Making a list of the 10 most profitable businesses for the year is a rather bold task, as many unpredictable variables may make some businesses less lucrative than others. Despite that, there are still trends and patterns that we can use to create a rough approximation of the most profitable businesses to start in 2023.
2023 is in full swing, and with the ongoing global economic turmoil in the wake of Covid-19, employment is a massive concern for many. Deviating from traditional corporate jobs, small businesses have experienced a massive boom. Everyone loves the idea of being their own boss, however, this is not as easy an endeavor as many think it to be.
The 2019 Startup Genome Report suggests that eleven out of every twelve Startup Businesses fail within the first year. Just from that, we can surmise that the dream of starting your own business needs a lot of effort and thinking to become a reality. The first step on this long road is choosing what business to delve into, and many people gloss over this crucial step, leading to certain failures.
So, what businesses are the way to go today? The main aspect to assess when looking for prospective businesses is the viability of the business. This includes factors like originality, market networking, financial scope, and more.
Originality refers to doing something original and special in a saturated market to stand out. Why should a consumer choose your product or service over everyone else? Moving on from this, market networking and research are next. Making a strong contact network within your market opens doors to opportunities for your business and builds trust in your brand. Lastly comes the financial aspect, the hardest one. Assessing the financial prowess of a business idea is not everyone’s cup of tea. For this bit, it is highly recommended to consult with an outsourced accounting service such as Expertise Accelerated before making any rash decisions.
With all that said, to help you get started here are some popular and profitable potential business ideas for your next small business venture.
Table of Contents
The 10 Most Profitable Businesses of 2023
E-Commerce
Coming as no shock to most, E-Commerce reigns at the top of the list for the most profitable startup businesses of the year thanks to the immense accessibility into the market and high potential for profits. It takes relatively small investment costs to have it up and running, and you are free to sell quite literally anything online. Ranging from furniture to clothing, the possibilities are endless. The Quarterly Retail Sales Report 2022 reports a steady 14.8% of all retail sales being E-commerce. The market for it is massive as everyone wants their goods at home, and all it needs is a product to sell and a platform to sell on.
Services like Shopify and WordPress are easy to use to make your own website and market your products, all from your home.
Food Trucks
This may come as a shock to many but yes, Food Trucks are the future of restaurants in 2023. Analysts at Grand View Research project a $6.6 Billion increase in the market for food trucks by 2028. With Covid-19, traditional restaurants may never be able to truly recover, and many were forced to close amid lockdowns. Food Trucks thus have become a safe and profitable alternative for the culinary industry, offering good food at a very low operation cost. The low starting cost and versatility in business with respect to location and menu make this a very strong contender for the most lucrative business to start in 2023.
Of course, there are legal documents required to get started such as licenses, but if you are a chef then this may be your road to big profits.
Dropshipping
E-Commerce may prove to be too expensive to get started for many but never fear, there is an alternative. Dropshipping refers to essentially becoming the middleman between consumer and supplier. Instead of purchasing an inventory, dropshipping is about making an online store and marketing products on it. Should a product sell, the supplier delivers it directly to the consumer and you get a commission for making the deal. MoralStory provides a detailed guide for any beginners looking to jump into the dropshipping market!
Personal Training
Exercise and fitness are a big need today, and personal trainers are in high demand. A 39% increase in the employment rate for personal trainers has been projected by the US Bureau of Labor Statistics, so why not cash in on the action? Any health and fitness nut out there looking for a small business to start need not look further, personal training is shaping up to be one of the most lucrative businesses to start in 2023. All it takes is some exercise equipment and self-marketing and you can begin your personal training career today. There are no certifications required, just a good attitude and smart client management and you are good to go!
Web Design
Web development is yet another tough contender for the most profitable business to start today. Freelance web designers are always in high demand as every company now needs a website. Using avenues like Fiverr and Upwork, as well as access to millions of free learning resources, being a web designer is easier than ever. All it takes is the dedication to learn and before you know it, you’ll be making thousands doing web design.
Real Estate
This is a complicated one. Property dealing can easily top the list of the 10 most profitable businesses to start this year, however, it is equally difficult and a double-edged sword. You could simply buy and resell properties and turn them into a profitable business for yourself, or even get a license and become a professional real estate dealer. Skills like deal-making and market analysis are invaluable here and Expertise Accelerated publication titled “The Ultimate Guide to Real Estate Accounting: Tips and Best Practices” highlights having an accounting professional or service in your corner as a very beneficial recommendation for this specific business. However,
Tuition and Tutoring
Regardless of the world situation, school never stops. Kids are more than ever in need of private tutoring as schools become remote. In this climate, if you possess any expertise in a subject then tutoring is one of the most lucrative businesses to set up. Proof of qualification and recommendations from others is all you really need to get going and make a name for yourself in the education industry.
Graphic Design
Every company and business out there today desire a sharp and appealing image of their brand. Graphic designers are thus in high demand just like web designers, and a good graphic designer can make a pretty penny with the right skills and marketing. This is yet another business idea that can be learned and executed for essentially free. Are you proficient in Adobe Illustrator and Lightroom? If so, maybe graphic designing is your golden chance to start your own small, lucrative business.
Digital Marketing
Digital marketing involves using avenues like social media, influencers, and Search Engine Optimization to market your products. With the knowledge that E-commerce is the most profitable small business today, these businesses in turn become prospective consumers for the digital marketing business. In short, the E-commerce business brings in work for the digital marketing business and both can profit substantially from this symbiotic relationship.
Professional Cleaning
A cleaning service may seem strange here, but in actuality, it is one of the top 10 most profitable business ideas for the year. People always require someone to clean up after them, whether it be homes, offices, etc. You can start a cleaning business straight from home, all you need is cleaning supplies and some good ol’ elbow grease. When it comes to cleaning, it is a very stable and consistent business, with clients always available, and can prove to be quite a lucrative business model.
Conclusion
In summary, starting a small business today is not easy. Most of them fail, so doing your research on the subject is paramount. This list of the most profitable businesses of 2023 is by no means the definitive answer to the question; rather, it is a rough approximation of what to expect of the business landscape of 2023 and can serve as a strategic basis for further research. Keep in mind the three factors we discussed: originality, market networking, financial assessment, and venture into the world of small businesses.