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Big business can happen in small towns. Small towns offer a unique opportunity for a concentrated market as well as the challenge of a limited population. Finding small town business ideas that will stay relevant is about meeting current demand with a great product or service.
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To start a business in a small town, you need to research the local market as well as the specific geography of the physical location. In a small town, you are very dependent on a small group for business, so choosing the right location to optimize store traffic is important. If your business plan is service-based, it’s still a good idea to have a solid understanding of how big your market is.
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Once you have an idea of your town’s consumer market, you can lay the groundwork for a variety of small town business ideas, ultimately deciding which one will work best for you. Once you learn about the resources and other businesses available in your area, you can talk to other business owners and assess the costs and requirements of starting a small town business. For inspiration, we’ve compiled a list of 35 small town business ideas that every community needs. You can use this list as a starting point for research or maybe find the perfect business idea in your small town.
Starting a business in a small town requires careful research and understanding of your community. Once you understand the existing businesses in your area and the local demand (more on that below), you’re ready to decide which venture is right for you and your community.
Try to find an industry or service where profitable small businesses, community needs, and your interests meet. Here are some small town business ideas you might want to consider:
Diner, fine dining or somewhere in between, a successful small town restaurant is about giving people what they want but don’t already have. When opening a restaurant, it can be tempting to copy a popular spot in town, but consider filling a need — or want — that locals can’t find nearby, and attractions that are worth traveling to from another city.
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For example, a farm-to-table restaurant is a great business idea in a small town, but if you’re not in an agricultural area or your town already has one, consider an alternative. Think about what your family will see when they leave town. Maybe it’s an elegant dining experience, or it’s a slice of New York-style pizza, but there’s a good chance there’s a market for a new restaurant. You just need to understand what people want – and what they will eat.
Make up for slow business traffic by serving drinks people want all day. If coffee shops aren’t a “thing” in your town, serving coffee all day in a place where people go — like a bar — can gradually normalize the activity and encourage cross-business. A local bar in a small town may be your dream job, but a coffee shop can start bringing in money at sunrise; There’s no need to compromise, as long as you create an environment that works both day and night.
Depending on county laws and state taxes, opening a liquor store can be one of the most lucrative business ideas in a small town. Liquor stores control the liquor market in small towns, especially in areas where liquor stores are not allowed to sell alcohol. Be sure to read up on how to start a liquor store, as securing the necessary documents (such as a liquor license) can be difficult.
A good craftsman will always be in demand, even in small towns. If you often get calls from friends, family and neighbors and see a leaky pipe or a rickety floorboard, you’re on your way to starting a small town business that works.
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Starting a contractor service will be relatively easy if you already do odd jobs and have an idea of who will hire you. If people in the area are not familiar with your business, try to get in touch with a general contractor who is willing to bid on a small project and hopefully get your name out to future clients. In word-of-mouth businesses such as service, repair and construction, people you already know and who know your business are your strongest salespeople.
Owning a car is essential if you live in the country or a small town, but if you’re far from a dealership, regular service can be a problem. Auto repair services fill a clear need for small towns and make life more convenient for local residents, so you might want to consider opening a shop in your town.
Likewise, cars break down everywhere, and many tow trucks charge per mile. So if your town is a significant distance between major cities, you may have the opportunity to start towing cars even if you don’t have a proper garage.
Some people don’t like cleaning, and there’s a good chance some of them live in your town. Why not start a cleaning business for them? This is another service that benefits from a word-of-mouth referral system, and can also be combined with other services such as babysitting or yard work. Professional cleaning is a valuable skill, but you don’t need to spend a lot of money on courses or certifications, so it’s a great option if you’re looking for a low-cost side hustle.
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All businesses and individuals need technology support, no matter where they are located. No matter how big or small a city is, there will always be people who use technology — and who will have trouble connecting to their WiFi.
Less visible than a storefront business and less regular than a service like house cleaning, this service needs a little more advertising to get the word out. But if you don’t plan on doing major repairs, it won’t require a lot of equipment, so you’ll also keep overhead costs low.
Opening a pet store in your town is one of the great small town business ideas if you don’t already have a local store or a large chain like PetSmart or PetCo. Depending on the pet population in your area, there may be a demand for pet grooming and boarding services.
If you are interested in opening a pet store or pet service business in a small town, ask local pet owners where they currently get their food and care. A local pet store owner in your town can also be a good resource if you are interested in offering grooming, walking or boarding services.
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Chances are there is at least one barbershop or salon in your town, but if you want to open a successful hair salon, this can help. If the demographic group is underserved – ie. there’s only one barber shop catering mainly to men – find out whose hair needs aren’t being met on the high street right now.
If your city is already served by full-service salons and barbers, you may want to consider a more niche hair care business, such as a blowout bar or salon that offers makeup, lashes, and tanning in addition to hair services. provides.
They may not be the most lucrative businesses, but gas stations are essential in communities where most people rely on cars and trucks for transportation. Small towns located on or near major highways can get a fair amount of through traffic, and unlike many businesses, a gas station can benefit from an in-between town location. Lottery and tobacco sales can also generate significant income, especially if you are the only seller in the area.
When a town that can run a grocery store doesn’t have one, there’s probably a good reason: Maybe too many people commute to work and use other stores, or there isn’t enough population to support a big box chain.
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If you want to go the independent route (ie not opening a franchise store), try to find a way to specialize your store so you don’t spend too much on bulk inventory. Use local products, trends and tastes to help make this decision.
In agricultural areas, market-style shops selling local produce and seasonal goods tend to be popular with both locals and tourists. A city that already has a large chain grocery store, but few organic, local, gluten-free, or vegetarian options available, is a great candidate for a specialty food store.
A pharmacy or dispensary requires more work — from hiring a pharmacist to purchasing insurance to establishing safety precautions — but if your town isn’t served by a pharmacy locally, this could be a great opportunity to open a long-term business in your community. .
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