The recent pandemic that hit the world had a huge impact on the way we conduct business globally. Many businesses that used to be safe businesses to start in the past are no longer safe. So if you are thinking of starting a new business this year, it’s okay to ask what is the safest business to start.
It is not enough to just start a business, the most important thing is to see that the business succeeds. According to studies, more than 90% of businesses fail within their first three years. That means if you will be starting a business, you need to shoot for low-risk businesses to increase your chance of survival.
In this post, we have highlighted the top and safest business to start this year as well as some of the riskiest you wouldn’t want to dare. So if you are looking for low risk business ideas, this post got your back.
Top Low Risk and Safest Business to Start
#1: Service for seniors
The last time we checked, there are about 80 million baby boomers making up about 26% of the whole population of America. And the truth is that these people aren’t getting any younger.
By 2050, the number of people age 65 and older is expected to rank up from 523 million to a whopping 1.5 billion. That is to show you how lucrative starting senior care services could be. It may be the biggest growth market in the next few years to come.
Areas you can position yourself in the senior care industry include medical claims advising, nutrition consulting, and in-home care services like providing transportation and running errands. Plus, boomers are one of the wealthiest generations in history. If you are able to offer them the services they need, they will be willing to give enough money for your services too.
#2: Job training and career counseling
Sad to say, but the truth is that from the great recession to the Covid-19 recession, more than 12 million jobs were lost. While that may not sound as good news to some people, job trainers and career counselors are actually enjoying that to get their business to the next level. Right now, it is as though the whole world is hunting for new jobs or looking to change their career paths altogether.
Starting this low-risk business doesn’t require much capital. You don’t need an office space if you will be working with clients online. You are most likely not to struggle to get clients for the business, and typically, a career counselor earns anywhere between $75 to $300 per hour, depending on their experience and reputation.
#3: Website or logo design
Most businesses today are moving online, and existing ones are thinking of how to increase their online presence. Position yourself in the middle of these needs and earn a good income for yourself. If you have the skill of creating websites, logos, or any other graphic design, this is the best time to think of turning the skills into a business.
You don’t need much investment to get this started. With just your skill, a laptop, and some dedicated software, you can set the ball rolling. However, increase your chance of earning good money by choosing a specific niche for yourself and become a specialist in it. For example, you can decide to be a book cover designer for authors and create authority for your brand in that niche.
#4: Marketing services
There has been no better time to start a marketing agency than now. With more and more businesses going online, there is a high need for experienced marketers to help promote the businesses. Whether it is to increase brand awareness, conversion, or lead generation, business owners will be willing to pay you handsomely for helping their business achieve its goals.
#5: Dropshipping
Dropshipping is another low-risk business you can start this year. With drop shipping, you don’t have to worry about stocking products or getting them shipped to customers. You just need to focus on promoting the products online and spreading the word to your customers. The money will flow in.
In fact, you don’t need to have your own product in this case. When anyone makes a purchase on your website, you will simply send the order to the supplier who then fulfills the order and ship the product to your customer. Dropshipping is arguably a cool and low-risk business worth mentioning on this list of “the safest business to start this year.”
#6: Tutoring
Find a way to monetize your skills by offering to teach people what you know. You don’t need to rent office space while starting out with this business. You can offer to tutor students in an academic subject right from your home – and online.
Marketing your service is also pretty easy, especially with the help of such sites as Tutor.com. As the business grows, you might consider bringing more people on board to join you and increase revenue.
#7: Sell your unused books
Everyone has a few books they no longer need. Why not bring them out and turn them into cash? You can host an event in your home, invite people to join, and use that opportunity to sell your books. Just imagine how many book clubs out there will be willing to come over to your place for dinner while getting some new reading material in the process.
#8: Virtual assistant
Still on the subject of safest business to start this year, and it will make a whole lot of sense to add virtual assistance to the list. You can offer tasks such as managing a schedule, coordinating errands, putting reports together, etc. and you can do all of this with just a computer, a phone, and internet connections.
However, as the business begins to gain foot and demand starts to increase, you can hire more people to help while also giving you the chance to take on more work.
5 Riskiest Business To Start; You Should Try to Avoid Them Altogether
We have highlighted the safest business to start. It will be good to also show you some businesses that are least likely to succeed in the present economy. We call them the riskiest business to start.
Coin-operated laundry and dry cleaning
This is a really saturated industry. And it doesn’t matter where you open your business, you are most likely going to be welcomed by huge competitors that are already experienced in the game. Startup costs for running this type of business are also very high – it can rank up to $1 million in some instances. If you don’t have enough money and an excellent marketing strategy, it is good to just shelve the idea altogether.
Carpentry contracting
The number of people building their homes in the U.S has reduced drastically in the last few years. And with the recent recession, it doesn’t look like it’s going to improve any time soon. In fact, the number of people working as carpenters has reduced from 1 million to about 750,000 showing how hard the industry has been hit. It looks as though the only thing carpenters can build these days is a new career. You sure don’t want to start a new business in that dying industry.
Starting a restaurant
A restaurant business may not be the best option for someone looking to start a low-risk business. The business requires that you have enough experience and access to an already existing customer base. If you can buy an already existing restaurant or starting catering services, that will make a whole better and less risky option than starting a restaurant from the scratch.
Growing mushrooms
This is a lucrative business but requires a lot of patience and upfront investment to make it succeed. You will also need specialized devices designed specifically for growing mushrooms. When there are other safer business ventures to consider, it is not recommended to stick your head into this kind of business with steep barriers.
Starting your own blog
This might be contrary to the several build blog advice you have heard in the past. The truth is that while a blog pays well, it is tough to make a living from it. The competition these days is super high. Virtually everyone is starting an online blog.
But get u right. We never say it is difficult to start a blog – of course, it is super easy, but making significant money from it is where the hard work is. If you are looking for a business that will help you earn good money after a few months of starting it, you might need to avoid blogging. Most blogs don’t even have ads on them, and the ones that do, most of them only earn a dollar or two in revenue a day.
