You’re driven, you’re disciplined, and you’re bursting with creative ideas. You have all the traits necessary to make it as an entrepreneur. There’s just one problem: You’re low on capital, and don’t have the network you’d need to find investors. The good news is there are plenty of ways to launch a business with relatively low investment requirements. In this post you will find a list of Low Investment small Business Ideas to start in 2023.
Protect Your Business
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No matter what kind of business you start, it’s important to make sure you keep your personal assets safe – and protected – from your business. The easiest, and most popular way to do this, is to form an LLC in the state where you are doing business.
For example, if you live in Texas, after you choose a name for your LLC, the next step is to select who will be your Texas Registered Agent. A Registered Agent is a person or a company who agrees to accept legal documents, called Service of Process, on behalf of your LLC if your LLC is involved in a lawsuit.
After you select who will be your Registered Agent, you can then file your LLC formation documents with the Secretary of State and wait for it to be approved. Once your LLC is approved, you can draft and sign an Operating Agreement and get an EIN Number from the IRS before opening your LLC Bank account.
10 Best Low investment Small Business Ideas that you can start in 2023
1) Go into Dropshipping
Retail is an uphill climb if you don’t have much capital, as you’ll typically need to invest a lot of money in inventory. Dropshipping is one of the best low investment small business to start in 2023 that offer high returns.
One way around this dilemma is to get into dropshipping. This is a distribution model where another company handles the inventory, and packages and ships products as needed. All you have to do is close some sales.
If you have gifts of persuasion but don’t have the space or the resources to store products, try dropshipping. Learn how to sell on etsy using Printify as your dropshipping partner. And concentrate solely on marketing strategies and attracting potential customers to your products.
2) Print on Demand
The print on demand business model is very similar to dropshipping. Again, you are selling products but relying on a third party to stock, package, and ship inventory.
The difference here is that you’re focusing on custom designs. You develop an original image, print, or pattern. Your print on demand fulfillment partner can then use that design to create personalized shirts, mugs, or pillows.
There is very little investment required for print on demand. All you need is some creative talent and some modest marketing resources.
3) Freelancing is one the best low investment small business that you can start in 2023
Instead of selling a product, why not sell a service?
If you have a marketable skill like writing or web design, you could offer that skill on a freelance basis. You could even try working as a virtual assistant.
Freelancing requires time, but not much in the way of monetary investments. In fact, platforms like Guru and Upwork make it very easy and affordable to sell your service. Freelancing is one of the top low investment small business ideas to start in 2023.
4) Sell Real Estate
Selling real estate requires you to study, to become licensed, and to have a good network. It also helps if you have some resources to spend on marketing.
Nevertheless, it’s a low-capital business idea that doesn’t require previous experience. If you like people and you’re willing to hustle, going into real estate may be a great career path.
Spend some time investigating real estate trends in your community to get a sense of the current market status.
Tutoring is another way you can offer a service, without the need to stock up on products. In fact, if you meet students at their homes or at coffee shops, you don’t even need a physical office space.
Demand for tutors is always high, especially in non-English languages and in more advanced mathematics courses. If you’re academically gifted, tutoring can be the way to go.
6) Become a Social Media Manager
Social media management isn’t just a matter of posting stuff on Facebook. You have to be diligent in responding to comments and sharing new material in a strategic way.
But if you’re pretty savvy on social media platforms, and you know how to stay organized, you might have what it takes. Excellence in this field requires very little in the way of money, making it a great, low-threshold option.
7) Sell Insurance
Selling insurance may not be everyone’s cup of tea. If you like people and you’re good at persuasion, though, it may be a good fit. Knowledge of the insurance world is required, but otherwise, this is a very low-investment endeavor.
It’s also a very secure and potentially lucrative endeavor. After all, people will always need insurance. Meanwhile, the commissions you make can be substantial.
8) Become an Event Planner
Event planners have to be organized. They have to be prompt. And it helps to have a lot of local connections. What you don’t need is a lot of startup cash.
A good way to get into this field is to plan a couple of events pro bono. Referrals from happy clients can get your foot in the door, setting you up for long-term success.
9) Do Affiliate Marketing
Affiliate marketing is all about selling other companies’ products through links embedded on your own website or blog.
There is virtually zero startup cost associated with this job. However, you will need to create a lot of content that commands a huge audience.
10) Offer Bookkeeping
Every business needs accurate bookkeeping. You don’t have to be a CPA to do this work. And in terms of startup resources, you really just need the right software and some basic training and credentialing. This may take some time, but the cost involved is pretty minimal.
Offering your services as a freelance bookkeeper can be lucrative, even if you have a relatively small pool of clients.
Make the Most of Limited Capital
Just because you’re light on cash, it doesn’t mean your entrepreneurial dreams are dashed. Consider any of the above low investment small business ideas to start with in no time.
Matt Horwitz is the founder of LLC University, a website that teaches people how to form LLCs. Matt is the leading authority in LLC education and is featured in CNBC, Yahoo Finance, Entrepreneur Magazine, and US Chamber of Commerce. Matt holds a Bachelor’s Degree in business from Drexel University with a concentration in business law. LLC University®, established in 2010, was the first company to create free LLC courses in all 50 states.
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