got into business because he loves to help people. Here’s what he has to say about that:
We have one core value, and that’s love. Love is the most important part of our business. It’s loving our team members, loving our customers, and loving the product we sell.
If you provide your customers with impeccable service, assemble a team of employees who care deeply about your company’s mission, and establish good procedures, chances are good your repair business will be successful.
Get started now with your cell phone repair business, and you too can scale to unimaginable heights!
Author
Norm Tedford
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Ever wondered how some small businesses are making millions even though the small business owner appears to be on a never-ending vacation?
They are making a living participating in some of the best small business ideas from home. Home-based business ideas can be extraordinarily successful. We’ve interviewed small business owners who’ve made millions in all types of businesses.
By the end of this article, you’ll have dozens of ideas for businesses you can run from your own home and be ready to take your first steps toward launching your successful home-based business.
[su_note note_color="#dbeafc"]
We’re going to share some of the most successful work-from-home ideas and answer some commonly asked questions, including the following. (Click any of the links to jump to the section that interests you most.)
- Work-From-Home Business Benefits
- Work-From-Home Business Drawbacks
- What Makes Successful Home-Based Businesses?
- 27 Profitable Home Business Ideas
- How to Start a Home Business
- Choose Your Own Business Idea [/su_note]
Work-From-Home Business Benefits
According to Indeed, home businesses are beneficial because they:
- Streamline communication: When you work from home, you will have documentation of all business communication at your fingertips all the time.
- Increase productivity: You won’t waste time driving to work every day.
- Expand your talent pool: Provides access to a global workforce if you hire employees who can work remotely.
- Save time: Driving to work, getting dressed, preparing a lunch then taking a lunch break all take time that can be reduced or eliminated with at-home businesses.
- Removes job barriers: Some people don’t have cars. Those without cars have more opportunities with work-from-home businesses.
- Provides more comfort: People buy what makes them comfortable, while businesses buy what gets the job done. A business from home combines the two.
- Increases freedom: Running your business from home means you can set your work hours or even work while on vacation. Local businesses without employees are an exception to this point.
- Increase job satisfaction: All the things I listed above increase job satisfaction.
- Reduce turnover rate: Small business owners with remote employees will have lower turnover because the employees have more freedom.
- Reduce overhead costs: Combine lower turnover with less space requirements and the ability to deduct part of your home expenses as business expenses to reduce overhead costs.
- Improve brand reputation: A more satisfied workforce will make customers happier and improve your brand.
- Provide global insights: Employees from all over the world can share their experiences.
- Enhance sustainability goals: Working from home reduces almost all carbon dioxide emissions compared to the average commute to a place of business.
- Increase business hours: If you have employees, they’ll likely be in different time zones, meaning you can support your customers more hours of the day.
Meanwhile, there are some disadvantages of working at home that we’ll discuss next.
Work-From-Home Business Drawbacks
While we all love the freedom to work when and where we want, home business owners may face:
- Reduced learning opportunities: Interacting with people often means learning new things. When you run a business from home, your interactions with others decrease.
- Missed social interactions: Many people make friends with their employees and coworkers, but you might never meet them if you run a home business.
- Lost innovation opportunities: The dynamics when people with different expertise get in the same room can lead to huge jumps in innovation, and that’s unlikely to happen when you start a home business.
- At-home distractions: People at home are hopefully fun to be around, so they’ll probably distract you.
What Makes Successful Home-Based Businesses?
Home business ideas need to have certain characteristics to be successful. The main things you need to consider are:
- Training required
- Initial investment
- Managing inventory
- Web-based potential
- Staffing
Training Required
Starting a home-based business idea that you don’t have any experience in can be difficult. The more training you need, the more it will cost and the longer it will take to start a business from home.
Initial Investment
When you start your own business from home, you want it to be inexpensive to start. Low startup costs make it easier to become profitable. Ideally, you should be able to start a new home business idea by purchasing a website and building your company from there.
Managing Inventory
You don’t want a small business idea that requires a lot of space for inventory. If you’re going to sell products, consider a dropshipping business and have a fulfillment center manage the inventory. Alternatively, use print-on-demand.
Web-Based Potential
A home business idea will normally be an online business that relies heavily on digital marketing skills. As long as you have a computer, you should be able to start your home business idea for under $1,000.
Staffing
A home-based business idea that needs people to work collaboratively will often be problematic because of how disconnected employees may be from each other.
Local service businesses are commonly the exception because all employees have to be in the same location. Neel Parekh found a way to run a $1.5M remote cleaning business. Find out how.
[su_youtube url="https://www.youtube.com/watch?v=kVyLriqFVdc"]Get ready to learn about the best at-home business ideas.
27 Profitable Home Business Ideas
Job #1. Business Consultant
• Average Annual Revenue: $364K
• Average Profit Margins: 6.4%
• Startup Costs: $1K-$3.5M
• Time To Revenue: 6-18 months
• Annual Market Growth Rate: 2.2%
• Best for: Executives and business leaders, entrepreneurs with management or business expertise, people with strong analytic, problem-solving, and communication skills
According to Business Insider's 2022 report, being a business consultant ranks as the fourth most lucrative side gig. With the potential to rake in as much as $98 per hour, it stands out as one of the top-paying self-employed occupations.
A consultant's main responsibility is to assist business owners in optimizing their operations. This necessitates a solid grasp of effective business management. Many successful consultants transition into freelancing roles after amassing experience in the corporate sector or as accomplished business proprietors.
In this field, hands-on experience carries more weight than formal education. If you possess a wealth of business knowledge, a bachelor's degree (or even a high school diploma) is not a prerequisite for flourishing as an independent consultant.
Idea #2. Social Media Management
• Average Annual Revenue: $82K
• Average Profit Margins: 6.9%
• Startup Costs: $100+
• Time To Revenue: 1-6 months
• Annual Market Growth Rate: 1.3%
• Best for: Entrepreneurs skilled in social media, marketing strategies, data analysis, and similar areas
Social media managers will perform tasks like creating and scheduling posts, interacting with customers, and other tasks that help you interact with customers more effectively.
Idea #3. Nanny or Childcare Services
• Average Annual Revenue: $143K+
• Average Profit Margins: 0.9%
• Startup Costs: $0-$1K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 51.7%
• Best for: Teachers, tutors, babysitters, parents, caregivers, compassionate and patient entrepreneurs with strong organization and multitasking skills
Childcare services are experiencing a surge in popularity, particularly in rural regions, where nearly 60% of families lack necessary access. Even in urban settings, parents can have trouble finding dependable childcare options. This escalating demand is anticipated to fuel a Compound Annual Growth Rate (CAGR) of 12.8% for the overall childcare market until 2027.
Since its inception in 2011, Twinkle Toes Nanny Agency has expanded to encompass over 20 locations, boasting a combined annual revenue of $11.2 million. Learn about the journey of its founder, who transitioned from a role as a surgeon's assistant to achieving multi-million-dollar annual earnings.
Idea #4. Cleaning Business
• Average Annual Revenue: $74K+
• Average Profit Margins: 6.7%
• Startup Costs: $500-$30K
• Time To Revenue: 1-6 months
• Annual Market Growth Rate: 1.2%
• Best for: Self-motivated, independent, and detail-oriented entrepreneurs
If you've set aside around $1,000 for investment, consider diving into the cleaning industry. In terms of both success rate and the ease of initiation with no prior experience, it surpasses many other self-employment concepts.
What's even better is that you can kickstart this venture solo, but you'll have the option to expand once the money starts rolling in. Picture shedding your everyday duties and running a business with the confidence of a leader. This isn't just another run-of-the-mill 9-to-5 grind.
A former guest of ours, Chris Mondragon, generated $18,220 in his second month after launching a cleaning business. He's now boasting an annual revenue of well over $1.5 million. If you're interested in learning how he achieved this, take a look at this resource.
View our interview with Chris below:
[su_youtube url="https://www.youtube.com/watch?v=YcYIYdqegGA"]Idea #5. Software Developer
• Average Annual Revenue: $400K-$1M+
• Average Profit Margins: 14.5%
• Startup Costs: $100-$50K, depending on size and scope
• Time To Revenue: 3 months to 2 years
• Annual Market Growth Rate: 3.1%
• Best for: Coders and developers adept in programming languages, independent and self-motivated entrepreneurs with strong communication and project management skills
In 2021, the average income for a software developer exceeded $120,000. With the demand for these skills on a steady rise, there are numerous job prospects available for developers seeking conventional employment.
That said, as a developer, you can work from home for yourself by selling your programs and services directly to users and clients. Pursuing this path can lead to additional streams of passive income.
Workello initially operated as an agency connecting business leaders with freelance writing talent. However, their true potential was unlocked when they transitioned into a SaaS (Software as a Service) company. Discover the story behind their software business in this podcast episode.
Idea #6. Vending Machine Business
• Average Annual Revenue: $182K+
• Average Profit Margins: 4.3%
• Startup Cost: $2K-$10K
• Time To Revenue: 3+ months
• Annual Market Growth Rate: 0.5%
• Best for: Those who like to tinker with machines and understand mechanics and those who enjoy driving
After placing your vending machines, you'll only need a few hours per week for maintenance. Right now, our friend Adam Hill is successfully running his vending machine business, which generates six figures, while dedicating just two days a week to it.
He's achieved such remarkable success that we pestered him until he agreed to craft an insightful masterclass exclusively for our UpFlip audience. It lays out precisely how he accomplished this feat.
Check out our interview with Adam below:
[su_youtube url="https://www.youtube.com/watch?v=-s_Y-O1nosw"]Idea #7. Virtual Assistant
• Average Annual Revenue: $35K-$50K
• Average Profit Margins: 10.5%
• Startup Costs: $100-$200
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 1.9%
• Best for: People with strong organization and communication skills, those who want to work from home and set their own hours
Your tasks as a virtual assistant may encompass activities such as responding to emails, coordinating meetings and travel plans, overseeing and posting on social media accounts, and similar responsibilities.
Initiate a virtual assistant venture online by creating a profile on a freelance platform like Upwork or 24/7 Virtual Assistant. While having fundamental computer proficiency and a dependable internet connection is essential, the most crucial attributes for virtual assistants are soft skills like dependability, effective communication, and adept multitasking. A formal education, including a bachelor's degree, is not a prerequisite for this role.
Idea #8. eCommerce Reseller Business
• Average Annual Revenue: $60K-$120K
• Average Profit Margins: 5-15%
• Startup Costs: $100-$1K
• Time To Revenue: 30-90 days
• Annual Market Growth Rate: -9.3% (based on eBay annual reports)
• Best for: People with sales and marketing skills, collectors who can spot valuable items, those seeking flexibility and the potential for passive income
Opening an online store costs less than starting a brick-and-mortar retail store. It also gives you more scheduling flexibility than many home business ideas since it doesn’t involve working with clients.
The inventory you sell will be the main cost of starting an eCommerce business as a reseller. If you have an eye for spotting hidden gems at flea markets, thrift stores, and garage sales, you can make a consistently high profit with this kind of business.
Mike Wilson started Golden State Picker with $1,000 worth of inventory and has grown that into a $30,000-a-month business. Hear how he started in this podcast interview:
Idea #9. Freelance Writer
• Average Annual Revenue: $46K
• Average Profit Margins: 14.6%
• Startup Costs: $100-$200
• Time To Revenue: 1 month to 3 years
• Annual Market Growth Rate: -1.5%
• Best for: Writers, editors, and language experts, people with SEO, marketing, and advertising knowledge, creative entrepreneurs
Are you a strong writer? Create a home business writing about the things that interest you.
Independent writers have the flexibility to engage in diverse writing projects. This spectrum includes fiction and imaginative work under your own name or as a ghostwriter. A notably lucrative avenue in freelance writing is technical writing, which boasted an average income of $75,700 in 2023.
Additionally, there's substantial demand for online content such as blog articles and promotional copy.
Idea #10. Digital Marketing
• Average Annual Revenue: $817K
• Average Profit Margins: 6.9%
• Startup Costs: $100-$10K
• Time To Revenue: 1-6 months
• Annual Market Growth Rate: 1.3%
• Best for: Marketing and advertising pros, entrepreneurs with social media and data analysis skills, content creators
Maintaining an effective presence on social media has become imperative for many businesses today. However, not all entrepreneurs are well-versed in social media marketing. Consequently, the digital marketing industry has seen an average annual growth rate of 28.2% over the past five years.
This abundance of opportunities is what makes digital marketing stand out as one of the top home-based business concepts for those seeking flexible hours. Digital marketing extends to niches like SEO-centric web design, proficiency in Google Ads, and aiding clients in launching successful blogs.
Explore our interview with Eric, the owner of Single Grain, who acquired a social media marketing agency for just $2 and has grown it to make millions every year:
[su_youtube url="https://www.youtube.com/watch?v=fO1F21040pQ"]Idea #11. Makeup Artist
• Average Annual Revenue: $47K+
• Average Profit Margins: 7.1%
• Startup Costs: $500-$5K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 0.9%
• Best for: Creative and artistic entrepreneurs knowledgeable about fashion, style, and trends, people who are detail-oriented with strong communication and collaboration skills
If your friends often seek your expertise for makeup or Halloween costume advice, you might want to explore a freelance career as a makeup artist.
On average, makeup artists earn around $66,000 annually, though this figure can vary widely. Beginners in the field may start with as little as $30,000 a year, while seasoned makeup artists can command $120,000 or even more.
While a bachelor's degree isn't a prerequisite for launching a home-based makeup artistry business, specific types of makeup application may require a cosmetology or esthetician license. To establish your own venture, you might also need to be a Certified Makeup Artist. State regulations for this profession may vary, so it's important to familiarize yourself with the specific requirements in your area.
Idea #12. Painter
• Average Annual Revenue: $76K+
• Average Profit Margins: 7.2%
• Startup Costs: $1K-$100K
• Time To Revenue: 6-18 months
• Annual Market Growth Rate: -2%
• Best for: Home improvement pros, construction workers and contractors, people who enjoy physical work and have a sharp eye for detail
Launching a house painting business is a great business idea, particularly for those interested in a scalable niche. Joshua Douglas initiated his venture, A Painter’s Touch, with an initial investment of just $6,000. It has since flourished, with five crews generating over $25,000 in monthly revenue.
While Joshua's initial objective was to achieve a better work-life balance, he ended up surpassing his previous income levels. Discover more about his journey in this enlightening podcast interview:
Idea #13. Graphic Designer
• Average Annual Revenue: $123K+
• Average Profit Margins: 13.5%
• Startup Costs: $500-$5K
• Time To Revenue: 3+ months
• Annual Market Growth Rate: 2%
• Best for: Visual artists, designers, creative and artistic entrepreneurs
According to a recent Upwork report, graphic design emerged as the most sought-after creative skill in 2023. Graphic designers play a pivotal role in crafting business identities, a crucial factor in attracting clientele and bolstering sales. Given this significance, it's hardly surprising that this service is in high demand in today's market.
The average hourly wage for a graphic designer stands at $24. However, an experienced freelance graphic designer can command rates of $100 or more per hour for their expertise.
Idea #14. Lawn Care and Landscaping Business
• Average Annual Revenue: $272K+
• Average Profit Margins: 8.7%
• Startup Costs: $2K-$10K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 8.1%
• Best for: People who love green spaces and working outside, gardeners and plant experts, detail-oriented entrepreneurs who excel at customer service
Engaging in landscaping and lawn care services presents an excellent home business idea for individuals who have a passion for the outdoors. The United States has witnessed a consistent annual increase of 3.2% in the number of landscaping businesses over the past five years, and the demand for such services continues to surge.
Landscaping not only ranks among the top home business ideas but also offers the potential for significant scalability and profitability. Mike Andes, for example, propelled Augusta Lawn Care to over $1 million in revenue by the age of 24 and further expanded it into a franchise. Learn more about his service-based business journey in this YouTube interview.
[su_youtube url="https://www.youtube.com/watch?v=RLeOYgF54tE"]Idea #15. Event Planner
• Average Annual Revenue: $94K+ (wedding planner-specific)
• Average Profit Margins: 12.2%
• Startup Costs: $500-$5K
• Time To Revenue: 3+ months
• Annual Market Growth Rate: 1%
• Best for: Organized and social entrepreneurs who are strong networkers and planners, creative problem-solvers
Projections indicate that the event-planning market is poised to exceed $1.5 trillion in value by 2028, marking an impressive growth rate of 11.2%.
Event planning encompasses a range of niches. While wedding planning and corporate events consistently yield high profits, there's potential for substantial revenue in organizing various types of events. This spans from social occasions like parties and reunions to professional gatherings such as product launches and conferences.
Establishing connections with local businesses, including event venues, caterers, and entertainment providers, is paramount for success as a self-employed event planner.
This aspect positions it as one of the most promising home business ideas, especially for individuals with backgrounds in hospitality, food service, and related industries. Drawing upon this expertise allows for rapid business growth.
Idea #16. Photography Business
• Average Annual Revenue: $50K
• Average Profit Margins: 7.3%
• Startup Costs: $1K-$10K
• Time To Revenue: 1-6 months
• Annual Market Growth Rate: 0.3%
• Best for: Visual artists, photographers and videographers, creative entrepreneurs with strong customer service skills
Photography offers numerous avenues for income generation. You can capture events, create family or school portraits, or collaborate with businesses to provide images for their product listings and advertisements.
Idea #17. Proofreader Business
• Average Annual Revenue: $25K+
• Average Profit Margins: 9%
• Startup Costs: $100-$1K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 1.9%
• Best for: Grammar and writing experts, people with a sharp eye for detail
Another excellent home-based business concept in the realm of content creation is proofreading. Proofreaders provide written materials with a professional finish, meticulously identifying and rectifying errors in books, blog posts, marketing materials, and other types of written content.
Though proofreading generally commands lower compensation compared to writing, a seasoned proofreader can earn up to $25 per hour. Additionally, you have the opportunity to augment your income by offering additional services like fact-checking or content editing through your business.
Idea #18. Online Tutoring Business
• Average Annual Revenue: $389.5K+ (when an agency has multiple employees)
• Average Profit Margins: 13.10%
• Startup Costs: $100-$1K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 8.5%
• Best for: Educators, people who are compassionate, empathetic, and can explain complex concepts in straightforward terms
If you possess expertise in subjects such as math, English, or history, consider tutoring as one of the top home-based business ideas. It’s also one of the best online business ideas.
The emergence of online tutoring platforms like Skooli and TutorMe has simplified the process of connecting with students and instructing them directly from your home. Beyond your subject knowledge, all you require to begin is a dependable internet connection.
Your earnings as a tutor hinge on your level of experience and areas of proficiency. The standard rate averages around $24 per hour, and you have the potential to command higher fees if you're able to provide college-level tutoring or specialized services like standardized test preparation.
Idea #19. Real Estate Agent
• Average Annual Revenue: $298K+
• Average Profit Margins: 44.6%
• Startup Costs: $500-$5K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: -0.3%
• Best for: Skilled negotiators, friendly people with strong sales and communication skills
Becoming a real estate agent is a great home business idea. Agents typically have the ability to dictate their own schedules and select the clients they want to work with, making a career in real estate one of the most suitable options for those considering home-based business ideas.
Real estate agents have the option to represent the buyer or the seller in property transactions. Some agents may alternate between these roles, while others may specialize in one.
Regardless of your focus, obtaining a license is a prerequisite for becoming a real estate agent. The specific licensing criteria vary from state to state, but the process is typically straightforward and swift. Additionally, a high school diploma or GED is the minimum educational requirement to qualify.
Idea #20. Voiceover Business
• Average Annual Revenue: $50K-$110K
• Average Profit Margins: 19.8%
• Startup Cost: $3K-$5K
• Time To Revenue: 1-6 months
• Annual Market Growth Rate: 0.7%
• Best for: Strong readers and performers
If you've ever been complimented on your radio-ready voice, consider a voiceover business as a fantastic home-based business venture.
Voiceover artists are compensated for narrating scripts, audiobooks, or various written materials. Notably, you don't require acting prowess or formal training for this role—what's essential is the capacity to articulate and accurately deliver a written text aloud.
Platforms like Backstage and voices.com provide accessible avenues for honing your skills and establishing a clientele. This enables you to kickstart your journey in the field of voiceover artistry.
Idea #21. Property Manager
• Average Annual Revenue: $372K+
• Average Profit Margins: 10.1%
• Startup Costs: $100K-$3.5M
• Time To Revenue: 6-18 months
• Annual Market Growth Rate: 1.3%
• Best for: Home maintenance and repair experts, organized and system-focused entrepreneurs who are great communicators
Another home-based business idea is to venture into independent property management. Property managers are frequently contracted independently by individuals who own rental properties or commercial real estate.
Property managers handle the day-to-day responsibilities associated with a property, including rent collection, organizing or overseeing repairs, and addressing tenant inquiries and concerns.
One particularly lucrative niche involves overseeing Airbnb properties on behalf of their owners. For instance, Nicasa, an Airbnb business, not only manages properties for others but also handles its own real estate investments, generating an impressive annual revenue of $3 million.
To gain insight into their successful strategies, watch this video:
[su_youtube url="https://www.youtube.com/watch?v=6m-MosXlpOE&t=5s"]Idea #22. Accounting and Bookkeeping
• Average Annual Revenue: $244K per employee
• Average Profit Margins: 18%
• Startup Cost: $500-$2.5K
• Time To Revenue: 3-12 months (plus accounting degree)
• Annual Market Growth Rate: 1%
• Best for: Certified accountants, entrepreneurs with strong math and financial skills
Accounting is an amazingly profitable home business idea, but you will need a degree. Breaking into the virtual bookkeeping space can be a challenge even with these credentials since you’ll be competing against large, well-known corporations that provide these services.
Even so, for someone who has accounting experience, this is a great small business idea that pays well.
Idea #23. Life Coach
• Average Annual Revenue: $63K+
• Average Profit Margins: 10.5%
• Startup Costs: $500-$5K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 1.5%
• Best for: Excellent motivators, empathetic active listeners, people with strong time management, organization, and problem-solving skills
As a life coach, your role is to empower clients to reach their full potential. This encompasses aiding them in resolving challenges spanning various aspects of their lives, including personal relationships, physical and mental well-being, and broader life objectives.
Becoming a life coach doesn't necessitate specific licensing or formal education requirements. However, similar to other home-based business ventures, acquiring some training can instill confidence in your clients, particularly when you're just starting out.
For comprehensive information on the best life coaching programs, check out this Forbes review of top-notch life coaching certifications. Additionally, holding a bachelor's degree in fields like psychology, social work, or another social science can equip you with the skills needed to enhance your clients' lives.
Idea #24. eBay Reselling
• Average Annual Revenue: $60K-$120K
• Average Profit Margins: 5-15%
• Startup Cost: $100-$1K
• Time To Revenue: 30-90 days
• Annual Market Growth Rate: -9.3% (based on eBay annual reports)
• Best for: Thrifters and collectors
An eBay store is fast and inexpensive to open. Once it’s set up, all you’ll need to start an online store is the inventory you’ll sell.
When Mike Wilson opened Golden State Picker, he started by selling items he already had. Then, he used those profits to get more inventory from thrift stores, storage unit auctions, and online marketplaces.
He explains how he grew that into a $30,000-a-month business in the podcast below.
Idea #25. Career Coach
• Average Annual Revenue: $64K+
• Average Profit Margins: 2.8%
• Startup Costs: $500-$5K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 0.8%
• Best for: Recruiting and human resources professionals, strong networkers with industry and job market expertise, effective writers, communicators, and motivators
Career coaches play a critical role in guiding individuals toward their dream jobs. Their responsibilities encompass tasks such as refining resumes and cover letters, conducting interview preparation and practice sessions, and assisting clients in developing the skills necessary for career progression.
Typically, a career coach charges between $100 to $150 per session. With a full roster of clients, this equated to an average annual income of $63,300 in 2023. Offering specialized services, such as executive coaching or aiding individuals through career transitions, can lead to even higher earnings.
Idea #26. Affiliate Marketing
• Average Annual Revenue: $60K-$160K
• Average Profit Margins: 8%
• Startup Cost: $500-$2K
• Time To Revenue: 1-3 months
• Annual Market Growth Rate: 10.5%
• Best for: Bloggers, YouTubers, those with a large social media presence
Affiliate marketers advocate for products and services offered by other businesses and earn commissions for every sale generated by their promotional efforts.
This not only serves as an excellent supplementary income for blogs or YouTube channels but can also stand as a highly profitable independent venture. It's worth noting that you don't necessarily need to be a prominent social media influencer to thrive in affiliate marketing.
Matt Diggity, for instance, began as an SEO specialist and went on to build a seven-figure affiliate marketing enterprise. You can delve into Matt's journey and gain valuable insights in this podcast.
Idea #27. Print-on-Demand Business
• Average Annual Revenue: $60K-$120K
• Average Profit Margins: 5-15%
• Startup Costs: $100-$1K
• Time To Revenue: 30-90 days
• Annual Market Growth Rate: -9.3% (based on eBay annual reports)
• Best for: People with sales and marketing skills, collectors who can spot valuable items, those seeking flexibility and the potential for passive income
A print-on-demand (POD) business is responsible for designing products and marketing to their target market. When customers buy a product, the POD business owner pays for the cost of production and shipping, then the manufacturer will print the design and ship it directly to the customer.
This profitable business model can be used with t-shirts, mugs, and in conjunction with an existing eCommerce business or subscription box business.
How to Start a Home Business
When you have decided what business to start at home, you’ll need to understand the process to start your business. Steps to follow include:
- Decide on a home business idea
- Write a home-based business plan
- Name your home-based business
- Get an LLC for your at-home business
- Get business licenses for your home business
- Get a home business bank account
- Set up your home office
- Market your home-based business
- Serve your customers
You can learn more in our blog about how to start a small business at home.
Choose Your Own Business Idea
We’ve provided a list of online business ideas, work-from-home business ideas, and service business ideas to help you choose small business ideas you can do from home.
The rest is up to you. Once you’ve chosen your idea, you’re on your way to joining the ranks of successful home-based businesses. Which business idea do you want to start?
Did you know that 42% of small businesses are started by women? But wait—it gets better! Female business owners break the glass ceiling by earning more revenue and growing businesses faster than men. That’s why we created a list of the best business ideas for women.
These business ideas cover the full span of the U.S. economy, showing that the ladies can do anything men can do—and often, they do it better!
[su_note note_color="#dbeafc"]
Click on some of the business ideas below to find out more about how to start your own business.
49% of startups are women-owned, but only 7.1% of the female population are business owners. (We calculated this figure using the number of female-owned businesses divided by the number of women in the population.)
Meanwhile, 10.8% of men are small business owners.
There are several organizations that offer scholarships for women in business. This College Guidepost list of 16 national business women scholarships is a great place to explore your options.
- 3 Best Business Ideas For Women
- 3 Manufacturing Business for Ladies Ideas
- 3 Online Business Ideas for Women
- 3 Best Small Business Ideas from Home for Ladies
- 3 Self-Employed Ideas for Females
- 12 Unique Business Ideas for Ladies
- FAQs [/su_note]
3 Best Business Ideas For Women
#1. Real estate
Average Annual Revenue: $298,870
Average Profit Margins: 44.6%
Startup Costs: $500-$5K
Time To Revenue: 1-3 months
Annual Market Growth Rate: -0.3%
Best for: strong saleswomen and negotiators, female entrepreneurs who want a passive income
If you want to pick up on strategies and methods to get into the real estate business, watch how Thach Real Estate Group became a successful business through the learnings and experience of the founder, Thach Nguyen.
[su_youtube url="https://www.youtube.com/watch?v=TWCzwn3R78A&ab_channel=UpFlip"]
Two of the largest real estate companies in the U.S., Howard Hanna and Perry Homes, are owned by women. If you have financial resources, investing in real estate is among the best business ideas for women who want to grow their company to 7 figures and beyond.
Multi-unit residential properties are among the most reliable recession-proof investments available. That’s where Emma Powell built her company, which today manages more than 300 units and earns revenue of over $25,000 a month. Listen to her podcast interview below to hear how she got started in investing:
#2. Restaurants
Average Annual Revenue: $1,177,860
Average Profit Margins: 4%
Startup Costs: $100K-$3.5M
Time To Revenue: 6-18 months
Annual Market Growth Rate: 0.2%
Best for: foodies and cooks, people with strong customer service and time management skills, effective leaders, managers, and motivators
Opening a restaurant is a risk, but it’s one that can pay off big time. The female-owned Panda Express chain of restaurants had revenue over $4.5 billion in 2022, for example. The industry as a whole was projected to reach $997 billion in 2023, so there’s plenty of revenue to go around in this industry.
For those who don’t have the financial resources to open a brick-and-mortar business, food trucks are great business ideas for women. Jen Gustin started Boss Mama’s Kitchen to break free from her corporate job and become her own boss. Two years later, she was named Food Truck of the Year by South Sound Magazine. Hear how she grew her business in this video:
[su_youtube url="https://www.youtube.com/watch?v=rd5aLi5TCbY"]
#3. Human resources
Average Annual Revenue: $216,855
Average Profit Margins: 10.2%
Startup Costs: $500-$5K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.4%
Best for: system-driven and organized entrepreneurs who are strong leaders and communicators
When Janice Bryant Howroyd started her human resource management company, she only had $1,500 to her name. Now, it’s a $2.5 billion firm with more than 17,000 clients around the world.
What makes HR one of the top business ideas for women is that it’s always in demand. Every company needs employees to function, and managing that team is a challenge for many entrepreneurs. If you excel at communication, leadership, and organization, you can make a good living helping them solve that challenge.
Jessica Miller-Merrell started her HR firm, Workology, in 2005, and has gained national recognition, being honored by Forbes as one of the top recruitment resources. Hear her story and advice in this podcast:
3 Manufacturing Business for Ladies Ideas
#1. Build custom sheds
Average Annual Revenue: $696,950
Average Profit Margins: 3.4%
Startup Costs: $1K-$100K
Time To Revenue: 1-6 months
Annual Market Growth Rate: -1.3%
Best for: designers, makers, and builders, people with strong visualization, problem-solving, and sales skills
If you’re looking for fun business ideas and love building things, a small business making custom sheds can be a great way to earn money. While you will need some construction knowledge and permits, the licensing requirements are less stringent than with full home construction, giving it a lower barrier to entry.
Susan Frair drew on her expertise in sales when she started Shed Gal, and in a few short years, grew to the number one shed dealer in the state of Washington. You can learn more about her business model and how she finds business opportunities in this video:
[su_youtube url="https://www.youtube.com/watch?v=mOOyIem0RCY"]
#2. Make your own beauty products
Average Annual Revenue: $1,489,574.8
Average Profit Margins: 5.7%
Startup Costs: $500-$250K
Time To Revenue: 3+ months
Annual Market Growth Rate: 1.2%
Best for: make-up artists, beauty influencers, cosmetic chemists, hair and skin care experts
The manufacturing segment of the beauty industry is massive, valued at $49.7 billion in 2022. There are still plenty of underserved niches in this market, too, and if you have ideas for products to fill them, it can be a very lucrative business idea.
Charmaine Nicole started her small business, Black Hair and Skincare, based on her own struggles to find beauty products designed for people with alopecia. She’s grown it not just into a successful business, but also a community for people of color around the world. Learn how she started and grew her business in this podcast interview:
#3. Start your own shoe or clothing line
Average Annual Revenue: $114,700
Average Profit Margins: 10.3%
Startup Costs: $500-$250K
Time To Revenue: 3+ months
Annual Market Growth Rate: 2.0%
Best for: fashionistas tuned into fashion trends, designers, and artists with strong sales and marketing skills
The fast pace of change in the fashion industry is both a challenge and an opportunity for female entrepreneurs. On the negative side, it can make sustaining your own business a challenge. That said, the fashion world is always looking for what’s next, and that makes a clothing or shoe line good business ideas for women able to anticipate these trends.
Afshan Abbas was inspired to start a new business, Fuchsia Shoes, after buying a unique pair of artisan shoes in Pakistan. That proved to be a lucrative business venture, especially once she partnered with online influencers. Hear her full story in this video:
[su_youtube url="https://www.youtube.com/watch?v=Z1Iz4tTVrZE"]
3 Online Business Ideas for Women
#1. Start an online store
Average Annual Revenue: $60K-$120K
Average Profit Margins: 5-15%
Startup Costs: $100-$10K
Time To Revenue: 30-90 days
Annual Market Growth Rate: -9.3%
Best for: artists and makers, graphic designers, women entrepreneurs with strong sales and marketing skills
Selling products through an online store is one of the easiest and most affordable online business ideas to start. It can be a very profitable business idea, too, especially if you have digital marketing skills or a large social media presence.
As far as what you can sell, the options are just about endless. Jewelry, custom apparel, and home decor are popular niches, especially for those who enjoy productive crafts like knitting and woodworking.
Jazmin Richards, for example, started making clean-burning candles for her own use. She turned that into an online store, Blk Sunflower, and made $300,000 in her first 18 months. Hear how she grew her business in this video:
[su_youtube url="https://www.youtube.com/watch?v=UzZ5aTbiLh0"]
If you’d rather not deal with inventory, a print-on-demand store can make an excellent small business for women. Kerry Egeler from The Shirt School shared his advice on starting a custom apparel business online in this podcast:
#2. Make and sell online courses
Average Annual Revenue: $234,540
Average Profit Margins: 5.8%
Startup Costs: $100-$1K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.1%
Best for: people with in-demand or niche skills and knowledge, teachers and educators
One advantage to online courses is that they’re a mostly-passive source of income once you make and release them. Because of this, an online course is one of the best online business ideas for women who are parents, students, or otherwise can’t always devote full-time hours to a business.
The biggest challenge with an online course is that you have to put in a lot of time to make it before you can start earning revenue. People who already create educational content have an advantage here since they can repurpose blog posts, lesson plans, or other materials into their courses.
For more advice on how to make money online selling courses, check out this podcast interview with Jacques Hopkins. He turned his hobby playing piano into a very lucrative business idea:
#3. Social media management
Average Annual Revenue: $817K
Average Profit Margins: 6.9%
Startup Costs: $100-$10K
Time To Revenue: 1-6 months
Annual Market Growth Rate: 19.4%
Best for: writers, marketing and digital media experts, women entrepreneurs with advertising and PR expertise
Social media marketing has become the go-to way for both online and brick-and-mortar business owners to connect with customers. Many small business owners don’t have the time or skills to effectively use social media for their small businesses, though, or the budget to hire an in-house social media manager.
This makes opening your own digital marketing agency a good business idea for a business woman who has social media management skills and experience. With a 2022 market size of over $193 billion and an annual growth rate of 19.4%, there is ample profit to go around in this industry.
The biggest challenge of opening your own business as a social media manager is often finding clients and building their trust. Jason of Socialistics shared how he started and grew his marketing agency in the video below:
[su_youtube url="https://www.youtube.com/watch?v=kb1czTEK8f8"]
3 Best Small Business Ideas from Home for Ladies
#1. Photography business
Average Annual Revenue: $50K
Average Profit Margins: 7.3%
Startup Costs: $1K-$10K
Time To Revenue: 1-6 months
Annual Market Growth Rate: 0.3%
Best for: photographers and visual artists with strong customer service, communication, and organization skills
Have you ever wanted to turn a hobby into a lucrative business? Check out how Korbin and Whitney started out, turning their passion into a business they find enjoyment in doing.
[su_youtube url="https://www.youtube.com/watch?v=EUcv1HAAbns&ab_channel=UpFlip"]
There are a variety of ways to start your own photography business from home. You could convert a spare room into an in-home portrait studio, provide mobile photography services for events, or work with other small business owners to help them make marketing materials and promote your brand.
If you’d rather set your own schedule, a photography business can also make money online by selling prints or print-on-demand products in an online store, taking on freelance clients, or selling stock images to websites like Shutterstock or Getty Images.
The variety of potential revenue streams is one reason it’s among the best business ideas for women at home who have an artistic eye and photography skills. As you gain skills and grow your brand, you can even make money sharing those skills through a coaching business or online course. That’s how Katelyn James Photography makes a mostly-passive 7-figure revenue with her photography business. Hear how she did it in this podcast interview:
#2. In-home childcare business
Average Annual Revenue: $143,110
Average Profit Margins: 0.9%
Startup Costs: $0-$1K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 51.7%
Best for: stay-at-home moms, teachers, and babysitters who are detail-oriented, patient, and have strong interpersonal skills
Offering childcare services is an excellent way for moms and caregivers to become small business owners. As more companies call their workers back to the office, babysitting and childcare services are increasingly in demand, especially in urban areas with a high number of potential customers.
The advantage of an in-home daycare, as opposed to a nanny or babysitting service, is that you can watch multiple kids at once, expanding your potential revenue.
#3. Wedding planning business
Average Annual Revenue: $93,796
Average Profit Margins: 13.8%
Startup Costs: $500-$5K
Time To Revenue: 1-3 months
Annual Market Growth Rate: -0.9%
Best for: strong networkers with organization, planning, and customer service skills
If you excel at organizing parties, meetings, and other gatherings, event planning is a great business idea to pursue. Wedding planning specifically is one of the most profitable business ideas in the event planning niche, with a market value of around $900 million in the U.S. in 2022.
While people of any gender can work in event planning, the majority of wedding planners are female entrepreneurs. Not only is this an easy small business idea to start from home, it also has low startup costs and ongoing expenses, with typical profit margins of up to 90%.
These low costs are one reason it’s among the top home business ideas for women who are skilled planners and communicators. Since most weddings take place on the weekend, it’s also among the best side business ideas for ladies looking to make extra money to supplement a full-time job.
3 Self-Employed Ideas for Females
#1. Freelance writing business
Average Annual Revenue: $712K per employee
Average Profit Margins: 14.6%
Startup Costs: $100-$200
Time To Revenue: 1 month to 3 years
Annual Market Growth Rate: -1.5%
Best for: language experts, bloggers, writers with search engine optimization and marketing skills
Freelance writers can make money in a lot of ways. The type of content you write can range from a blog post or news article to an entire book. The flexibility freelance writers enjoy makes it a great side business idea, as well as a potential full-time job. If you’re skilled with grammar and detail-oriented, you can expand your services with a freelance editing business.
It also doesn’t cost anything to become a freelance writer, and you can start your business online from home. This puts it among the most popular small business ideas for girl students, as well as an affordable online business for women with a strong command of the English language.
#2. Graphic design business
Average Annual Revenue: $123,240
Average Profit Margins: 13.5%
Startup Costs: $500-$5K
Time To Revenue: 3+ months
Annual Market Growth Rate: 2%
Best for: visual artists, creative entrepreneurs, women entrepreneurs with web design, user interface, or similar tech skills
For visual artists, doing freelance graphic design work is a great way to make extra money, and is among the best home business ideas for ladies with artistic skills. People and businesses who need logos, website graphics, and other images often hire freelancers on platforms like Fiverr and Upwork. Create an account, and you can start making money right away.
You don’t need to take on clients to start your own business in graphic design, either. Another option is to sell products featuring your designs. That’s what Vlad Kuksenko did when he started his 7-figure Etsy shop TagPup (see his story in the video below):
[su_youtube url="https://www.youtube.com/watch?v=7dqHBHA4AmU"]
#3. Data entry
Average Annual Revenue: $35K-$50K
Average Profit Margins: 10.5%
Startup Costs: $100-$200
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.9%
Best for: detail-oriented and organized entrepreneurs, fast typers, coders, and automation experts
You don’t need much to offer data entry services—just some basic computer equipment, an eye for detail, and decent typing skills. The low barrier for entry and flexibility of the work are ideal for women seeking home-based small businesses they can easily fit into their life.
12 Unique Business Ideas for Ladies
#1. Interior design
Average Annual Revenue: $168,360
Average Profit Margins: 10.6%
Startup Costs: $1K-$100K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.2%
Best for: creative entrepreneurs with strong communication, collaboration, and organization skills
Interior design is among the best small business ideas for women who don’t just have an artistic eye but are also able to bring other people’s creative vision to life. Making connections with other local small businesses is often the best way to grow a business in this niche, so it’s a great small business idea for creative women who excel at networking.
#2. Virtual bookkeeping business
Average Annual Revenue: $206,910
Average Profit Margins: 13.9%
Startup Costs: $500-$5K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.6%
Best for: accountants, business and financial experts
Keeping track of financial transactions is critical for a small business, and virtual bookkeepers help business owners to do so. While you will need strong math and accounting skills, you don’t need to be licensed as a CPA to start.
That lower barrier to entry, along with the flexibility and low startup costs it offers, is why a virtual bookkeeping business is among the top business ideas for women who are mathematically-minded.
#3. Resell shoes or vintage clothes
Average Annual Revenue: $60K-$120K
Average Profit Margins: 5-15%
Startup Costs: $100-$1K
Time To Revenue: 30-90 days
Annual Market Growth Rate: -9.3%
Best for: shoppers and collectors, fashionable entrepreneurs, women with strong sales skills
If you have a knack for finding the best items at thrift stores and garage sales, reselling is one of the small business ideas you should consider.
All you need to get started is knowledge of fashion trends and brands and a minimal budget to get your first items. You can reinvest the profit from those sales to grow the business further. Sneak City started this way, with just $50 and working out of a garage. Now they’re a thriving brick-and-mortar business with multiple storefronts. They shared their story in this YouTube interview:
[su_youtube url="https://www.youtube.com/watch?v=dJryzKeGwtU"]
#4. Professional organizer
Average Annual Revenue: $168,360
Average Profit Margins: 10.6%
Startup Costs: $1K-$100K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.2%
Best for: highly organized entrepreneurs, strong planners, communicators, and collaborators, creative problem-solvers
Being a professional organizer is among the best business ideas for women who have both right-brain and left-brain intelligence.
Organizers help others to declutter and order their homes, offices, or other spaces, improving their clients’ mental health along the way and giving them tools to maintain the system you help them establish. To do this, you need a lot of empathy and strong communication skills, along with analytical, problem-solving, and spatial reasoning skills.
Since you’ll work in the client’s space, this is among the top business ideas for women at home, and it also offers a low start-up cost and high flexibility. The biggest challenge is often establishing your reputation to build a client base. If you’re a strong marketer or networker, that can be an advantage for growing your new business faster.
#5. Start a farm
Average Annual Revenue: $263,500
Average Profit Margins: 27.9%
Startup Costs: $100K-$3.5M
Time To Revenue: 6-18 months
Annual Market Growth Rate: -0.5%
Best for: women entrepreneurs who love working outside with their hands; hard-working, patient, and organized problem solvers
People don’t think of farming as a lucrative profession, but the truth is the median household income of farmers was $92,239 in 2021, higher than the American average. Roughly 89% of farms in the U.S. are small businesses, so there’s a lot of room in this space for future women entrepreneurs who want to work the land for a living.
Marion Acres started from scratch in 2012 as a way for two families to grow their own food. It’s now a thriving chicken farm with its own market and processing plant. You can see how they got started in this video:
[su_youtube url="https://www.youtube.com/watch?v=m4qhDGG1C3k"]
#6. Dropshipping business
Average Annual Revenue: $36K-$50K
Average Profit Margins: 5%
Startup Costs: $150-$500
Time To Revenue: 1-3 months
Annual Market Growth Rate: 25%
Best for: experts in social media and marketing, process-oriented and organized entrepreneurs, people seeking flexibility and passive income
Dropshipping is an ideal way for women entrepreneurs to make money online and set their own schedules. In a dropshipping business model, the things you sell are stored and shipped from elsewhere, giving it very low start-up and ongoing costs.
The flexible time commitment of dropshipping makes it a great way to start your own online business while still working a full-time job, and it can bring in enough revenue to serve as your sole income stream if you have the time to commit to it.
Heather Johnson started her print-on-demand dropshipping business to make extra money when her hours were cut during the pandemic. In a few short years, she’s grown it to $15,000 a month in revenue. Hear her story in this interview:
#7. Open a bakery business
Average Annual Revenue: $1.52 million per year
Average Profit Margins: 5.4%
Startup Costs: $100-$3M
Time To Revenue: 1-6 months
Annual Market Growth Rate: 1.1%
Best for: food-lovers, creative entrepreneurs with strong customer service skills
Like other businesses in the food industry, opening a bakery can be a big investment, but with an equally big potential payoff. It’s among the best small business ideas for women who love to bake and love interacting with people.
There are many niches you can choose as a bakery, too. Some focus on treats like cupcakes and pastries, while others make bread and other baked goods to sell to restaurants and stores.The right niche for you will depend on both your interests and your local market.
#8. Personal trainer
Average Annual Revenue: $16,867
Average Profit Margins: 10.9%
Startup Costs: $500-$5K
Time To Revenue: 1-6 months
Annual Market Growth Rate: 0.6%
Best for: athletes and fitness experts, outgoing female entrepreneurs who excel at motivating and communicating with others
The fitness industry is large and growing, projected to reach a total market value of $5.77 billion by 2027. This makes a fitness training business a great small business idea for female entrepreneurs who are passionate about exercise and health. It’s also a potentially profitable business, with the average independent personal trainer earning just over $54,000 a year in take-home income.
A personal trainer business has very low upfront costs, in part because you don’t need your own brick-and-mortar storefront. You can open a home-based studio if you have the space, or offer mobile services, working with clients in their homes. You can even offer remote services with video conferencing, or in an online course that can serve as an extra passive income stream.
In this interview with Bedros Keuilian, see how this self-made entrepreneur went from eating from bins to making $200 million a year with his franchise Fit Body Boot Camp and business coaching company Empire Systems.
[su_youtube url="https://www.youtube.com/watch?v=gXdFpkfXvGA&ab_channel=UpFlip"]
#9. Home, office, or Airbnb cleaning business
Average Annual Revenue: $74,880
Average Profit Margins: 6.7%
Startup Costs: $1K-$30K
Time To Revenue: 1-6 months
Annual Market Growth Rate: 1.2%
Best for: housekeepers and homemakers, organized and tidy entrepreneurs
Cleaning is one of those things every home or business needs but most people don’t like to do. This makes it a perfect business idea for women business owners who enjoy bringing order to chaos and don’t mind getting their hands dirty now and then.
Chris Mondragon started Queen Bee Cleaning with about $5,000 and now teaches other business owners how to do the same in his 7-Figure Cleaning Business Blueprint. You can see what a typical day in his life is like in this video if you’re curious about the day-to-day of starting your own business:
[su_youtube url="https://www.youtube.com/watch?v=c_pvi1q9lMo"]
The variety of cleaning jobs available is another reason this is a great business idea. Chris gets a lot of his revenue from cleaning Airbnbs, in addition to his residential cleaning clients. If you’re not sure which niche to choose, do some market research on the services already offered in your area to see where there’s a gap you can fill.
#10. Life coach
Average Annual Revenue: $63,400
Average Profit Margins: 10.5%
Startup Costs: $500-$5K
Time To Revenue: 1-3 months
Annual Market Growth Rate: 1.5%
Best for: Strong motivators and communicators, problem-solvers, mental health professionals
A life coach helps their clients overcome challenges in their career, relationships, or other areas of their life. That makes it a very rewarding career and the best business for women who love helping others thrive. If you’re the person your friends always turn to for advice, becoming a life coach is a natural way to start your own business sharing that problem-solving talent with others.
#11. Laundry business
Average Annual Revenue: $311,220
Average Profit Margins: 22.1%
Startup Costs: $100K-$3.5M
Time To Revenue: 6-18 months
Annual Market Growth Rate: -0.1%
Best for: customer service pros with high attention to detail
Laundry is a universal chore, but not everyone has the equipment at home (or the time) to do it themselves. A laundry business provides a useful service that’s consistently in-demand, making it a great choice as a woman-owned small business.
Opening a laundromat does require more up-front investment than other options on the list. On the plus side, though, it has potential to be a mostly-passive income stream with the right team. Hear how Rosie Wash Express Laundry started and grew her laundromat business in this interview:
[su_youtube url="https://www.youtube.com/watch?v=4Uh_qWSTmoY"]
#12. Baby equipment rental business
Average Annual Revenue: $2,157,420
Average Profit Margins: 3.9%
Startup Costs: $500-$250K
Time To Revenue: 3+ months
Annual Market Growth Rate: 2.7%
Best for: moms, childcare professionals, organized and system-oriented entrepreneurs
Baby equipment is expensive—which makes it even more frustrating considering how quickly they grow out of it. A rental business lets you help parents get high-quality equipment for less. It’s among the best business ideas for parents because you can make money from items your kids have outgrown rather than letting them sit unused.
FAQs About What is a Good Business to Start for a Woman
What is the best business for a woman to start?
Great new business ideas for women can come from any industry. According to the most recent data, the most popular entrepreneur ideas for women are in retail (26%), health, beauty and fitness (17%), and food and restaurants (14%). That said, though, the number of female-owned businesses is growing across sectors, and any of the business ideas for a woman on this list can be a great choice for the right entrepreneur.What percent of women own businesses?
49% of startups are women-owned, but only 7.1% of the female population are business owners. (We calculated this figure using the number of female-owned businesses divided by the number of women in the population.)
Meanwhile, 10.8% of men are small business owners.
How to start a business as a woman
UpFlip’s ultimate guide on how to start a business is an excellent resource that answers this question step-by-step.Where can I find women in business scholarships?
There are several organizations that offer scholarships for women in business. This College Guidepost list of 16 national business women scholarships is a great place to explore your options.
What is the best way to get a business loan for women?
The Small Business Administration has women-owned business loan resources that you can explore. You can also get advice on finding and obtaining start-up business loans for women in this podcast interview with National Business Capital founder Joseph Camberato, whose company has helped entrepreneurs secure more than $2 billion in funding:Which Business Idea Will You Choose?
Ladies, y’all are doing phenomenal at raising the bar, creating a more compassionate business culture, and driving success in business. It doesn’t matter what business you choose to enter—you are more likely to find success than men. Keep doing what y’all do well, and, hopefully, we’ll get the better world many of us are trying to build. I hope whatever industry you choose, you make it better for everyone. Which of the small business ideas for women will you choose for your next business venture?
We've all heard the statistics that 80% of small businesses fail. No one wants to be a part of that statistic, but so many small business owners never get past the start-up stage.
If you have successfully started your business and earned a profit, Congratulations!
The work isn't over though. You're probably working a ton of hours, spending less time than you want with your family, and probably need to hire some more help.
Fortunately, there are plenty of small business owners who have been where you are, so we're going to share some tips from one who has made the transition from startup to business growth.
Mike Andes started mowing lawns at 11 to pay for college. By 24, he had started Augusta Lawn Care, and today he makes 7-figures selling Augusta Lawn Care franchises.
There are currently 60 franchises, so he knows a lot about how to grow a business.
We'll discuss aspects of growing a business including:
A successful business should be defined as one that helps the customer base, employees, and the business owner reach their goals. If the business successfully does that, you are already successful.
Mike told us:
[su_quote]Like many business owners, my first goal was to take home $1m in a year.[/su_quote]
After that, you'll set new targets and look for new ways to challenge yourself. Mike told us his new goals are:
[su_quote]To open as many locations as possible and have industry-best systems so our competitors have to adapt our practices or go bankrupt because all the customers come to us.[/su_quote]
If you want to measure your success against others, there are some statistics you should consider.
Let's look at some facts most people aren't really aware of:
Your growth strategy should include increasing the value of each customer.
There are a ton of ways to increase total customer value, including a customer loyalty program, upselling, subscription-based business models, and marketing tools, like reminders that they didn’t complete a transaction.
We'll discuss each of these strategies and how they can accelerate growth.
Anyone who uses business software has seen how a subscription-based model works.
A quick search can find an Office 2019 disc for $49.99, but if you order Microsoft Office 365, it's $10/mo or $100/year.
Given the typical person buys a computer every 4 years, the subscription-based model generates up to 9.6x the revenue and reduces the costs of manufacturing, transporting, and storing the disc.
That's great for software companies, but how does that apply to other types of companies?
Price Intelligently has a great blog on subscription-based models and points out that it will consistently increase total customer value until they cancel the subscription.
This model can be used with any product that either releases new products routinely or sells disposable products.
In service-based industries, subscription-based pricing can be used to strengthen customer loyalty (commonly used with UberEats/Doordash) and/or stabilize revenue.
I have seen HVAC contractors charge people $20/month instead of $99 twice a year to do preventive maintenance with success.
If you can use this model, I strongly suggest you do. If you are an e-commerce store, check out Shopify's walkthrough on subscription orders.
Keep reading for ways to find new customers.
If you have gotten a sizeable share of the target market in your area, you may need to open another location. Depending on the type of business, the location may be in the same city or a different city.
Mike told us:
[su_quote]When you double locations, customers aren't just going to grow at the new location, but at the old one too. One of the biggest mistakes I made when opening a call center to support my second location was assuming that we could assume double the customers, but it was more like 3-4x the number of customers because the old location grew too.[/su_quote]
Opening a new location for something like a smoke shop can be done several miles away in most big cities because there are smoke shops almost every square mile.
Something like a lawn care business might require another truck that services a different area of the city.
If you find you can't grow in the city, you may need to look for customers in other cities. At that point, you'll want to consider if opening and running the location yourself makes sense or if you want to start a franchise.
Mike told us:
[su_quote]If you are in a business like cleaning services with a low cost of startup, just start a second location. If it's something like lawn care, the startup costs are high, so sell franchises.[/su_quote]
If you don't have any funds and can't take loans to market your company or do any of the other tips to increase sales discussed in this post and in the podcast, you should probably start thinking ahead and reinvest some of the profits from your business.
When people ask me how to grow my business, the first thing I ask them is:
[su_quote]What is your business and how are you addressing the market?[/su_quote]
Most of the time, they don't have a clue how to answer it. One customer decided to spend $150k to bring 30 products to market, but he wouldn't start selling any of them until all of them were ready to sell.
It's 5 years later, and the company hasn't sold a single product.
This kind of expenditure is comparable to buying large fixed assets, which Mike told us:
[su_quote]Fixed assets are the most cash-intensive part of a business. Find ways to limit them.[/su_quote]
The point of this is that regardless of whether your company is profitable, losing money, or has not brought its products to market, start small.
Master marketing, identify your target market, and learn how to efficiently run a company, then expand.
Or you can try to take out loans and hope that it doesn't maintain the status quo. Whatever you do, remember the best piece of advice Mike gave:
[su_quote]If you focus on the product, the rest will come. If you can manage to stay open for 10 years, there is no way you will not grow.[/su_quote]
Basically, if you want to grow your business, keep working. When a process breaks or takes too long, fix it, make it easier for your customers to buy from you, and learn marketing skills.
If you stick to it and learn from your mistakes, you will eventually become a master of your field.
We hope you found this information informative. If you enjoyed the blog and the podcast, make sure to follow us for more great insights from business owners who have managed to make a great living in a variety of fields.
- What does it mean to grow a business?
- What is considered fast business growth?
- What the fastest-growing companies do
- How to increase sales to your existing customers
- How to find new customers
- How to grow your business with marketing
- How can I grow my business with no money?
What does it mean to grow a business?
To grow a business means to increase revenue. With the growth in revenue may come a need to hire employees, automate pain points, or set procedures to dictate the processes that are used to provide a service or sell products. Ultimately, the focus is on increasing revenue. Mike told us: [su_quote]Growing a business is about topline revenue. You are focused on an income statement’s top inch. That includes sales, hiring, and growth.[/su_quote] There are a variety of different strategies when you are considering how to expand your business. These will depend on the services you provide, the industry you operate in, your available resources, and how much of the geographic market you are currently serving. Some of the most common strategies for small business growth include:- Increasing the revenue from each current customer
- Offering new services
- Hiring more people to provide services to more customers
- Increasing marketing
- Expanding to another geographic location
- Selling franchises
What is considered fast business growth?
A successful business should be defined as one that helps the customer base, employees, and the business owner reach their goals. If the business successfully does that, you are already successful.
Mike told us:
[su_quote]Like many business owners, my first goal was to take home $1m in a year.[/su_quote]
After that, you'll set new targets and look for new ways to challenge yourself. Mike told us his new goals are:
[su_quote]To open as many locations as possible and have industry-best systems so our competitors have to adapt our practices or go bankrupt because all the customers come to us.[/su_quote]
If you want to measure your success against others, there are some statistics you should consider.
Let's look at some facts most people aren't really aware of:
- During the first year, business growth will be approaching infinity because you had no revenue before you started the business. Make sure to compare first-year growth in pure dollar amounts; otherwise, a calculator will say "Error" or "Undefined"
- It's easier to grow revenue from $100,000 to $1m/year, than it is to increase the money a business makes from $1m to $10m/year.
- Each industry has different growth targets and strategies. What might be rapid growth for one industry might be horrible for another
- The Federal Reserve typically expects GDP growth between 2-4%
- Fast growth: Up to 15%/year
- Rapid growth: 15-25%/year
- Very rapid growth: 25-50%/year
- Hypergrowth: 50-100%/year
- Lightspeed growth: 100%+/year
What the fastest-growing companies do
The business model adopted by many of the fastest-growing companies is one where they will:- Get funding from venture capitalist firms and banks
- Run multi-million dollar marketing budgets
- Use computer automation systems that handle significant amounts of the daily operations
- Run at significant losses for years
- Sell billions of stock to fund running losses for a few more years
- Then become profitable
How Small Business Owners Increase Sales to Current Customers
Your growth strategy should include increasing the value of each customer.
There are a ton of ways to increase total customer value, including a customer loyalty program, upselling, subscription-based business models, and marketing tools, like reminders that they didn’t complete a transaction.
We'll discuss each of these strategies and how they can accelerate growth.
Customer Loyalty Program
The 2018 Bond Customer Loyalty Report found that 70% of people say that they are likely to recommend a company with a good loyalty program, 77% are more likely to continue doing business with a brand, and 63% modify their spending to get the most benefits. Despite this, no industry has more than a 50% loyalty program satisfaction score. That means there is a ton of room for improvement, and if you can get it right, you'll be ahead of your direct competitors. I feel like this should be repeated consistently: [su_quote]If you focus on the product, the rest will come.[/su_quote] Buildify has a review of some of the best apps for loyalty programs on Shopify, and many of them will be compatible with other websites. You will most likely need a CRM to maximize potential because 88% of people prefer suggestions that are tailored to them. Let's look at another strategy many businesses use.Upselling
Upselling is the process of suggesting something that goes well with a product that the customer might enjoy. You see it all the time at fast-food restaurants: [su_quote]Would you like to make that a combo?" or " Would you like to make that a large?[/su_quote] Even Amazon does it. In the screenshot below, they suggest two books that people commonly buy when someone buys Building a StoryBrand. If someone chooses to buy all three, the purchase is 2.61 times the revenue. If you aren't doing this, you need to start today. It's an amazing growth strategy. Neil Patel, a rockstar marketer, suggests trying to make 30% of your profit come from upselling and tells you how he does it. Just make sure the suggestion is relevant. The Shopify App Store has 418 different upselling software apps. Mike also mentions it briefly as one of the key strategies to encourage customers to spend more. Check out our podcast with Mike below: The Shopify App Store has 418 different upselling softwares, so make sure you read reviews before you choose one. Alternatively, you could review Predictive Analytics information on providers. Imagine what your profit would look like with an extra 30%! Don't get too caught up in that because we have more killer tricks to grow businesses.Subscription-Based Models
Anyone who uses business software has seen how a subscription-based model works.
A quick search can find an Office 2019 disc for $49.99, but if you order Microsoft Office 365, it's $10/mo or $100/year.
Given the typical person buys a computer every 4 years, the subscription-based model generates up to 9.6x the revenue and reduces the costs of manufacturing, transporting, and storing the disc.
That's great for software companies, but how does that apply to other types of companies?
Price Intelligently has a great blog on subscription-based models and points out that it will consistently increase total customer value until they cancel the subscription.
This model can be used with any product that either releases new products routinely or sells disposable products.
In service-based industries, subscription-based pricing can be used to strengthen customer loyalty (commonly used with UberEats/Doordash) and/or stabilize revenue.
I have seen HVAC contractors charge people $20/month instead of $99 twice a year to do preventive maintenance with success.
If you can use this model, I strongly suggest you do. If you are an e-commerce store, check out Shopify's walkthrough on subscription orders.
Keep reading for ways to find new customers.
How a Business owner can find new customers
There are a variety of ways that business owners can find new customers. Deciding which way works best for you will be based on your business, your personality, and other conditions. Let's look at some of the most common ways.Networking events
Networking events can be a great way to meet potential customers, especially if you are a B2B business. Other business owners will come to these events to exchange information about whatever the subject matter is. They may be potential customers, or they may be someone with whom you can exchange referrals.Increase high performing marketing campaigns
If you find a paid marketing campaign is performing well, you can increase how much you are spending on it, but do it slowly because 10x spend might only be 8x revenue. To learn more about increasing advertising, check out on blog about starting an ad agency.Reach out to past customers
As long as you have some type of customer relationship management, you should know when a customer last interacted with your business, exactly what services or products they got, and whether they were pleased with the service. Many people have busy lives, and people receive tens of thousands of emails a year. They might have gotten distracted and forgotten to reschedule their services. Reaching out to them could make a company more money, especially if it's something they do infrequently, like get oil changes, seasonal maintenance, or dentist appointments.Encourage users of your service, products, or site to share experience
One company we interviewed told us they specifically ask customers to mention the full name of the company when writing reviews to help Google rankings. A common practice in the photography industry is to request customers tag the photography company when they share pictures on social media. This helps increase the relevancy of the business and counts as free marketing. In addition, if the customer is part of your target market, someone they know is probably a target customer.Open another location
If you have gotten a sizeable share of the target market in your area, you may need to open another location. Depending on the type of business, the location may be in the same city or a different city.
Mike told us:
[su_quote]When you double locations, customers aren't just going to grow at the new location, but at the old one too. One of the biggest mistakes I made when opening a call center to support my second location was assuming that we could assume double the customers, but it was more like 3-4x the number of customers because the old location grew too.[/su_quote]
Opening a new location for something like a smoke shop can be done several miles away in most big cities because there are smoke shops almost every square mile.
Something like a lawn care business might require another truck that services a different area of the city.
If you find you can't grow in the city, you may need to look for customers in other cities. At that point, you'll want to consider if opening and running the location yourself makes sense or if you want to start a franchise.
Mike told us:
[su_quote]If you are in a business like cleaning services with a low cost of startup, just start a second location. If it's something like lawn care, the startup costs are high, so sell franchises.[/su_quote]
Sell Franchises
Selling franchises can turn other people who are thinking about starting a business into customers, but selling franchises require well-documented policies and great business systems in place to make it where the new business owners don't damage the reputation. Most businesses have not clearly defined their company policies enough that they are ready to grow a business by selling franchises, but if you have, you should check out our posts about how to scale a business and how to sell a business. Mike told us: [su_quote]Franchises are best in high-cost-of-entry industries because you pass the costs to someone else but get less of the profit. It takes 100 franchisees before franchising becomes profitable.[/su_quote]How to grow your small business with marketing
Finding customers with marketing can be a challenge during the early stages of business. There is a lot of trial and error before potential clients become new customers. SalesForce has a blog about why it takes 6-8 touches to get new customers. That means they've done their research, looked at reviews, looked at pictures of your work, asked friends if they are existing customers, and seen many of your ads. Small businesses are competing with other small businesses and large companies for new customers. Be prepared to learn a lot about marketing or hire someone. Either way, don't expect your marketing plan to generate results that happen overnight. Stephen from NW Softwash spent a lot of time talking about marketing in our interview with him about power washing. He talks about social media, marketing budgets, building a team, and how he grew his business up to $120k/mo by the age of 21. Take a few to listen to what he has to say. [su_youtube url="https://www.youtube.com/watch?v=H99wDmpnE_g"] You'll want to use tools like Google My Business to help you show up in search engines. You'll want your company website to be easy to use as customer experience can help or hurt a business. You might want to have a professional copywriter create your landing pages. Then there are paid ads, but that is a complex market. I'd recommend talking to someone who specializes in paid ads so you don't waste your buying power. Let's look at social media.How to use social media to grow your business
Many companies use social media to reach new customers. Social media gives you a place to share the good news, show you genuinely care, while at the same time exposing you to a vast amount of data about both existing customers and new customers, hence the rise in spending on social media by both big business and small companies. If you want to know how to grow a small business on social media, the best thing to do is follow what people with massive followings do and learn how to apply the same strategies to your business. Learning from other people's success is part of the trick if you want to know how to make your business grow.How to grow your business on Instagram
If you want to use Instagram to increase business, I suggest you review their help section and other resources for businesses who want to market on their platform. When you market on this platform, it's all about pictures, so make sure to have fun ones mixed in with work you are proud of. As an owner of a small business, I know how tempting it is to always be focused on business, but make it a point to celebrate small victories for your team, goofy moments, and things that bring a human touch. Mike told us: [su_quote]With marketing for a large geographic region that has diversity, try to create ads that work everywhere so you won't have to make different ones for different locations.[/su_quote] You should also find local "celebrities" or micro-influencers and try to get them to communicate with their audience about your company. Just make sure they actually love your product. People can tell when someone is being insincere. Ultimately, Mike reminded us: [su_quote]I focus on audience, improving systems, things like that. You don't need to spend a ton on marketing. Look at Tesla — they don't have a marketing budget because they Have Elon's tweets.[/su_quote]How can I grow my business with no money?
If you don't have any funds and can't take loans to market your company or do any of the other tips to increase sales discussed in this post and in the podcast, you should probably start thinking ahead and reinvest some of the profits from your business.
When people ask me how to grow my business, the first thing I ask them is:
[su_quote]What is your business and how are you addressing the market?[/su_quote]
Most of the time, they don't have a clue how to answer it. One customer decided to spend $150k to bring 30 products to market, but he wouldn't start selling any of them until all of them were ready to sell.
It's 5 years later, and the company hasn't sold a single product.
This kind of expenditure is comparable to buying large fixed assets, which Mike told us:
[su_quote]Fixed assets are the most cash-intensive part of a business. Find ways to limit them.[/su_quote]
The point of this is that regardless of whether your company is profitable, losing money, or has not brought its products to market, start small.
Master marketing, identify your target market, and learn how to efficiently run a company, then expand.
Or you can try to take out loans and hope that it doesn't maintain the status quo. Whatever you do, remember the best piece of advice Mike gave:
[su_quote]If you focus on the product, the rest will come. If you can manage to stay open for 10 years, there is no way you will not grow.[/su_quote]
Basically, if you want to grow your business, keep working. When a process breaks or takes too long, fix it, make it easier for your customers to buy from you, and learn marketing skills.
If you stick to it and learn from your mistakes, you will eventually become a master of your field.
We hope you found this information informative. If you enjoyed the blog and the podcast, make sure to follow us for more great insights from business owners who have managed to make a great living in a variety of fields.Comments
Mohammad Karim@
2022-03-16 19:23:45
I would like to own a business, but I have no experience.
Jennifer@
2020-08-05 23:55:45
Going to a technical institute or a phone repair school would be best to acquire technical skills needed for phone repairs. YouTube is a great place to learn but most people are practical learners not visual learners.
Brandon Boushy@
2022-03-10 09:26:02
I agree most people are practical learners, but they can learn the practical skills via YouTube by repairing their own phones or friends phones before starting a business.
Sergei@
2020-07-09 07:29:42
What Joe has been able to achieve is nothing short of amazing! He's is probably one in a million whos been able to grow his company and build such large team in electronics repair niche in just 3 years. With a little bit of persistence and perspiration anything could be achieved!
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