6 types of business with the fastest profit

2024 Author: Malcolm Clapton | [email protected]. Last modified: 2024-01-15 16:39

Are you dreaming of starting your own business, but are you afraid that you will have to wait for the first profit for years? Catch business ideas that quickly start generating income.

To start your own business, you have to spend money. Some businesses require large investments, others minimal. But the problem is not even in the amount of costs: you can both quickly increase a small capital, and enchantingly let a fortune go nowhere. The main question that you need to understand before starting a business is how quickly this money will return to you.

It is impossible to predict with absolute certainty when the business will turn out to be a plus. This will depend on the dynamics of the market, the demand for your product and other factors that need to be analyzed and taken into account. The basic formula for calculating ROI looks like this:

INV ÷ R = CURRENT,

where INV - business investments, R - revenue per month, and TOK - payback period.

When calculating for your business, operate with real numbers from the market, see the indicators of competitors, take into account possible price increases and sales decline out of season.

For example, we will calculate the payback of the production of a wooden garden swing using this formula. Let's say you intend to make them in your own garage with a carpenter's assistant and purchase them at a discount from your local sawmill.

• Open IE - 1,500 rubles.
• Purchase material - 50,000 rubles.
• Purchase tools - 20,000 rubles.
• Pay for the carpenter's help - 25,000 rubles.
• Order advertising - 10,000 rubles.
• Equip the room - 7,000 rubles.

Total: 113,500 rubles

You figured out your strength, estimated the demand in the market and realized that you can make and sell 10 swings per month. Price for one copy - 5,000 rubles.

We substitute the obtained numbers into the formula:

TOK = 113,500 ÷ (5,000 × 10)

TOK = 2, 27

It turns out that your business expenses will pay off in about two months. You will still have expenses for materials and labor, but the rest of the money will become income.

Before starting a real business, you need to calculate everything in much more detail. But do not rush to spend money on a financial advisor - familiarize yourself with the principles of calculating profit. There is one that will help you understand whether your business will take off or not. This blog in an accessible form talks about different tools for a profitable business. You can learn how to avoid mistakes that hundreds of entrepreneurs have made before you.

Here are five business ideas that will turn out to be profitable pretty quickly.

1. Services for children

Average yield in plus: 3-4 months.

The quick payback here is due to the demand in the market and low investments. The most popular services for children are educational and entertainment.

Educational - these are all kinds of "development", sections, centers for reading and preschool training, music studios. The demand for such services is consistently high - children begin to learn foreign languages, reading, sports and playing instruments even before school. Large-scale investments in equipment will not be required. But teachers and premises will be needed.

Entertainment services - organization of children's parties, trampoline centers, playgrounds with video games and attractions. Children's birthday parties or family weekends are increasingly being held outside the home. Such a business does not require special pedagogical education. But you have to invest in the arrangement of the site. For example, a small trampoline slide costs about 100 thousand rubles. To quickly return your investment, you need to find a place with high traffic.

Tatiana Bazdyreva financial advisor, specialist in management accounting and financial modeling

In the field of children's services, there is a trend towards an individual approach. If you can not fit all the kids to the same standard, immediately stand out from the competitors. For something unique, people are ready to take their children to even the other end of the city. For the provision of ordinary services, it is better to open in residential areas. But a densely populated quarter is not yet a guarantee of demand. It is important to study competitors: they may already cover all the needs of the microdistrict.

2. Online courses

Average yield in plus: 1-2 months.

The advantage of such a business is the absence of large financial investments. Possible expenses - a headset with a microphone, faster internet, your own website and advertising. You can make the site yourself or register a page on the course aggregator. Student recommendations will be a good advertisement.

But you will have to spend time creating your own program - to stand out among hundreds of other courses. Think about what additional experience you will benefit from your students. For example, you can teach English through songs and music, explain the specifics of programming financial transactions for banks, teach the specifics of wedding photography.

Tatiana Bazdyreva

The main mistake is trying to cover everything at once. Choose a specific specialization and cover the client's problem with your service. For example, you are an English tutor. It's a bad idea to write "Professional tutor with 10 years experience", there are thousands of such specialists. Good ideas are “Teach you to speak English without an accent” or “Prepare for a negotiation, interview, or speaking in English.” Take a few sessions for free and ask test students what they expect from this service to understand what to focus on.

3. Event decor

Average yield in plus: 1-2 months.

The era of Instagram has elevated the aesthetics of the design of everything into a cult. Decorators are even invited to home birthdays, so that they organize a beautiful photo zone or choose a single style of the holiday. What to say about weddings, anniversaries, corporate events and large themed parties.

In the event design, you don't have to buy a lot of materials in advance. Usually, you first agree on a set plan with the client, then draw up an estimate and make an advance, for which you will purchase the necessary elements. Get reliable contractors for flower shops and printing houses. Your initial investment will go towards creating a portfolio (you may have to arrange several holidays for friends for free), developing a website, advertising and opening an individual entrepreneur.

Tatiana Bazdyreva

This kind of business is subject to seasonality. For example, a wedding agency has a period of active work - from June to August. If at the same time there are many fixed costs, such as renting an office and paying employees, then there is a high risk of facing a cash gap. Evaluate your business in terms of seasonality. If income is unstable, minimize fixed costs and switch to project wages.

In organizing holidays, you are responsible for the important moments in the lives of others. You will not explain to the sobbing bride that the flowers did not come through no fault of yours - you simply let the contractor down. If for business you have to cooperate with counterparties, always check their reliability. The Beeline Business blog has a detailed how to find out everything about a counterparty from open sources.

4. Agricultural production

Average yield in plus: 8-10 months.

The payback will largely depend on whether you have your own land or have to rent it. But in any case, products are always needed, and the trend for environmental friendliness and naturalness is driving the modern food sector.

In Russia, one of the most profitable and profitable agribusiness is growing in greenhouses. We'll have to spend money on building a greenhouse, an irrigation system and seeds. But seeds are hundreds of times cheaper than the product you grow. The greenhouse can also work in winter: seedlings for sale and various types of greenery are grown in a cool temperature.

Tatiana Bazdyreva

The status of an agricultural producer gives some advantages: subsidies and special lending programs. Find out which of these opportunities are available in your area and take advantage of them.

5. Home services

Average yield in plus: 1-2 months.

In their free time, people want to relax, and not to clean up or fix broken little things. Therefore, repair and cleaning services are in great demand. Investments in this business are small: tools or detergents with equipment, advertising and bureaucratic procedures.

If you are engaged in repairs, installation of air conditioners or water heaters, you need to advertise well and increase volumes. In cleaning, your clients can easily become permanent, because the house is cleaned once or twice a week. It is especially important to be the friendly and benevolent person that people will want to invite into their home.

Tatiana Bazdyreva

Consumers in this area lack a predictable result: when the master does not have to finish or redo anything. If you succeed, you are already a few steps ahead of the market. For example, checklists will help you to excel in the field of cleaning services: the cleaner checks that he has not forgotten anything, and the client understands exactly what he is paying for. In repair services - the provision of a guarantee. She will show the client that you are responsible for quality.

6. Street food

Average yield in plus: 6-8 months.

Russian public catering lacks healthy snacks for those who do not eat at home, but monitor their nutrition. But the cost of opening a cafe or restaurant can pay off for years. The food truck is another matter. A van on wheels, where a coffee machine, a small stove, a refrigerator and other necessary equipment are installed.

If there is an opportunity to put a couple of benches nearby - great. If not, focus on the take-away format. You will have to invest in this business, so your food truck should be in a place with high traffic. For example, next to business centers.

Tatiana Bazdyreva

Unique recipes and catchy advertising, unfortunately, will not ensure success without well-organized production and logistics processes. Pay close attention to them: check whether the room meets sanitary standards, whether the packaging retains the freshness of the product, and consider other technological issues.

Whatever business you start - evaluate costs, profitability and risks “ashore”. To better understand the challenges entrepreneurs face, read the Beeline Business blog. He explains how to properly advertise your product, helps you choose the tools that work, and understands complex Russian laws, tricky taxes and unexpected fines.