India is the next big business flashpoint after China. Why? The reason is because of their rapidly growing economy and a massive population; which is second only to China. In fact, i will save my breathe for now.
You can read further down as i explain in detail facts and figures you must know to operate a business in India successfully. Now for those seeking to open a business in India but are short of ideas or opportunities; this article will help you out.
It is quite understandable that everyone needs a constant source of income, but most people do not have a huge amount of capital to start a business. So in this article, I decided to do a compilation of the top 10 low cost small scale business ideas in India. These opportunities and ideas can be acted upon by men, women, students, kids, teenagers, employees, etc. So if you are still in a learning mode, then let’s proceed.
Top 10 Profitable Small Scale Business ideas in India with Low Investment in 2020
1. School and Office Supplies
These products are in demand all year round, so entrepreneurs do not need to worry about making sales. With a large number of businesses and schools situated in the urban areas of India; products such as pencils, pens, paper of different varieties, notebooks, and others will always be in constant demand.
People, especially women love to accessorize themselves; and since India is a religious, cultural yet fashionable place, customized jewelry businesses in India are sure to grow. You can invest in buying a small jewelry-making kit and create necklaces, earrings, and bracelets that are uniquely designed for each of your customers. Creativity and a good marketing tactic are two overwhelming factors that will determine if you will succeed or fail.
3. Greeting Cards
Special occasions happen all year round in India, thus the constant need for greeting cards. Even the advent of online greeting cards has not in any way decreased the demand of print greeting cards; as humans love appreciate and connect more with tangible materials. You do not have to invest much of your cash for this kind of business; all it takes is creativity and resourcefulness. Unleash all your creative juices and try to make cards with attractive designs and patterns.
Most people believe that they need thousands or millions of dollars in startup capital to open a restaurant but you do not really need to spend much, especially if you already own a small space that can be turned into a canteen. You just have to buy the ingredients that you will need to whip up your menus for each day.
Menus do not necessarily have to be top-of-the-line; you can begin with simple recipes. Remember that food is a basic need of man and humans must eat regardless of the economic or whatever situation. A point of note is that your business must be built on the foundation of exceptional customer services.
5. Thrift Shops
These are one of the businesses that are sure to become very profitable. Many people like buying second-hand items because they are affordable and fit their budget. Aspiring entrepreneurs in India can sell second-hand items like clothes, bags, and accessories for low prices.
6. Rental Services
If you have a car or an extra room in your house or building, then renting them out to other people can earn you money. This would make you reap huge profits, because you do not need to shell out cash as a business capital.
Almost everyone owns a digital camera, so you can use can also use this gadget to generate a steady source of income. Rush ID services are often sought for, especially in cities, so you can take advantage of this.
If you are skilled in handicraft, then you can surely earn huge amounts of money from this kind of business. You can create and design wooden furniture at an affordable price for the residents of your community just the way they want it to be. A good relationship with residents of your neighborhood is a recipe for success in this business.
Creativity really pays off and pays well. People love decorating their homes with vases, chimes, figurines, and other things that can beautify houses. You do not need to buy expensive products like these, but you can improvise and design your own and sell them at low prices.
If you are gifted with an artistic talent, then let it shine by creating paintings for the people in your community. Not only will you be able to express your artistic side, but you would also get paid for it.
These are the top 10 small scale business ideas in India that you ought to try. Please bear in mind that these top 10 small scale business ideas in India is a product of an in-depth research we conducted; so they are almost guaranteed to give you steady sources of income and make you earn reasonable amounts of profit.
How to Start a Business in India Successfully
i. Choose an Industry
If you want to start your business in India, the first thing that is expected of you to do is to choose an industry where you would want to build a business in.
There are several highly thriving industries in India and it is expected that you decide on the industry to build your business based on your area of strength. For example, the I.T. industry is one of the thriving industries in India and there are countless numbers of business opportunities available in the industry.
Once you are able to make up your mind on the industry to build your business, the next step that you are expected to take is to conduct feasibility studies. India is a unique country when it comes to setting up businesses; a business that can thrive in one region will likely fail big time in another region. So, you are expected to conduct your own feasibility studies in the region you intend starting your own business.
iii. Write Your Business Plan-:
Irrespective of what part of the world you intend starting your business, the norm is that you are expected to write a workable business plan before launching the business. Consequently, if you are starting a business in India, you are also required to write a business plan.
The truth is that without a good business plan in place, you are likely going to struggle to build a business from the scratch in India. The competition amongst entrepreneur is much in India; every business owner would want to outsmart their competitors. That is the reason why you need to draft a workable business plan that has unique business strategies.
iv. Register Your Business
As it is required in most countries of the world, you cannot legally operate a business in India without registering the business with the government. If you run a business that is not registered, there is a limit to the height the business can grow to.
The ministry of corporate affairs is in charge of registering business in India, so you are expected to visit their office to make enquiry of the requirements needed if you want to register a new business in India. Basically there are four categories of company registration in India you will be required to choose from any of them when you want to register a new business in India.
The categories are: Indian Company, Part 1 Company, Section 8 Company and Foreign Company. The various application forms are available for free download in the official website of the Ministry of Corporate Affairs, India.
v. Join Professional Networks
One of the means you would need to survive as startup in India is to join professional networks. Any business built in isolation will struggle to survive in India that is the reason why people look for professional organizations and enroll as a member.
The benefits you stand to gain when you join a professional network in your industry are unlimited. Thus, ensure that you look for relevant professional organizations to join once you start your business in India.
The average Indians are internet savvy, so if you intend starting a business in India, you must ensure that you open a professional website for the business. When you have a professional website for your business, it makes it easier for people searching online for businesses to locate your businesses.
It is also important to create a platform where people can purchase your goods online. E – Commerce is in vogue in India and if you must do pretty well with your business in India, you must create room for people to purchase your goods online and get it delivered to them.
vii. Make Provisions for Pay Your Tax
If you want to start a business in India, then you must make provision for paying your tax regularly. There are about 20 different taxes that people pay in India, you can contact the Central Revenue Collection agency in your region or the office of the Comptroller and Auditor General to enquire of the tax you are required to pay. India is among the countries of the world that can boast of having a well developed tax system.
There you have it; the steps you would need to follow if you want to start a business in India.
Doing business in India – 10 facts / Challenges you must know
If you ask entrepreneurs of repute what they think about doing business in other parts of the world other than theirs, chances are that they would tell you it is a great opportunity to always spread their tentacles. As a matter of fact, doing business in another clime exposes you to learn a great deal that might be useful to you in the nearest future.
Indians are known for their great level of productivity. This is because they are a species of business minded people who look to see that they get good returns on their investments. So, you just might want to consider starting your business in India. However, it isn’t enough that you run off to start your venture, without first considering some facts.
These facts have to do with cultural norms, business lifestyles, as well as general notion about the Indian clime. Therefore, if you are convinced that you might want to do business in India someday, then you may want to consider the following facts that you must have at the back of your before doing business in India. Now, here goes….
a. Labor Contracts Is Important
If you are looking to do business in India, it is important that you know quite a lot about the labor laws. Indian labor laws offers a minimum of benefits to all employees and these laws take the place of the provisions of labor contracts. There are three types of contracts in the Indian country and they are;
- Permanent contract
- Fixed contract
- Temporary contract
Therefore, Investors have got to pay special attention to the Industrial Disputes Act, which supplies a large number of protections for employees. This act has to do with the hours of work, leave holidays, payment of wages, terms of service, as well as other conditions. This act also governs wage and remuneration acts which control the payment of wages and bonuses.
b. Foreigners Need Visas
You have to know that all foreigners visiting India need a visa. It is pertinent to note that India issues tourist visas, usually for 180 days with multiple entries. Consequently, applications must be made at the consular section at the nearest embassy or high commission. There is the business visa- which indicates that the period of stay in India per visit is limited to six months, and the employment visa.
c. Transfer Pricing
You have got to also take note of the transfer pricing. This has to do with the prices charged between associated enterprises established in different tax jurisdictions for their inter-company dealings. For tax and auditing reasons, international transactions between associated enterprises have got to be evaluated on the foundation of the “arm’s length principle. Furthermore, a transfer pricing audit is needed if the related party transaction exceeds INR150 million.
d. Indians are not Punctual People
It is needful that you know that Indians are not principally known for their punctuality. Bottom- line is that they are perceived as sloppy people. However, this might not be true about all Indians. For most of us all over the world, we all know that time is precious; however, for the average Indian, it’s auspicious.
e. Too Much Bureaucracy
One very not too good fact about India is the high level of bureaucracy. Political parties exert a huge amount of power. For that reason, industrial ventures are not easy to set up and as such you may be required to bribe them. This isn’t a permanent thing, as you may keep bribing those in power dispensation after dispensation.
f. Office Is Taken Home
It is needful that you know that business in India is usually taken home. Indians see nothing wrong in taking work home. As a matter of fact it is something they would readily jump at. Therefore if you want to start your business in India and you have employees who want to take work home, do not be surprised as it a part of the culture.
g. Cheap labor
You can be sure to get cheap labor in India. This is not to say that the people in India do not like to be paid high. However, this has become like a culture and norm for the people of India. This is why when you want cheap labor, and then you can look to getting them in India.
h. Indians Are Diligent
One of another very good fact that you may consider taking to the bank is the fact that Indians have very diligent workers. Therefore this is one fact that you should hold dearly. Because you can rest assured that your workers in India would be diligent.
i. There Is Not Much Business in one City
It becomes sort of awkward when you are looking to do business in one city of India. Say for instance; New Delhi. You should be ready to do business in different cities. This is because it is one of the long held norms in India. People in India travel a lot so as to capture the market fully.
j. Business starts Late
In India it isn’t a new thing to have businesses start and end late. Business starts at about 10:30 in the mornings and ends at 6:30 or even longer. It is for that reason that you have got to have this at the back of your mind, so that you may figure out how to fix things.
Now that you now know these facts, it becomes important that you sit and check yourself to see if you would still want to go ahead with setting up your business in India. This is not to say that India isn’t a favorable place for business. As a matter of fact, you can make loads of returns of investment in India.
- How to Get HVAC Technician & Contractors License in Arkansas - March 22, 2020
- How to Get HVAC Technician & Contractors License in Alabama - March 22, 2020
- 50 Best Recession Proof Business ideas & Industries for 2020 - March 22, 2020