10 Profitable Small Town and Village Business Ideas in 2021
8 min readAre you looking for small town and village business ideas this 2021? Here are profitable small-town businesses and agriculture-based business ideas for you!
Large companies always start small. Putting up a startup business in a small town would be the best idea to test the waters first. Once you get good results, you can expand your business into new markets by scaling up and starting a new branch in the city.
Moreover, opening a business in a small community provides a lot of benefits such as the following:
- Lower costs
- More incentives
- Greater community supports
- Effortless networking
- Less competition
So if you are looking for the best business ideas in the village such as successful agriculture ideas for startups, welcome! Check out our compilation of the top small-town businesses that work below!
How to Bring Business to Small Towns?
First of all, let us give you some tips on how to choose the best business to start in a small town. You can only guarantee the success of your business if you do your research well and understand what is in demand in your community. Below are some tips you can follow:
- Perform background research on your local market to see what is in demand
- Find a location where you can optimize your business’s traffic
- Check the available resources including other businesses that are located in the area
- Ask other businesses nearby about the requirements and estimated costs so you’ll have a rough idea of the things you have to deal with
Now, let us proceed to our list by starting with highly profitable agricultural businesses you can try in the next section.
#1 Small Farm Business Ideas
Source: Pexels
Are you looking for money-making agriculture business ideas? Farming would be the perfect business to start. In rural areas, agriculture is the major source of income and is the key contributor to the community’s development. It supports environmental services and ancillary businesses as well as helps in reducing poverty by providing employment opportunities.
Investment Range to Start
Niche Market and Agriculture Business Ideas
- Hobby farm (small scale agriculture business ideas)
- Agritech (for innovative businesses)
- Organic farming (easy farming business ideas)
- Poultry farming (among the fastest-growing agricultural businesses)
Why Choose This Business
- Business ideas for farmers in village areas are among the most lucrative and highly profitable agricultural businesses
- These are great and low investment agriculture business ideas in rural areas, especially in agricultural producing countries such as:
- India
- Nigeria
- Nepal
- Uganda
- Pakistan
- Sri Lanka
- Philippines
#2 Agro Processing Business Ideas
Source: Pexels
Agro-processing is the processing of local produce to make them usable as agricultural products. Finished products include cereals, animal meat, poultry products, milk, cheese, eggs, and others. Food will always be in demand whether in small towns or big cities due to the increasing population. In addition, ready-to-cook and eat foods are also increasing rapidly as people’s lifestyles are changing.
Investment Range to Start
Niche Market and Business Ideas
- Flour mill
- Rice mill
- Sugar mill
- Papermill
- Potato chips
- Jute mill
- Brewery or winery
- Meat processing
- Jam jelly making
- Iodized salt production
- Ice cream making
- Honey processing
- Fruit juice making
- Essential oil production
- Condensed milk production
- Bread manufacturing
- Biscuit making
- Spices manufacturing
- Dairy product production
Why Choose This Business
- Anyone can do it with a small investment
- Numerous options you can consider
- Highly profitable
- High demand
- Constantly increasing market
#3 Best Franchise, Wholesale, Retail Store, and Small Shop Business Ideas for Small Towns and Villages
Source: Pexels
Small town wholesale and retail business ideas would be great startup business ideas that can generate high profit. Small towns only have a limited number of wholesale and retail shops. This gives you the opportunity to start a unique business targeting a specific market.
For instance, clothing shops can become successful small-town businesses because villagers will often buy clothes for special occasions and when traveling to cities. Another one is a fertilizer or pesticide business which makes sense because rural areas are largely agriculture-based.
Investment Range to Start
Niche Market and Business Ideas
- Fertilizer/pesticide business
- Grocery store
- Drugstore
- Antique or thrift store
- Liquor store
- Automotive repairs
- Car wash shop
- Ice cream shop
- Dry cleaner
- Bookstore
- Electronics dealer
- Floral shop
- Bakery
- Hardware store
- Clothing boutique
- Tattoo and piercing shop
- Vape shop
- Gift card shop
- Sweets shop
- Tailor shop
- Cosmetics shop
- Plumber/electrical shop
- Food truck
- IT and computer services shop
Why Choose This Business
- Low investment and high-profit business ideas for small towns and small villages including in the UK
- Variety of options you can choose from based on your interest
- Different potential markets
- Low competition
#4 Manufacturing Business Ideas in Villages
Source: Freepik
Small towns and villages are the most ideal places to put up small-scale manufacturing units. Aside from catering to the needs in your local area, you can supply products to nearby cities and towns. The manufacturing ideas we have mentioned below are the most profitable and in-demand products, so don’t worry about your market.
Investment Range to Start
Niche Market and Business Ideas
- Paper shopping bags
- Candles manufacturing
- Spices manufacturing
- Snacks manufacturing
- Detergent powder
- Noodles and pasta manufacturing
- Furniture making
- Candy and chocolate making
- Ice cream manufacturing
- Papermaking
- Corrugated boxes
- Toys manufacturing
Why Choose This Business
- Smaller capital
- Lower overhead
- Smart and big business ideas in villages that you can scale up
- You can supply other nearby businesses and cities
#5 Pet Businesses Ideas
Source: Pexels
Pet care businesses are good business ideas in villages that you can explore if there are many pet lovers in your area. Pets are often considered as parts of the family, so they receive the same care as all of the family members. They are groomed, dressed up, and given treats because what owner would want to leave their pet uncared for?
Investment Range to Start
Niche Market and Business Ideas
- Pet grooming and boarding
- Veterinary office
- Per accessories and care products
- Pet photography business
- Dog treat business
- Organizing pet competitions
- Dog breeding business
- Pet training business
Why Choose This Business
- Easy business to do
- Low investment
- It doesn’t need that much work
#6 Barber Shop Business Ideas
Source: Pexels
Barbershops and beauty salons are very profitable businesses if you know how to choose the right location and give quality service. You can even start a barbershop without being an experienced barber yourself. In village areas where people know almost everyone, barbershops are the places of public discourse and social interaction. They are great places where customers can bond with their friends.
Investment Range to Start
Niche Market and Business Ideas
- Hair salon
- Barbershop for specific age ranges
Why Choose This Business
- Small scale and low budget business ideas in village
- Long-term business
- You don’t have to worry about the competition if you have a creative niche
#7 Opening a Coffee Shop in a Small Town
Source: Pexels
Coffee shops have always been places for community gatherings and meetings ever since. They are where people go after work before going home to spend some time comfortably by grabbing a quick drink. It is a place of socialization where tired workers, friends, couples, and others can take a short break from their stressful work. But again, make sure you do market research and scout a great place for your business to ensure success.
Investment Range to Start
Why Choose This Business
- Less risk
- Less time involved
- Less competition
- Smaller investment
- A great place to build a community
#8 Small Town Restaurant Ideas
Source: Pexels
Aside from coffee shops, small restaurants and bars are other great places to relax after a very long day in the village areas. They offer villagers a great means to catch up with their friends over a drink or good food, especially on special occasions. We recommend hosting food competitions and catering special events to expand your market reach if you are going to start a small restaurant in a village.
Investment Range to Start
Niche Market and Business Ideas
- Bed and breakfast
- Specialty health food
- Hybrid bar/coffee shop
- Sports bar
Why Choose This Business
- Not much competition
- Lower labor costs
- You don’t need many employees to help you
- You help create a sense of community
#9 Outdoor Small Business Ideas
Source: Pexels
Do you love staying outdoors and don’t want to stay in a single place just to do business? Then a small outdoor business idea would be perfect for you. Even in small towns, you can help your busy and elderly neighbors clean their homes and maintain their yards. Not only that, but you can also bring your kids with you. The outdoor business ideas we have mentioned below are great ways to bond with your kids and earn money at the same time.
Investment Range to Start
- Business under 1 lakh in village
Niche Market and Business Ideas
- Handyman or contractor
- Home cleaning service
- Gardening and landscaping
- Lawn mowing
- Photography
Why Choose This Business
- Can be done part-time
- You don’t need a physical office
- It doesn’t require that much experience or skills
- Can be done by kids
#10 Home Business Ideas in Villages
Source: Pexels
Let us end our list with business ideas for housewives in local villages. Students who want to earn extra money can do these too. The best home business idea would be to tutor kids which will surely be a big hit in villages. Rural areas often lack well-qualified teachers. This makes it the best time to grab the opportunity to offer your services to parents who want quality education for their kids.
Investment Range to Start
- Business under 5 lakhs in village
Niche Market and Business Ideas
- Tutoring business
- Nail salon and spa
- Massage therapist
Why Choose This Business
- Simple and part-time business ideas in villages
- You don’t need a large space for your business
- Flexible work schedule
Other Best Business Ideas to Make Money in Village
Below are other top business ideas for small towns you might want to try:
- Health clinic
- Fitness studio or gym
- Event venue and planner
- Real estate agency
- Catering company
- Bowling alley
Also Read:
Conclusion
You only have a small group of customers when you start a business in a small town. This makes choosing the right business and location crucial to guarantee that your business will be generating profit. This is why doing market research is always important to create products and services that will surely meet the demands in your community. Hopefully, our list of agricultural land business ideas and business ideas to develop in a village has been helpful to you.
