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60 Profitable Small Town Business Ideas in 2020


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Do you live in a small town, village or in a rural area in India or any or other countries around the world? Are you searching for low-cost small town business ideas that will do good profit in towns and rural areas? Here in this article, we have compiled 60 most profitable small town business ideas for small cities, villages and rural areas.

Small towns or Tier 2 and Tier 3 cities are coming out to be the emerging markets all across the globe. Small towns are potentially the biggest market for consumer goods and as well as eCommerce companies. Find below the selected list of businesses you can start with a low investment for people staying in small towns.

Here is a List of 60 Profitable Small Town Business Ideas

#1. Acrylic Buttons Manufacturing

The demand for acrylic buttons is increasing due to an increase in the consumption of garments used for domestic use and for exports. The consumption of both these sectors have registered significant growth in the past and it will continue to show good growth in future years.

#2. Agarbatti Making

Any individual can start Agarbatti making business on a small scale. Agarbatti is considered as household goods having great market potential. The burning of Agarbatti or incense in religious and social functions has been practiced traditionally for a long time. People nowadays also use it for better aromatic experience at home.

#3. Air Bubble Packaging Wrapper

Air bubble packaging wrapper is an essential item in the packaging field as a convenient and economical cushioning material. The demand generation of electronic goods and other fragile items in recent years has left a wide gap to fulfill the packaging need using air bubble film which has generated a good potential of the project for new entrepreneurs.

#4. Aluminum Door Window Manufacturing

The aluminum door window manufacturing business is one of the profitable small business manufacturing opportunities in the light engineering industry sector. You can start this business with small startup capital.

#5. Aluminum Foil

Aluminum foil is used in different industries in different forms. It is used in pharmaceutical tablets, bulk & unitized packing of tea and coffee, prepared meals, bakery products, frozen meat, fish, milk bottle caps, wine, lube oil, greases, powdered milk, confectionery, biscuits, photographic film, gift wraps, household wraps, butter, margarine, and cigarettes.

#6. ATM Space Renting

The demand for ATM space is high. The banks usually rent the space for a certain amount of years and the contract is renewed every two or three years. If you are looking forward to a fixed monthly income, ATM space renting is a good retail business proposition for you.

#7. Bakery

The bakery is one of the most profitable small town business opportunities one can initiate by having owned or rented space. Selecting the right product and proper marketing strategy are the major deciding factor in getting success in the bakery business. According to the demand and financial aspect you will need to choose the specific products for your bakery business.

#8. Banana Wafer Making

Banana wafers are under-ripe bananas that are cut into slice dipped in syrup solution, dried under the sun or in the oven, fried and eaten as snack food or dessert. Additionally, you can sell the item both in the local and export markets. You can initiate this business on a small scale basis.

#9. Bedsheet With Pillow Cover

This is a very good consumer product and one of the best business ideas for small towns. You can start the business with small capital investment. Knowledge in the textile industry is important. Small, medium and large scale operation is possible.

#10. Bio-diesel Production

Bio-diesel production unit can be established on a small scale basis at any place where the main raw material Jatropha oil is easily available. There is a continuous search for renewable sources of fuels due to the rate of depletion of fossils. The term biofuel is used to define fuels that are obtainable from plants or animals. Being a renewable source, it is gaining attention all over the world today.

#11. Bridal Store

A bridal store focused on specialty wedding attire with allied wedding supplies product is a profitable retail venture in the clothing and fashion industry. Even in a poor economy, brides to be and their wedding parties spend a lot of money on bridal attire and wedding accessories because weddings are memorable once-in-a-lifetime events.

#12. Candle Making

Aromatic decorative candles have a big market. It is used as a gift item also. Candle making business can be initiated as small-scale. Women especially can try this business.

#13. Canned Rasgulla Making

Any individual can start a canned Rasgulla making business with moderate capital investment. Additionally, revenue-wise the business is lucrative and highly profitable. However, you must ensure a regular supply of fresh milk to your factory.

#14. Cashew Processing

In cashew processing, the manufacturing activity includes cell cooking, cutting, cashew kernel drying, peeling, grading and packing. Additionally, you can initiate cashew nut processing as an export-oriented plant too.

#15. Coconut Based Business

Coconut production plays an important role in the coastal economy. If you stay in a place where coconut is grown in plenty, think of starting a coconut related business.

#16. Costume Jewelry

This is a multi-million dollar industry now. It attracts women of all ages. The major reasons for its popularity are the low price with a highly attractive look. You can start costume jewelry selling from home. You can sell from your own online store. With the innovation of technology, it is easy now.One of the best business ideas for small towns for housewives and women.

#17. Designer Lace Making

With knowledge about lace knitting, any individual can initiate this business from a home location with small startup capital. Nowadays you will find different lace-making machines. The commercial lace-making unit is possible by establishing these machines. Designer lace has a very good market demand and is an essential item in designer clothing materials.

#18. Detergent Powder Manufacturing

Detergent and washing powder are surfactants. And washing powder is an important ingredient for cleaning and washing purpose. Generally, there two different types of manufacturing technologies are available. One is spray dried and…

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