Do you want to start a small business in California? If you are living in California and looking for small business ideas in California, find below a list of profitable business opportunities that can be started with low investment.
California is the most populated state in the United States with a huge market. It has one of the best products and technologically advanced facilities. California is undoubtedly one of the most diversified marketplaces on earth.
California leads the nation in the production of fruits and vegetables, including carrots, lettuce, onions, broccoli, tomatoes, strawberries, and almonds. The state’s most valuable crops are grapes, cotton, flowers, and oranges.
Dairy products, however, contribute the single largest share of farm income and California is again the national leader in this sector. The state also produces the major share of U.S. domestic wine.
Silicon Valley is located in Northern California. It is home to many of the world’s largest high-tech corporations, as well as thousands of tech startup companies. California continues to be a major U.S. center for motion-picture, television film, and related entertainment industries, especially in Hollywood and Burbank.
Though, California remains behind due to its complicated business policies and taxes. The regulations are quite rigid, but still, the state has a wide scope for small businesses. Here are some of the growing business opportunities you can grab in California.
List of 22 Small Business Ideas in California
Find below a list of top small business ideas and opportunities that can be started with a low budget:
1. Restaurant Business
With one of the largest numbers of restaurants in America, California is a thriving market for the restaurant business. You will need a considerable amount of capital when you start, but it has high returns. You need to choose a visible location followed by a good menu.
2. Fitness Center/ Gym
A small space and a few types of equipment you will need to start a standard fitness center or gym. There’s going to be a sizeable financial investment, but with the basics right, you can have a successful gym business in the long run.
3. Car Wash Business
California has one of the largest car populations in the entire United States. Naturally, this opens up a wide market for the car wash industry. You will need a little investment, but this business will give you instant returns in a very short span. If you are an automobile enthusiast and looking to start a low-investment business, a car wash certainly is one of the most profitable business ideas in California in the automobile industry.
4. Social Media Consultancy
Businesses are going on the Internet to sell their products and services. While social media plays a major role in generating leads, most of them don’t know how to do it. You as a social media consulting agency will help businesses manage their social media accounts to grow sales.
5. Smartphone Repair Services
Nearly the entire California state has access to smartphones. This means there are going to be some issues on these smartphones that need to be fixed and have the ability to turn profitable quickly.
6. Private Security Firm
California has the highest rates of hiring individuals from private security firms. You can train personnel for event security and residential patrol. The private security firm business also needs prior licensing to be eligible for services.
7. Digital Printing Business
The digital printing business will need an investment to set up the types of equipment. Though, if you can set up your own printing business in the state, California has one of the highest needs for prints. Try to run on a break-even model initially.
8. Digital Marketing Agency
The growing online market for businesses needs digital marketing. While most people are unaware of what they need to do, the agencies help them to run their businesses online. As a digital marketer, you will do everything a business needs on the internet.
9. Recycling Business
The business will need some investment, but the recycling business has high profits. You can recycle plastic, paper, and other waste to refine them into usable products. You can also sell your recyclable goods to other vendors or sell them to wholesalers as well as manufacturers.
10. Billboard Business
The state has one of the highest revenues for billboard advertising. Finding good spaces in California could be a hustle, but if you have your mapwork ready, things may work well for you. Billboard business requires specific licensing and legal permits.
11. Barber Shop
A very essential need, a barbershop can run in any part of California. You can either get trained or keep staff who will do it for you. Try giving your shop a trendy look and also keep a check on all the latest hairstyles.
12. Gift Basket Services
Presenting a buffet of gifts the right way is all about the gift basket business. Try picking up the right gifts from wholesale markets and be good for your organization. The business needs very little investment but has scope to grow, especially during festivals.
13. Influencer Marketing
Influencer marketers help brands connect to the right set of influencers. You will analyze businesses and select the right set of influencers for them. The business mainly involves connecting a brand to the right influencer.
14. Wedding Videography Business
People want to save their memories in the best way possible. Wedding videography is a growing business worldwide. You can experiment with what you do, but definitely give extra attention to the editing work.
15. Online Business Consultancy
Most offline businesses are now going online. Due to a lack of expertise, often these businesses fail to handle their online operations. As an online business consultant, you will help businesses seamlessly carry out their businesses on the internet.
16. Laundry Service
The laundry service has high growth potential in California. You will need a little capital to start and set up your service. Quality service will help you build your own loyal customer base around your business.
17. Shipping Business
California has one of the largest needs for shipping services. There are already a number of players operating throughout the country. So, you can start your own business focusing on a small area with the best distribution network.
18. E-commerce Seller
It’s less than starting a shop online and needs very little investment. Choose a business, register yourself, and start selling them online. The market is very wide on the internet, and you can at the same time keep down your turnover costs.
There’s a huge market for crafted beer in California. The microbrewery business will need a substantial amount of investment, but the profit is high as well. Set up your own brewery and bar by producing different flavored crafted beers.
20. Financial Services
The working population in California has started to invest vigorously in the last decade. The investment habit has opened up a market for financial services. If you are good at managing finance, you can start your own advisory consultancy.
21. 10$ Gift Shop
In cities like Los Angeles in the state of California, there is no shortage of tourists from all across the world. Most travelers want to buy budget gift items for their near and dear ones. Opening a gift shop and selling items within $10 can be a huge success.
22. Vending Machine
You can sell a wide range of products through a vending machine. It can be food items, cleaning supplies, toys, beverages, cosmetic products, and many more. One thing is for sure, there will not be a shortage of customers here in California.
How to Start a Legally Compliant Business in California
After finalizing the business idea, it is time to launch your small business legally. The 7 steps to be followed are mentioned below:
- Step 1. Create a Business Plan
- Step 2. Register Your Business
- Step 3. Register for Taxes
- Step 4. Open a Bank Account
- Step 5. Set Up Accounting
- Step 6. Get Permits & Licenses
- Step 7. Market Your Business
The market is growing and the state is reworking the business laws as well. If you planning to start a small business in California, these are some of the best ideas which you can start without much capital.
About the Author: 99businessideas.com led by Rupak Chakrabarty is committed to helping beginners, entrepreneurs, and small business owners in starting, managing, and growing their business. Our aim is to educate the entrepreneur on the various stages of entrepreneurship.