Most Profitable Small Town Business Ideas: 15 Business Ideas

small town business ideas

70% of the Indian population lives in small towns. Most of the existing profitable businesses in these areas are agriculture-related. However, there are several other rural area business opportunities in India. Today, we will share you the complete list of small town business ideas in this article.

Nowadays even women living in small towns want to live independently. In the previous article, we discussed how women can earn money sitting at home, both offline and online. Let us discuss some small town business ideas.

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Small Town Business Ideas/Which Is The Best Business In Small Town

Before investing your money in any business, make sure to make your business plan so that your business runs properly. Based on your knowledge and skills, you should select the best business idea from the list given below. So friends, let’s see some small town business ideas.

Tea business

The tea shop business is one of the best businesses in a small town. This is a low investment business. In today’s time, the business of tea is no longer a small business. The best examples of this are Chaayos, MBA Chai Wala. Only by selling tea their monthly income is in crores. You should open your shop in a place where more people come, such as a bus stand, or at an intersection. You can have biscuits, samosas, bhujia and many other things with tea.

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Pani Puri Stall

Who does not like pani puri? If you are looking for the best business idea in a small town, then the business of pani puri can be very profitable. Like tea, a pani puri shop is also a low cost business. Pani Puri business is in demand everywhere. If you provide good quality, people will be attracted, and then no one can stop your shop from running successfully.

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Chit Fund Business

The fact is that you need money to start a business. Some businesses require more, some less. If you don’t have much money to start a business, don’t worry we have another option for you. You can invest in chit funds. You do not even need any kind of space for this business. You can earn a lot of profit from this business by investing very little money. You can earn an average 25% interest through chit funds. To know about Chit Fund, read What is Chit Fund and how it works.

The Money Club is India’s best online chit fund platform. This platform also gives you the opportunity to work as an agent.

You can also become an agent and earn money by referring people to join The Money Club. It’s very simple:

  • Download the Money Club App
  • Login to The Money Club App and tap on the ‘Refer and Earn’ option
  • Share the referral code with your friends and invite them to download and use The Money Club app.
  • For each referral, the user gets Rs 200 (Rs 100 as cash and Rs 100 as credit). In addition, you earn bonus on your first 5, 10, 15 and 20 referrals.

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Aloe Vera Cultivation

Aloe Vera is a type of medicinal plant, which has been used for thousands of years in Ayurvedic and herbal medicines and beauty products. It is quite easy to cultivate it in small towns. Aloe vera juice is also very beneficial. By applying it on the face or drinking the juice, you get rid of many problems. That is why these days, there is a lot of demand for aloe vera in cities. Hence, this is a small town business idea which can be very profitable. You can earn money by cultivating aloe vera and selling aloe vera juice, gel or powder.

RO Water Supplier

Companies worth thousands of crores have been created by selling water. There is no shortage of water in the small towns as there are wells or irrigation facilities. You can filter that water by applying a RO water machine and supply it. You can cover a market around your town where there are at least 50 to 100 shops. By filling water in 20 liter containers and different types of containers, you can supply and earn quite a lot. You can also make small sachets of water and sell them after freezing them.

Clothes Shop

Because most small towns and villages are far from major city areas, a clothes store that sells the latest clothing options and quality fabric will be a hit. With the spread of the internet into Indian towns and villages, city-style clothing is becoming popular. This can be a great small town business idea as people can’t travel to cities often.

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Tent House Business

Tent house business is one of the best businesses in a small town. Puja, Festivals, Wedding Ceremony, Anniversaries, Birthday Party, social and religious events all require a tent house. But you may have to invest a little more in this business. If you have a little knowledge of it and your budget allows, then you can start it. You need to invest once but you can earn good money. This is the best example of a passive income where you invest once and keep earning continuously.

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Cold Storage Business

Cold storage business is a very good option for the people living in a small town. Vegetables and fruits get spoiled easily due to lack of cold storage. In the beginning, some investment will definitely have to be made but it will get good returns.

Medical Store Business

Medical store business is a beneficial small town business idea because it is needed by everyone all the time. This is a business that runs for 24 hours and 12 months. B Pharmacy degree is required to start this business. Along with this a license is also required. If you have done this course then you can open a medical store very easily.

Spice Powder Making

Spice is an essential item in cooking and food processing. Apart from individual spice powders like chilly, cumin, and turmeric; special quality mixed spice powder processing is more profitable. Some of the most popular items are sambhar masala, curry powder, chat masala, etc. Spice grinding and packaging is one of the most profitable food processing businesses and a great small town business idea.

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Fertilizer Seed Shop

Farming is the main occupation in Indian villages. Agriculture-related products like pesticides and fertilizers are always in demand. Though farmers get most of their supplies from wholesalers, these wholesale markets are at far off places. A retail outlet will make their lives easier. Small farmers often don’t have safe storage spaces, resulting in loss of grain stock. Farmers will not have to go out of the small town to get fertilizers and seeds. Along with fertilizer seeds, you can also sell many things related to farming.

Grocery Shop

This is one business idea that cannot fail if the location and area are well-chosen, the quality is preserved, and the prices are fair. The recession may affect luxuries, but needs are inevitable regardless of the economic conditions of the people residing in small towns.

Tomato Processing

Tomato is a widely available item and processed tomato products are also very popular. The most popular products are tomato sauce, puree, juice, ketchup, etc. In initiating tomato processing, you can also produce tomato pulp for other small-scale industries. Additionally, the business demands simple machinery and equipment. It is one of the best businesses in a small town. Additionally,  ladies looking for business opportunities from home can start this easily.

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Milk Center

Most of the people in a small town are associated with animal husbandry and farming and at the same time every farmer in a small town has at least one cow and buffalo, so the milk center is also a good small town business idea. You can contact a dairy farm to build a dairy centre. Milk centres collect milk from villagers and sell it to dairy farms. As most village families own livestock, it is easy to get the supply needed. You also take loans from banks at low interest.

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Photocopy, Stationery Shop

The level of education is continuously increasing in the modern era. In such a situation, people need photocopies, books, copies, pens and various types of materials for studies. Keeping this in mind, you can earn a lot of money by opening a photocopy and stationery shop. If you want, you can start this low cost business by opening a photocopy shop outside any government department.

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