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64 Small Town Business Ideas in 2024 (Potential Income PLUS Drawback)

July 23, 2024

Some of the small town business ideas are:

  1. Local lead gen business
  2. Hybrid bar/coffee shop
  3. Liquor store
  4. Handyman
  5. Automotive repairs
  6. Home cleaning
  7. IT and computer services
  8. Pet store, grooming, and boarding
  9. Salon and barbershop
  10. Gas station


Starting a business in a small town has its own set of opportunities and challenges compared to larger cities. According to the Small Business Administration (SBA), small towns usually have less competition, which can help new businesses attract and keep customers more easily. A survey by Main Street America shows that 70% of small-town residents prefer shopping locally, so understanding and engaging with the local community is key. While lower living and operating costs can be beneficial, the smaller customer base means you'll need creative and targeted marketing. Entrepreneur Magazine notes that businesses that use social media and take part in local events often enjoy better customer loyalty.

Success in a small town depends on building strong relationships, offering excellent service, and meeting local needs. SCORE's case study found that businesses with strong community connections saw a 20% increase in repeat customers. With the right approach, small-town businesses can thrive and become vital parts of their local economies. 

In the Reddit discussion "What is the most successful business to own in a small town," you can get some ideas about what people online suggest you try. Some of the small town business ideas mentioned are gas stations, liquor stores, landscaping, and car washes.

This article will show you 64 small town business ideas you can try. It also discusses the potential income you can make and the drawbacks you may face with each business idea. Additionally, it presents some reasons why certain business ideas are well-suited for small towns and identifies the easiest ones to start. Lastly, we will introduce a business idea that can generate a passive monthly income of $500 to $3,000.

1. Local Lead Gen Business

Local lead generation involves creating websites or online platforms that attract local customers through targeted keywords. These platforms get contact info from potential customers and give it to local businesses. You build a site for local search terms. You use it to create business for others.

In small towns, local lead generation offers a valuable business opportunity. There is less competition than in national markets. By focusing on specific local niches, you can help area businesses attract more customers. Quickmail says over 500 lead generation companies are listed on Clutch. This shows the industry is active and has room for new participants. This model allows you to target local markets. It helps you build a steady income stream by connecting local businesses with potential clients

To start in local lead generation, first, find local businesses that need more customers. Use tools like Google Keyword Planner to find local search terms for their industry. Then, you need to create a website for these keywords. You can use platforms like WordPress and Wix to build your site. Promote your site through local SEO strategies and social media. You can use services like Moz or SEMrush to help improve your site's search engine ranking.

Potential Income

You can earn between $500 and $3,000 per month per site by generating qualified leads for local businesses, as reported by LinkedFusion. The income varies based on the niche and effectiveness of your lead generation site.

Drawback

Maintaining high search engine rankings requires ongoing SEO efforts, which can be time-consuming and require specialized knowledge.

2. Hybrid Bar/Coffee Shop

A hybrid bar/coffee shop is a business that serves both coffee and alcoholic beverages. During the day, it operates as a coffee shop, providing customers with various coffee drinks and snacks. In the evening, it transitions into a bar, offering a selection of alcoholic beverages. This dual approach caters to different customer preferences throughout the day. According to DriveResearch, 51% of people purchase coffee from a coffee shop at least once a week. Additionally, Gitnux notes that a small coffee shop can sell around 230 cups of coffee daily. These statistics show a steady demand for coffee, which can drive daytime sales.

cartoon of outdoor seating at a restaurant

To start a hybrid bar/coffee shop, begin by researching the needed licenses and permits. You need them to sell both coffee and alcohol. You can check the Small Business Administration (SBA) for this info. Additionally, platforms like Upserve can help manage your business operations efficiently.

Potential Income

Majesty Coffee says that a small to medium coffee shop can generate $60,000 to $160,000 in income for the owner each year. This income can grow by adding bar services in the evening. It will attract more customers and extend business hours.

Drawback

Starting a hybrid bar/coffee shop can be costly. Upmenu says that startup costs can range from $50,000 to $300,000. The range depends on your location, size, and needed renovations. This investment is a major consideration for anyone looking to enter this business.

3. Liquor Store

A liquor store is a shop that sells alcoholic drinks. It sells beer, wine, and spirits to consumers. These stores carry a wide range of products and cater to many tastes and preferences. They are usually in busy areas to attract many customers. According to Ovvi, the average profit margin for liquor stores ranges from 20% to 30% annually. Additionally, a July 2023 Gallup survey found that 62% of U.S. adults drink alcohol. This shows a large customer base. This demand creates a good business opportunity for those entering the retail market.

To start a liquor store, you will need to get the licenses and permits required for selling alcohol. You can find the information in resources, like the Alcohol and Tobacco Tax and Trade Bureau (TTB). Also, talking with a business advisor or using tools like LivePlan can help you plan well.

Potential Income

According to Overproof, a liquor store owner can expect to earn between $20,000 and $50,000 annually. This income can vary based on factors such as location, store size, and the range of products offered. Diversifying your inventory and offering unique products can potentially increase your revenue.

Drawback

There are several challenges to consider when opening a liquor store. IBISWorld reports that there were 45,740 beer, wine, and liquor stores in the U.S. as of 2023, showing a 2% increase from 2022. This growth indicates a competitive market. Additionally, BottlePOS says the average cost to open a liquor store in America is $50,000 to $100,000. These costs include inventory, licensing, and initial setup expenses.

4. Handyman

A handyman business offers many repair and maintenance services for homes and businesses. It involves fixing plumbing, doing electrical work, and carpentry. A handyman has a diverse skill set to handle various types of maintenance and repair jobs. Futuremarket says 80% of American homes will need handyman services yearly. This high demand makes it one of the best small town business ideas. Residents often need skilled professionals to handle their home maintenance.

Starting a handyman business involves getting the licenses and certifications. The Small Business Administration (SBA) website provides information on local licensing requirements. You can also use platforms like Thumbtack and HomeAdvisor to market your services and find clients. These platforms can help you reach a broader audience and build your reputation.

Potential Income

According to Handyman Startup, a self-employed handyman can earn $53,000 to $120,000 per year. This is their income after expenses. Your income varies with the number of clients, the range of services, and your efficiency. Providing excellent customer service and expanding your skill set can help you increase your earnings.

Drawback

Starting a handyman business requires an initial investment. According to WIXBlog, startup costs typically range from $5,000 to $25,000. These costs cover tools, transportation, marketing, and other business expenses. Additionally, competition from established service providers can be a challenge.

5. Automotive Repairs

An automotive repair business focuses on maintaining and repairing vehicles. Services usually include engine repair, brake services, tire changes, and routine maintenance. This business needs technical skills and a well-equipped facility. Your facility must handle many car models and issues. According to Market Share, households make up 75% of the auto repair market. This shows a strong demand for services from individual car owners. The need for vehicle maintenance and repair is constant. This makes it a great idea for a small-town business because residents rely on their vehicles for daily transportation.

To start an automotive repair business, you need to find a good location. You also need to get the required certifications and licenses. Websites like the Small Business Administration (SBA) can provide guidance on these requirements. Also, using platforms such as AutoLeap and Shopmonkey can help manage your business. They help with operations and customer appointments well.

Potential Income

According to FindModelsLab, US auto repair shop owners can earn $60,000 to $100,000 a year. The income depends on: the range of services offered, the shop's location, and the volume of customers.

Drawback

Operating an automotive repair business does come with challenges. IBISWorld reports that the US has 282,637 automotive repair companies. They employ over 614,433 people. The competition is tough. The industry is projected to grow at a 7% yearly rate through 2030. Initial setup costs for equipment and facilities can also be substantial.

6. Home Cleaning

A home cleaning business provides cleaning services to residential clients. Services typically include dusting, vacuuming, mopping, and deep cleaning of kitchens and bathrooms. This business needs only basic cleaning supplies. You can run it from home. This makes it accessible to many entrepreneurs. According to GetJobber, the residential cleaning industry has grown 20% each year. By 2024, 80% of homes are expected to use cleaner services. This high demand makes it one of the best small-town business ideas, as more households seek reliable cleaning services.

Starting a home cleaning business involves minimal initial investment. You can begin by acquiring essential cleaning supplies and marketing your services locally. Websites like Thumbtack and Angie's List can help you reach potential clients. Additionally, using scheduling and invoicing software like Jobber can streamline your business operations.

Potential Income

According to Homebase, a house cleaning business can generate between $20,000 and $50,000 per year. The income varies based on the number of clients you serve and the frequency of your services. 

Drawback

According to Fit Small Business, startup costs can vary widely. They range from $3,500 to $200,000 for franchises that include vehicles, locations, and advanced equipment. Also, cleaning is hard on the body. Plus, needing reliable transportation can be tough.

7. IT and Computer Services

IT and computer services involve providing technical support and solutions for computer systems. This includes fixing hardware and installing software. It also includes giving technical advice to keep things running well. Specific entities offering these services include Geek Squad and local independent technicians. The demand for IT and computer services is growing. According to Gitnux, about 80% of small businesses use cloud services. This increases their need for reliable computer repair. IBISWorld notes that more than 94% of US households have at least one type of computer. This creates a steady demand for IT services, making it a viable business idea.

To start an IT and computer services business, you need technical knowledge and tools. You can begin by offering services to friends and family to build experience. Websites like Upwork and Fiverr can help you find clients. Creating a profile on Google My Business will also increase your local visibility.

Potential Income

According to Step by Step Business, prices for computer repair range from $60 to $80 per hour, with an average of $70. With an estimated profit margin of around 80%, this can be a lucrative side hustle.

Drawback

One major challenge is the competition. IBISWorld reveals that there are over 29,000 computer repair service providers in the US.

8. Pet Store, Grooming and Boarding

A pet store sells crucial products and offers grooming and boarding for pets. This includes selling pet food, toys, and health products. It also includes offering grooming services and boarding facilities. Businesses like PetSmart and local pet groomers exemplify this type of service. Barry Lead of Colest Gadgets notes that dog owners typically spend over $1,200 annually on their pets. This includes expenses for grooming, food, treats, and health products. This consistent spending creates a strong market for pet-related businesses.

To start a pet store, grooming, or boarding business, you need money and proper planning. You can begin by researching your local market and identifying potential locations. Shopify can help you set up an online store. Google My Business can boost your local visibility. Partnering with local veterinarians and pet trainers can also enhance your services.

Potential Income

According to WikiHow, pet store owners can earn an average of about $31,000 per year. This income can increase with additional services like grooming and boarding. 

Drawback

DoJobBusiness reports that opening a pet store typically requires an investment. The investment ranges from $30,000 to $500,000. This significant financial commitment can be a barrier for many. Additionally, competition from established pet stores and online retailers can be challenging. Ensuring high-quality services and unique products can help differentiate your business.

9. Salon and Barbershop

A salon and barbershop business provides hair cutting and styling. They also offer grooming services for men, women, and children. These establishments offer many services, such as haircuts, coloring, and styling. They also offer extras like manicures, pedicures, and skincare treatments. A survey by OnePoll for Great Clips found that the average person in the United States spends about $1,400 per year on haircuts and salon services. This is about $117 per month, showing steady demand for these services. The need for grooming and personal care is consistent. This makes it a good idea for a small town business.

To start a salon or barbershop, you need to find a good location. You must also get the needed licenses and permits. This includes a business license and health permits. You also need cosmetology licenses for you and your employees. Check with your local government and state board of cosmetology for specific requirements. Also, you can use scheduling and management software, like Square Appointments. It can streamline your operations and enhance customer service.

Potential Income

ZipRecruiter says that as of June 18, 2024, the average annual pay for a salon owner in the United States is $127,973. This income can vary based on the location, range of services offered, and the number of clients. Expanding your services and maintaining high standards can help increase your earnings.

Drawback

According to Worldmetrics, the USA has over 77,000 barbershops and nearly 130,000 beauty salons. This shows high competition. Starting a salon and barbershop business also has big costs. These include equipment, supplies, and rent or renovations.

10. Gas Station

A gas station business involves selling fuel and other automotive products to motorists. Many gas stations have convenience stores. They sell a variety of goods, like snacks, drinks, and basic groceries. Additional services might include car washes, oil changes, and vehicle maintenance. According to Step by Step Business, the average US household spends nearly $5,000 per year on gas. The constant need for fuel makes owning a gas station a great business opportunity. This is especially true in small towns, where there are fewer competitors.

To start a gas station, you will need to secure a suitable location, preferably in a high-traffic area. You will also need to obtain the necessary licenses and permits. Resources like the Small Business Administration (SBA) can provide guidance on these requirements. Also, platforms like LoopNet can help you find commercial properties for sale or lease.

Potential Income

According to FinImpact, gas station owners can earn between $40,000 and $100,000 per year. This income can vary on factors such as location, size, and additional services offered. For example, a gas station with a well-stocked store and car wash can make more money.

Drawback

Starting a gas station business requires substantial investment. Step by Step Business reveals that startup costs can range from $250,000 to $350,000, and in some cases, even higher. These costs include a payment for land and construction, as well as items for the store like fuel. Also, the business is subject to fuel price changes. It can hurt profits.

11. Grocery Store

A grocery store is a retail business that sells food and other household items. It ranges from small, local shops to large supermarkets. These stores sell many products, such as fresh produce, canned goods, dairy, and toiletries. Grocery stores have steady demand. Everyone needs food and household items regularly. On average, an American shopper spends 41 minutes per trip in a grocery store. This adds up to about 53 hours each year. Saturdays are especially busy, with around 41 million customers shopping on this day. The high demand makes opening a grocery store a good business idea in small towns. There, there is less competition than in large urban areas.

To start a grocery store, you can look into resources like the National Grocers Association for guidance. Additionally, platforms like ScottMax provide valuable industry insights. You will need to find a location and get the required licenses. You will also need to form relationships with suppliers. Using software like QuickBooks can help manage finances and inventory efficiently.

Potential Income

A grocery store's average monthly revenue can vary widely, usually from $20,000 to $100,000. This potential income depends on factors like store size, location, and customer base.

Drawback

Operating a grocery store comes with challenges. The highest price inflation in nearly 40 years is causing shoppers to spend less. A Harris Poll conducted for Alpha Foods in 2022 found that 90% of Americans worry about food prices. They have become their top inflation concern, passing gas prices. This economic pressure may hurt your store's sales. Customers are cutting their budgets.

12. Drugstore

A drugstore, or pharmacy, is a store that sells prescription medications, over-the-counter drugs, health items, and household products. These stores also provide essential health services, such as immunizations and health consultations. The American Pharmacists Association says that about 58% of Americans visit a local pharmacy first. This is when dealing with a non-emergency medical issue. This shows a strong and steady demand for pharmacy services. This makes them a promising business idea for small towns with few medical resources.

Starting a drugstore involves several key steps. First, you need to obtain the necessary licenses and certifications to dispense medications. The National Association of Boards of Pharmacy and similar groups can guide you. Additionally, consider using pharmacy management software like PioneerRx to streamline operations. Finding a good spot, getting suppliers, and setting up an efficient inventory system are also crucial. They are key steps in starting your drugstore business.

Potential Income

According to FinModelsLab, drugstore owners can earn a good income. It ranges from $50,000 to $150,000 or more per year. Your income depends on location, customer base, and the range of services.

Drawback

Opening a pharmacy involves considerable startup costs. PioneerRx estimates that the average cost to open a pharmacy ranges between $400,000 and $600,000. These costs include getting a location, buying inventory, and setting up the needed infrastructure. Also, the rules for running a pharmacy are complex and demanding. They require careful attention and compliance.

13. Antique or Thrift Store

An antique or thrift store sells used items, like clothing, furniture, and household goods. These stores focus on unique, vintage, or rare items. They offer a wide range of products at affordable prices. World Metrics says Americans throw away an average of 81 pounds of clothing per year. This fuels the thrift store industry. This creates a continuous supply of goods for resale. Also, many now prefer sustainability and recycling. This makes thrift stores a good shopping choice.

To start an antique or thrift store, you need to get a retail space. You also need to get the required licenses and permits. You can find helpful resources and guidance on sites like the National Association of Resale and Thrift Shops. Also, you may want to use point-of-sale systems, such as Square. They help manage transactions and inventory. Sourcing your inventory can be done through donations, estate sales, and auctions.

Potential Income

According to FinModelsLab, US thrift store owners make $30,000 to $100,000 per year on average. Your income will depend on factors such as location, pricing strategy, and the quality of your inventory.

Drawback

Starting an antique or thrift store involves some initial costs. According to Pro Business Plans, the average cost to start a small antique shop ranges from $10,000 to $30,000. These expenses include inventory, retail space lease and improvements, licenses, and permits. You also need insurance, POS systems, and initial marketing. Also, running a thrift store takes lots of time and effort. You must sort, price, and display items well.

14. Fitness Studio or Gym

A fitness studio or gym is a place with equipment and space for physical exercise. It also offers classes and personal training. They serve people who want to get fit by improving their health, building muscle, losing weight, or staying fit. Opening a fitness studio or gym presents a significant opportunity. According to Glofox, the average American spends $155 per month on health and fitness. Attracting just 50 regular members can generate nearly $8,000 monthly. It shows how profitable this business can be in small towns with few fitness facilities.

To start a fitness studio or gym, you will need to secure a location that is accessible and appealing. Obtaining the necessary licenses and permits is crucial. Platforms like Gymdesk can help you manage your business well. They handle memberships, scheduling, and payments. Additionally, offering a variety of classes and services can attract a broader clientele.

Potential Income

Industry reports from Gymdesk indicate that the average gym earns from $300,000 to $500,000 per year. They have profit margins of 20% to 30%. This income comes from high demand for fitness and profitable gyms.

Drawback

One significant drawback is the high level of competition. According to IBISWorld, there are 113,326 gym, health, and fitness clubs in the US as of 2023. This saturation means that you need to set your gym apart. You must do this with unique services, great customer care, and good marketing. These are needed to get and keep members. Additionally, the initial investment for equipment, lease, and staffing can be substantial.

15. Tutoring Business

A tutoring business provides personalized educational help to students. It does so outside of the regular classroom. Tutors help students understand subjects, prepare for exams, and study better. According to World Metrics, over 50% of U.S. students have used a private tutor to add to their education. This shows a high demand for tutoring. It makes tutoring a viable business idea. This is especially true in small towns, where educational resources may be limited.

To start a tutoring business, you can utilize platforms such as Wyzant or Tutor.com to find clients. Also, promoting your services through social media can help attract students.

Potential Income

Sharpsheets states that a tutoring business can make about $337,000 yearly. Your income depends on factors like the number of clients, rates, and the subjects you offer.

Drawback

According to IBISWorld, there are 21,177 online tutoring services businesses in the US as of 2023. This means you need to stand out. You can do this through specialized subjects, flexible scheduling, or competitive pricing. Also, running a tutoring business takes much time and effort. This is due to planning lessons, tracking student progress, and staying in touch with clients.

16. Ice Cream Shop

An ice cream shop is a store that sells many flavors and types of ice cream. It also sells related products like milkshakes, sundaes, and frozen yogurt. These shops often provide a fun and family-friendly atmosphere. It makes them popular destinations for people of all ages. The International Dairy Foods Association reports that Americans eat about 20 pounds of ice cream yearly. High consumption rate shows a consistent demand for ice cream. This is a great business idea, especially in small towns with few desserts.

To start an ice cream shop, you will need to find a good location. You will also need to get the necessary licenses and permits. And you will need to buy equipment for making and storing ice cream. You can use resources like the National Ice Cream Retailers Association. They can offer valuable insights and support. Also, an attractive storefront and many flavors can help attract customers.

Potential Income

According to FinModelsLab, an ice cream shop in the US can generate between $100,000 and $500,000 in annual revenue. Your income will depend on factors such as location, pricing, and customer volume. By offering quality products and exceptional service, you can maximize your earnings potential.

Drawback

One significant drawback is the high failure rate. LimePack reveals that only 50% of ice cream shops survive beyond five years. This statistic shows the need for thorough market research. It also shows the need for good management and strategic planning. They are needed for long-term success. Also, the seasonality of the ice cream business may hurt revenue. You must attract customers all year.

17. Dry Cleaner

A dry cleaner is a business that specializes in cleaning clothes and textiles. It uses solvents, not water. This service is vital for clothes that need special care, like suits, dresses, and delicate fabrics. Dry cleaners also offer additional services like alterations and repairs. According to World Metrics, 30% of U.S. consumers use a dry cleaner. Many people want special garment care. This demand suggests a successful business is possible. This is especially true in small towns with few professional cleaning options.

To start a dry cleaning business, you need to find a good spot. You also need to invest in the required gear. This includes dry cleaning machines, pressing equipment, and solvents. You can find resources and guidance from Dry Cleaning & Laundry Institute. Also, getting the required licenses and permits is key for legal and safe operation.

Potential Income

FinModelsLab states that a dry cleaning business in the US earns $200,000 to $500,000 yearly. Your income depends on factors like location, customer base, and offered services.

Drawback

Starting a dry cleaning business involves significant initial expenses. EducationalWave says that buying the needed equipment can cost $20,000 to $100,000. Also, running a dry cleaning business requires knowing how to handle chemicals. You also need to know about garment care. You also need to do ongoing maintenance.

18. Bookstore

A bookstore is a store that sells books, magazines, and other printed materials. Many bookstores also offer additional products such as stationery, gifts, and educational toys. They often serve as community hubs for literary events and gatherings. According to DoJobBusiness, customers spend $10 to $40 per month at a regular bookstore. This steady customer spending shows that business could stay strong. This is especially true in small towns, where locals see an indie bookstore as a cultural and educational resource.

To start a bookstore, you will need to find a suitable location that is accessible and welcoming. You can source inventory from publishers, distributors, and wholesalers. Utilizing platforms like the American Booksellers Association can provide valuable insights and support. Additionally, creating a cozy and inviting atmosphere can help you attract customers.

Potential Income

FinModelsLab says the average annual revenue of US independent bookstores is $634,000. Your income will depend on factors like location, inventory choice, and marketing. You can maximize your store's profits by offering a wide range of books and related products.

Drawback

One significant drawback is the initial investment required. Friends of the Houston Public Library say opening a small, independent bookstore needs at least $23,000. This includes costs for inventory, lease, and store setup.

19. Bed and Breakfast

A Bed and Breakfast (B&B) is a small lodging. It offers overnight stays and breakfast. Typically, B&Bs have a limited number of rooms and are often run by the owners who live on the premises. Bed and Breakfast inns serve nearly 55 million guests annually in the U.S., according to World Metrics. This indicates a strong demand for such accommodations. Many travelers prefer the personal touch of B&Bs to large hotels. This makes B&Bs a lucrative idea for small towns.

To start a B&B, you can use platforms like Airbnb and Booking.com to list your property and attract guests. These platforms offer tools to manage bookings, communicate with guests, and handle payments. Additionally, local tourism websites and social media can help promote your B&B.

Potential Income

A B&B with six rooms makes about $135,000 per year on average, according to the Professional Association of Innkeepers International (PAII). This makes running a B&B a viable side income, especially if you already own property that can be converted into a B&B.

Drawback

Running a B&B requires significant time and effort. Hotel Propeller says it means working all the time. This includes weekends and holidays. You need to be ready for the commitment and sacrifices of offering continuous hospitality to guests.

20. Floral Shop

A flower shop is a store that sells flowers and arrangements for many occasions. It typically offers fresh cut flowers, potted plants, and decorative items. Millennials make up about 30% of the floral industry's customers. They mostly buy flowers for home decor, according to Gitnux. This trend creates a big opportunity for those looking to start a floral shop. You can cater to the tastes of a large part of the market.

To start a floral shop, find a great location. A high-traffic area is best. You can source flowers from local growers or import them as needed. You can use online platforms like Shopify to set up an e-commerce site to help you reach more customers. Instagram and Pinterest are also great for showing your floral designs and getting customers.

Potential Income

A retail floral shop can generate an average annual revenue of $362,318, as reported by Nerdwaller.

Drawback

A big problem is that 80% of US flower sales are from imported flowers, Hana Florist POS said. This can be costly and problematic for local suppliers. Also, imported flowers wilt faster, leading to more waste.

21. Gardening and Landscaping

Gardening and landscaping involve creating and maintaining outdoor spaces. This includes planting flowers, trees, and shrubs. It also involves putting in and caring for lawns, walkways, and patios. Companies like TruGreen and local garden centers offer these services. Gardening and landscaping are ideal for small towns because many residents have yards and gardens to tend. According to Landscape Management, 31% of landscaping businesses have seen more local demand. This is because people are spending more time at home.

To start a gardening and landscaping business, you can use platforms like Thumbtack or TaskRabbit to find clients. You may also consider joining local Facebook or Nextdoor groups to offer your services.

Potential Income

The potential income for a landscape gardener is promising. ZipRecruiter reports that, as of March 25, 2024, the average hourly pay for a landscape gardener in the United States is $19.99.

Drawback

The National Association of Landscape Professionals notes that 43% of landscaping business owners are worried. They fear a potential labor shortage in the next three years. This could impact the growth and sustainability of your business.

22. Nail Salon and Spa

A nail salon and spa offers manicures, pedicures, and other nail treatments. They also offer spa services like facials and massages. This business caters to individuals seeking beauty and relaxation treatments. Examples of these businesses include chains like "Nail Bar & Co." and local independent nail salons. Nail salons and spas are great for small towns. This is due to the steady demand for personal care. Dashboard Beauty says these businesses usually have a profit margin of 15% to 25%. Also, Statista reports that about 192 million Americans visited spas there. This shows a strong interest in spa services.

To start a nail salon and spa, you can use platforms like Vagaro or Square Appointments. They help you manage bookings and client relationships. Also, securing a location in a central part of town can help. You can also attract clients by promoting your services on social media and local community boards.

Potential Income

The potential income for nail salon owners is notable. According to Eposnow, owners of nail salons can expect to earn, on average, around $40,000 to $75,000 per year. This range can vary based on the location and size of the business.

Drawback

NamePepper reports that 24% of nail salon pros find their biggest challenge is getting and keeping clients. Also, 23% cite competition and discount salons as big issues. While 19% struggle with good social media presence. These challenges can hurt a nail salon and spa's growth and sustainability.

23. Photography Business

A photography business involves capturing and editing photographs for clients. This includes services like portrait sessions, event photography, commercial shoots, and more. It often requires a professional camera, lighting equipment, and editing software. According to FinModelsLab, photography studios can achieve profit margins between 25% to 40%. This makes photography a viable business in small towns. There is less competition and a strong demand for local photographers.

To start a photography business, you can use platforms like Squarespace or Wix. They let you create an online portfolio. Instagram and Facebook are also good for showing your work and reaching clients. You can also join local business groups on Facebook. This will help you meet people and find opportunities.

Potential Income

According to FinModelsLab, studio photographers make $50,000 to $100,000 a year on average. You can earn this income by booking regular sessions and offering a variety of services to meet local demand.

Drawback

Operating a photography business comes with expenses. Megan Helm Photography estimates its annual operating costs at about $10,000, or roughly $795 per month. These costs include studio rent, software subscriptions, marketing, image hosting, and liability insurance. Managing these expenses is crucial to maintaining profitability.

24. Clothing Boutique

A clothing boutique is a small store that focuses on offering unique and stylish clothing. They often cater to a specific group or fashion trend. These boutiques usually give a more personal shopping experience than larger chain stores. In small towns, clothing boutiques can be a strong business idea. They offer personal service and unique products that larger stores might not have. World Metrics says boutique shoppers visit their favorite boutiques over three times a month. They spend about $206.50 per visit. Regular visits and spending can bring steady customer traffic and revenue to your boutique.

To start a clothing boutique, research local demand and fashion trends. You can use online platforms like Shopify or Squarespace to set up an online store. Or, you can explore local resources to find a good spot for a physical store. RetailMeNot and The Business of Fashion offer tools and insights for starting and managing a boutique.

Potential Income

On average, US clothing boutiques make about $294,738 per year, according to FinModelsLab. This figure indicates that, with good management and marketing, your store can earn a lot of money.

Drawback

Opening a clothing boutique can be costly. According to POS Nation, the initial investment to open a boutique ranges from $50,000 to $150,000. This expense includes costs for inventory, store setup, and other operational expenses.

25. Daycare Center

A daycare center is a place that provides care for children. It usually cares for those under the age of five. It operates as a small business where parents drop off their children while they work or attend other obligations. According to Gitnux, nearly 11 million children under the age of five in the U.S. need childcare each week. The high demand makes it a viable business, especially in small towns where options are few. Starting a daycare center in a small town can meet this need and help the local community.

To start a daycare, you need to find a good location and get the required licenses and certifications. Websites like childcare.gov provide guidelines on licensing requirements. You can also use platforms like Care.com to connect with potential clients and manage bookings.

Potential Income

FinModelsLab says that daycare business owners in the U.S. can earn an annual income ranging from $30,000 to $70,000. This income varies based on the number of children enrolled and the services offered.

Drawback

Starting a daycare center requires a significant initial investment. Bizfluent.com states that the average startup cost ranges from $10,000 to $50,000. These costs include securing a location, purchasing equipment, and obtaining necessary licenses. Also, running a daycare involves much responsibility and strict rules.

26. Brewery and Winery

A brewery or winery is a business that produces and sells beer or wine. These places offer many drinks that they make on site. They may also have rooms for tasting. Small towns are great for breweries and wineries because of the trend of supporting local businesses. The average American adult consumes about 3.1 gallons of wine per year, according to Gitnux. Also, wineries often have a gross profit margin of 40% to 60%, as Beverage Power Partners noted. The high demand and profits make this business opportunity attractive in a small town.

To start a brewery or winery, you need to find a good location. It must have enough space for production and a tasting area. You will also need to obtain the necessary licenses and permits, which can vary by state. Brewers Association and Wine Business provide resources for starting your brewery or winery. Also, platforms like Shopify can help you create an online presence. This will help you reach more customers.

Potential Income

According to FinModelsLab, the average US brewery owner makes $50,000 to $75,000 per year.

Drawback

Starting a winery can be costly. According to FinModelsLab, startup costs are $100,000 to $200,000 or more. These high initial costs can be a significant barrier. In addition, the rules and the need for special gear can also be hard.

27. Catering Company

A catering company provides food and drinks for events. These include corporate meetings, weddings, and parties. It works by preparing and delivering meals and snacks to clients at various locations. According to EZ Cater, almost 80% of companies order business catering often, with 32% doing so weekly. This shows a strong demand for catering. In small towns, where dining options may be limited, a catering company can fill a big gap in the market.

To start a catering company, you need to make a business plan. You also need to get the required permits and find a kitchen space. Websites like FoodTruckEmpire.com provide resources and guides for starting a catering business. You can also use platforms like Thumbtack to find clients and manage orders.

Potential Income

A small catering business can expect to earn around $30,000 to $40,000 a year, according to Go Airmart. Larger operations have the potential to generate upwards of $500,000 annually. The income depends on the scale of the business and the types of events catered.

Drawback

=A survey by Lunchbox revealed that 57% of restaurants find scaling sales the hardest. They said the next hardest things are issues with menu and packaging. Additionally, maintaining consistent quality and managing logistics can be demanding.

28. Hardware Store

A hardware store sells tools, construction supplies, and home improvement products. These stores serve both DIY enthusiasts and professional contractors. YouGov Profiles found that 56% of Americans will improve their homes soon. The number rises to 69% among homeowners. This shows a high demand for hardware stores. Especially in small towns where such resources may be limited. A local hardware store can serve a community that often does home improvement.

To start a hardware store, you need to make a business plan. You also need to find a good location and get permits. Small Business Administration provides guidance on starting a retail business. Additionally, you can use platforms like Shopify to manage inventory and sales.

Potential Income

ValuAdder says an average hardware store employs about six staff and makes around $700,000 in yearly revenues. Income depends on many factors, including store size, product range, and local demand.

Drawback

Starting a hardware store requires a significant initial investment. According to Starter Story, you will need at least $300,000 for the basic setup. It may take time to make enough money to cover these expenses. Also, managing inventory can be hard.

29. Real Estate Agency

A real estate agency involves helping clients buy, sell, or rent properties. As a real estate agent, you help people or businesses with property deals. In small towns, there is a high demand for real estate agents. The National Association of Realtors says about 90% of homebuyers use an agent or broker. This makes it a good opportunity in places where personal connections and local knowledge are valuable.

To start, you need to get a real estate license. This typically involves taking a pre-licensing course and passing an exam. You can find courses on platforms like Colibri Real Estate or the Van Education Center. After you are licensed, join a good real estate brokerage. This will help you gain experience and build your network.

Potential Income

Income can vary based on hours worked and the market. According to Colibri Real Estate, agents working less than 20 hours per week can earn an average of $24,566 per year. Those working 21 to 40 hours per week can make around $46,458 annually. These figures show that even part-time work can be lucrative.

Drawback

One challenge of being a real estate agent is the fluctuating work hours. On average, agents work between 30 to 50 hours per week, as noted by the Van Education Center. During busy times or when closing deals, you might need to work additional hours to meet client needs. This can make work-life balance difficult.

30. Event Venue and Planner

An event venue and planning business organizes weddings, conferences, and parties. This involves getting a location, working with vendors, and ensuring the event runs smoothly. The events industry is experiencing a resurgence. As of 2024, 60% of events occur in-person, 35% virtually, and 5% in a hybrid format, as per Bizzabo. Small town entrepreneurs can benefit from this trend. You can do this by offering personalized, community-focused event planning services.

You can use platforms like Eventbrite to promote and manage events. They will help you start an event planning business. The Knot and WeddingWire can connect you with clients looking for wedding planners. Local chambers of commerce can also help you network and find your first clients.

Potential Income

Event planners can earn between $45,000 to $55,000 annually, as per Event Planning Blueprint. This income range can vary based on the number and size of events you work and the fees you charge.

Drawback

One major challenge is the increased cost of organizing events. Nearly 46.3% of event professionals report this. They say that higher prices are their biggest challenge, according to Knowland. This financial strain requires careful budget management and cost-effective solutions to maintain profitability.

31. Tattoo and Piercing Shop

A tattoo and piercing shop offers body art services. These include tattoos and various piercings. These shops typically provide a range of designs and styles. It meets individual preferences and ensures a safe, clean environment for customers. The tattoo and piercing industry is thriving. Marine Agency Insurance reveals that the tattoo studios have a 55% profit margin. Also, about 83% of U.S. people with piercings have their earlobes pierced, as per World Metrics. This high demand makes it a promising business opportunity, especially in small towns. There, personal service can attract loyal customers.

To start a tattoo and piercing shop, you will need to find a good location. You will also need to get the required licenses and permits. TattooNOW can help you market your services and connect with potential clients. Also, courses from the Alliance of Professional Tattooists (APT) can ensure you meet industry standards.

Potential Income

The average monthly revenue for a tattoo shop can range between $5,000 and $25,000 (DoJobBusiness). Your income will depend on location, clientele, and the variety of services offered. Keeping high hygiene and artistry standards will attract more customers and raise revenue.

Drawback

Vamps says there are over 20,000 tattoo parlors in the United States (Vamps). This saturation means you need to set your shop apart. You must do this with unique designs, great service, and effective marketing.

31. Tattoo and Piercing Shop

A tattoo and piercing shop offers body art services. These include tattoos and various piercings. These shops typically provide a range of designs and styles. It meets individual preferences and ensures a safe, clean environment for customers. The tattoo and piercing industry is thriving. Marine Agency Insurance reveals that the tattoo studios have a 55% profit margin. Also, about 83% of U.S. people with piercings have their earlobes pierced, as per World Metrics. This high demand makes it a promising business opportunity, especially in small towns. There, personal service can attract loyal customers.

To start a tattoo and piercing shop, you will need to find a good location. You will also need to get the required licenses and permits. TattooNOW can help you market your services and connect with potential clients. Also, courses from the Alliance of Professional Tattooists (APT) can ensure you meet industry standards.

Potential Income

The average monthly revenue for a tattoo shop can range between $5,000 and $25,000 (DoJobBusiness). Your income will depend on location, clientele, and the variety of services offered. Keeping high hygiene and artistry standards will attract more customers and raise revenue.

Drawback

Vamps says there are over 20,000 tattoo parlors in the United States (Vamps). This saturation means you need to set your shop apart. You must do this with unique designs, great service, and effective marketing.

32. Veterinary Office

A veterinary office provides medical care to animals. This includes routine check-ups, vaccinations, surgeries, and emergency care. These offices cater primarily to companion animals like cats and dogs. According to Gitnux, over 60% of U.S. households have a pet, with over 84.9 million pet-owning households. Many people own pets, creating steady demand for vet services. This makes vet services viable in small towns. 

To start a veterinary office, you need to be a licensed veterinarian. Begin by securing a suitable location in a community-focused area of your town. VetMed Careers and the AVMA (American Veterinary Medical Association) have job ads and career help. You can join professional networks. For example, the Veterinary Information Network (VIN) can give you more support and guidance.

Potential Income

Veterinarians with three to five years of experience usually earn $90,000 to $120,000 per year, according to Career.govt. Offering more services, like pet grooming and boarding, can increase your income. You can also sell pet products.

Drawback

The U.S. has about 30,000 veterinary practices. They mainly serve companion animals, according to K9 of Mine. About 17% of these clinics are owned by corporations. So, you'll face competition from larger companies. To start a veterinary office, you need to invest a lot in medical equipment. You also need to follow strict rules.

33. Food Truck

A food truck business involves preparing and selling food from a mobile vehicle. This business model is popular in urban areas, but it is also gaining traction in smaller towns. Taco Bell's Cantina Truck and the Grilled Cheese Truck succeed in this industry. The food truck business offers significant potential in small towns. It caters to local events, farmers' markets, and downtown areas where foot traffic is high. According to World Metrics, 47% of millennials have eaten from a food truck. This shows high demand.

cartoon of a food truck

To start a food truck business, you need a truck, kitchen gear, and permits. Apps like Roaming Hunger can help you find locations and events. Food Truck Empire offers resources and guides on starting and running a food truck.

Potential Income

A food truck can earn $5,000 to $50,000 a month, depending on its location and popularity, says FinImpact. This makes it a lucrative small town business idea, especially if you position your truck in busy areas or at popular events.

Drawback

Starting a food truck business requires a big investment. It's typically from $50,000 to $200,000, as noted by Upmenu. Additionally, there are ongoing costs for permits, maintenance, and supplies. You may also face competition and seasonal fluctuations in customer demand.

34. Health Clinic

A health clinic provides medical care to patients. They cover general health and specialized treatments. This business model includes urgent care centers, family practices, and specialist clinics. Health clinics offer big chances in small towns. This is because of the growing need for accessible healthcare. According to FreeAgent CRM, health spending per person in the US is projected to rise to $1,515 by 2050. Small towns often have few healthcare options. So, a new clinic is a valuable addition to the community.

To start a health clinic, you need to find a location. You also need to get the necessary medical gear and hire qualified staff. American Medical Association (AMA) provide resources and guidelines for setting up a clinic. Apps like ClinicTracker can assist with managing clinic operations efficiently.

Potential Income

Healthcare clinic owners can expect to earn $150,000 to $500,000 a year, as reported by FinModelsLab.

Drawback

With over 2.8 million healthcare businesses in the U.S., competition is intense. WebFX stresses the need to keep your clinic competitive to attract new patients and drive revenue. This includes investing in marketing and maintaining high-quality patient care standards.

35. Bakery

A bakery is a business that focuses on making and selling bread, cakes, pastries, and other baked goods. In a small town, a bakery often becomes a local favorite for fresh and homemade treats. A bakery can be a great small-town business because of high demand for bakery products. According to Gitnux, approximately 98% of U.S. households regularly buy bakery items. This means there is a strong market for your products in a small town. Local residents may appreciate having a nearby source of fresh baked goods.

cartoon of a woman and a birthday cake

To start a bakery, you will need to plan your menu, secure a location, and invest in equipment. Consider using platforms like Yelp and Google My Business to attract local customers. You might also use apps like Square or Shopify to manage sales and inventory. Networking with local suppliers and other businesses can help you get started. It can also help you build relationships in the community.

Potential Income

The average revenue for a bakery is around $450,000 per year, as noted by Small Business. This figure can vary based on your bakery’s size, location, and customer base.

Drawback

Starting a bakery can be costly. Toast reports that the initial startup cost ranges from $10,000 to $50,000. This includes expenses for equipment, ingredients, and lease agreements. Also, running a bakery takes a lot of time and effort.

36. Vape Shop

A vape shop is a store that sells vaping products, like e-cigarettes, vape pens, and flavored e-liquids. In a small town, a vape shop serves customers who use the products as an alternative to traditional cigarettes. Opening a vape shop in a small town can be beneficial. More people are using vaping products now. World Metrics reports that over 9 million American adults vape regularly. This indicates a significant potential customer base. Also, small towns often have fewer vape shops than urban areas, reducing competition.

To start a vape shop, you need to study local laws and get the needed licenses. You can use platforms like Shopify or WooCommerce to set up an online store. They will help you reach a broader audience. For managing inventory and sales, consider using software like Lightspeed or Square. Networking with suppliers and joining industry groups can also be helpful.

Potential Income

Vape shops can be quite profitable. According to Lightspeed, some top-earning vape shops make up to $39,000 per month. This figure will vary based on your shop’s location, size, and the range of products you offer.

Drawback

As of 2023, there were 9,331 vape shops in the U.S. This is an 18% rise from the previous year, according to Lightspeed. The growing number of establishments can make it harder to stand out and attract customers. Additionally, there might be regulatory hurdles and startup costs to consider.

37. Lawn and Gardening Service

A lawn and gardening service involves providing care for lawns, gardens, and landscaping. This can include mowing, trimming, planting, and weeding. It also includes general maintenance for homes and businesses. Small towns offer a big chance for lawn and gardening services. This is because many homeowners and businesses have yards that need upkeep. The average American homeowner spends about $503 a year on lawn care and gardening, according to World Metrics.

To start a lawn and gardening service, you can use platforms like Thumbtack or TaskRabbit to find clients. Additionally, Angie’s List can help you get reviews and attract more customers. Local advertising in community centers or through social media groups focused on your area can also be effective.

Potential Income

The potential income for a lawn care business is promising. ProjectionHub says the average revenue for such a business is about $297,000 per year.

Drawback

Starting a lawn care business can have varying costs. Start-ups typically cost $5,000 to $8,000, according to Bob Vila. But, the cost can vary based on your equipment and the services you plan to offer. It's important to budget carefully and be prepared for these initial expenses.

38. Car Wash

A car wash is a business that provides cleaning services for vehicles. This includes exterior washes, interior cleaning, and sometimes detailing services. In a small town, a car wash serves local residents who need their vehicles cleaned regularly. Opening a car wash in a small town can be a promising business idea. OnDesk reports that about 66% of car owners in the U.S. use car wash services once or twice each month. This frequent usage indicates a steady demand. Also, the average profit margin per car wash is about 29%. This means $4.35 from a $15 ticket. There are fewer car washes in smaller towns. So, you might face less competition and attract more local customers.

To start a car wash, you need to choose a location with good visibility and access. You should buy the needed equipment and supplies. These include washing machines, vacuum cleaners, and cleaning solutions. Platforms like Shopify or Square can help manage your sales and customer payments. You could try local advertising or build a website to showcase your services.

Potential Income

According to Korona POS, a full-service car wash can earn between $500,000 and $900,000 in annual profits. The income can vary based on your business's size, your pricing, and your location.

Drawback

World Metrics says there are over 60,500 car wash businesses in the U.S. So, even in a small town, you may need to stand out to get and keep customers. Additionally, starting a car wash involves significant upfront investment in equipment and facilities.

39. Sports Bar

A sports bar serves food and drinks and provides a space for patrons to watch live sports on TV. In a small town, a sports bar can become a popular local spot for socializing and enjoying games. Opening a sports bar in a small town can be a lucrative opportunity. BlueCart says bar profit margins are often high, from 200% to 400%. A lot of this profit comes from drink sales. This suggests that a well-run sports bar could thrive in a small town with few entertainment options.

cartoon of a football and two football helmets

To start a sports bar, you need to find a good location. You also need to get permits and buy equipment, like TVs and sound systems. Yelp and Google My Business can help you get customers. You can manage inventory and sales using tools like Toast or Square. Additionally, establishing relationships with local suppliers for food and beverages is crucial.

Potential Income

According to Binwise, sports bar owners can expect to earn between $40,000 and $60,000 per year. Your income will depend on factors such as the size of your bar, your location, and how well you manage your business.

Drawback

One significant drawback is the high startup cost. FemFounder notes that the average first investment for a sports bar is $400,000 to $1 million. This includes costs for leasing or purchasing property, renovations, equipment, and furnishings. Be ready for ongoing costs and possible competition, even in small towns.

40. Specialty Health Food

A specialty health food store offers organic, gluten-free, and other health-focused food products. This can include items like organic produce, gluten-free snacks, vegan alternatives, and supplements. These stores cater to customers who prioritize health and wellness in their diet. These stores have a growing market, especially in small towns where options are often limited. According to a Pew Research survey, 76% of adults purchase organic food due to health concerns. Also, 3.1 million Americans follow a gluten-free diet, showing a big demand for these products.

To start a specialty health food store, you can begin by researching and finding organic and gluten-free products. Amazon and Thrive Market can provide initial stock. Consider partnering with local farmers for fresh produce. Creating a website using tools like Shopify can help you reach more customers. Additionally, apps like Square can assist with payment processing and inventory management.

Potential Income

An established specialty health food business can generate significant revenue. According to Starter Story, such a business can make about $12.3K weekly. This income can be substantial for a side hustle, especially if you manage to build a loyal customer base.

Drawback

Starting a specialty health food store can be expensive. The average start-up cost ranges from $200,000 to $500,000, according to FinModelsLab. This includes expenses for inventory, rent, marketing, and other operational costs. Additionally, maintaining the quality and availability of organic products can be challenging.

41. Gift Card Shop

The shop sells gift cards for occasions. These include birthdays, holidays, and anniversaries. You can also sell gift wraps, custom cards, and small gifts. There is a significant opportunity in the gift card market. The Greeting Card Association says Americans buy about 6.5 billion greeting cards each year. Small towns often have few options for buying unique, thoughtful greeting cards.

To start a gift card shop, you can begin by getting a variety of greeting cards from wholesalers. You can also print custom cards using platforms like Vistaprint. Setting up a physical store in a busy area of your town is ideal. You can use e-commerce platforms like Shopify to grow your online presence. This allows you to connect with a larger audience.

Potential Income

A gift card shop can generate substantial revenue. The Greeting Card Association reports annual sales of greeting cards at $7 to $8 billion. Many of these sales now happen in big box stores like Target and Walmart. This shows a strong market demand that a small shop can tap into.

Drawback

Starting a gift card business involves certain costs. According to Starter Story, you can expect to spend between $62 and $54,322, with an average cost of $28,673. This includes expenses for inventory, rent, and marketing. Also, competing with larger stores is hard. It requires unique offerings and personal service to attract and keep customers.

42. Flower Shop

A flower shop involves selling fresh flowers, bouquets, and floral arrangements. You can also offer related products like vases, floral foam, and preservatives. Flower shops include local florists, garden centers, and online services. Opening a flower shop in a small town can be a great opportunity. According to WixBlog, 73% of Americans like flowers. 88% feel happy when they get them.

To start a flower shop, you will need to lease a location. You must also buy coolers for keeping flowers fresh and your first flowers and supplies. You can find these supplies from wholesalers. You can also find them on sites like Amazon or at special floral supply stores. Consider using business management software like Floranext to manage orders and inventory.

Potential Income

If you're a new flower shop owner. You can expect to make about $40,000 per year on average, as Profitable Venture says. This income can vary based on location, market demand, and your business strategies.

Drawback

Starting a flower shop usually costs between $10,000 and $50,000, according to TRUIC. Major expenses are leasing a location, buying coolers, and floral supplies. Also, keeping flowers fresh is hard. It requires careful management and timely sales.

43. Electronics Dealer

An electronics dealer sells electronic devices. These include smartphones, laptops, and other gadgets. This can be a small storefront or an online shop. Consumer Affairs says about 12% of Americans upgrade their phones each year. Nearly 5% buy a new phone every six months. This frequent demand for new electronics creates a steady market for your business. Small towns often have limited options for buying electronics. Opening an electronics store can meet this local demand. It will offer convenience to residents. Otherwise, they would need to travel to larger cities. This local presence can create loyal customers who prefer to shop nearby.

To start an electronics store, use Shopify or BigCommerce for an online shop. Alternatively, you can lease a small retail space in your town. You can partner with wholesalers through sites like Alibaba or Direct Liquidation. This can help you stock up on inventory at lower prices.

Potential Income

An electronics store can be a profitable venture. According to Starter Story, you can earn up to $48,000 per year due to the gross margin of 40%. This income can supplement your primary earnings, providing a reliable side hustle.

Drawback

Starting an electronics store requires a significant initial investment. As per FinModelsLab, the cost can range from $10,000 to $50,000. Additionally, you may face competition from larger retailers and online marketplaces. It's important to consider these challenges before starting your business.

44. Bowling Alley

A bowling alley is a recreational facility where individuals and groups can enjoy the sport of bowling. It typically includes multiple lanes, rental equipment, and often a small dining area. World Metrics says bowling is the most popular sport in the US. Over 70 million people bowl each year. This widespread popularity makes it a viable business opportunity. In small towns, entertainment options can be limited. A bowling alley provides a unique and enjoyable activity for residents of all ages. It can serve as a community hub. People gather there for fun, league games, and social events. This local focus can drive consistent foot traffic and foster a loyal customer base.

To start a bowling alley, you need a good location and the right equipment. You can find suppliers and equipment through sites like QubicaAMF and Brunswick Bowling. Additionally, using software like AlleyTrak can help manage bookings and operations efficiently. It's also essential to research local regulations and obtain the necessary permits.

Potential Income

A bowling alley can generate substantial revenue. FinModelsLab says the average annual revenue for a US bowling alley is $300,000 to $600,000. This income potential makes it a promising small town business venture.

Drawback

Starting a bowling alley involves significant upfront costs. GrowThink estimates the cost at $50,000 to $150,000. The cost depends on the location and type of facility. Additionally, maintaining the lanes and equipment can incur ongoing expenses. It is important to consider these financial commitments before proceeding.

45. Massage Therapist

A massage therapist gives therapeutic treatments to clients. They use various techniques to relieve pain, reduce stress, and improve wellness. World Metrics says Americans visit massage therapists about 214 million times a year. In small towns, the demand for personalized healthcare services is high, and a local massage therapy business can thrive. The close-knit community often prefers local service providers. It makes it a suitable environment for this business.

To start a massage therapy business, you need to become a certified massage therapist. You can do this through programs offered by groups like the American Massage Therapy Association (AMTA). Additionally, use platforms like Thumbtack or Yelp to list your services and reach potential clients in your area. Make sure you follow state licensing requirements. You can verify them through the Federation of State Massage Therapy Boards (FSMTB).

Potential Income

According to Alberta Alis, massage therapists' average annual income is $40,000 to $50,000. In small towns, this can vary depending on the local demand and the number of clients you can serve. Offering additional services like aromatherapy or hot stone treatments can increase your income.

Drawback

One major drawback is the competition. Gitnux reports that the United States has over 335,000 certified massage therapists. In a small town, the market may be smaller, but competition still exists.

46. Men's Grooming

A men's grooming business provides products and services for men's personal care. This includes skincare items, hair treatments, shaving preparations, deodorants, and other grooming products. Men's grooming is a growing market. It is dominated by shaving products and deodorants. But, there has been a noticeable increase in demand for skincare and hair treatments for men. Mintel’s GNPD data shows that in the past three years, there has been a 14.7% increase in men’s skincare product launches. There has also been a 12.3% increase in hair treatments and colorants for men. This growth makes it a good business opportunity for small towns. In these towns, personalized services can attract a loyal customer base.

To start a men's grooming business, you can use platforms like Shopify or Etsy to sell products online. Local barbershops and salons can also offer men's grooming products and services. Being on social media and having a website can help you reach more people.

Potential Income

According to FinModelsLab, male grooming business owners in the US make from $40,000 to over $100,000 per year.

Drawback

Starting a men's grooming business can be costly. Initial investments range from $12 to $27,209, with an average cost of about $13,936, according to Starter Story. This includes costs for products, marketing, and setting up a store, online or physical.

47. A Co-op or Community Space

A co-op or community space is a business model where members collaboratively own and manage the space. These spaces can be used for many things such as housing, workspaces, and events. Co-ops offer unique benefits and a strong sense of community. This can be appealing in small towns. With only about 1.5 million Americans living in co-ops, there is potential for growth in these areas.

To start a co-op or community space, you need a solid business plan. Websites like Co-Operative First offer resources and guidance. You may also need to hire a consultant, which can cost between $5,000 and $50,000.

Potential Income

Business Co-Op managers' estimated total pay is around $65,774 per year. They have an average salary of $44,477 yearly in the United States. This shows a significant potential for earning while contributing to the community.

Drawback

One of the main challenges is the initial cost of creating a business plan and setting up the co-op. This can be a substantial investment, so careful financial planning is essential.

48. Feminist Brands

Feminist brands promote gender equality and empower women through their offerings. These brands often highlight women's issues and aim to make a positive social impact. Feminist brands have much potential, especially in small towns. There, community values and social causes are important. Women in the U.S. have $5 trillion to $15 trillion in purchasing power each year, as per Girl Power Marketing. This is a large market to tap into.

To start a feminist brand, you can use platforms like Shopify or Etsy to sell your products. Instagram and Facebook are also good for marketing. They help you build a community around your brand.

Potential Income

Women-owned businesses can be quite profitable. A Biz2Credit analysis of 40,000 firms found that these businesses earned $330,226 on average each year. This indicates a strong potential for earning a substantial income.

Drawback

Running a feminist brand comes with challenges. The Bank of America 2023 Women & Minority Business Owner Spotlight says 31% of women entrepreneurs report that caregiving hurts their business. This can result in taking time off and may affect business operations.

49. Locally Curated Goods

Locally curated goods are products sourced from local artisans, farmers, and small businesses. These items are chosen for their quality and unique traits. They set them apart from goods found in big-box stores. In small towns, local goods can attract consumers. They prefer unique, high-quality products and want to support local businesses. According to FAIRE, 65% of Americans trust small businesses. This shows the demand for local products.

To start a business selling local goods, you can set up an online store. You can use platforms like Shopify or Etsy. Also, partnering with farmers' markets or events can help you reach more customers. Creating an inviting physical store or pop-up shop can also engage your community.

Potential Income

Selling local products and creating a welcoming store can boost sales. Venturz says you can earn $40,000 to $150,000 yearly with good marketing.

Drawback

One potential challenge is the consistency and availability of local products. You may face supply difficulties. This is especially true if local artisans and producers have varying schedules. Additionally, the initial setup costs for inventory and marketing can be substantial.

50. Children’s Products

Children’s products include many items for infants and children, such as clothing, toys, and baby care products. These items cater to the needs and preferences of young children and their parents. The market for children’s products is substantial. According to Gitnux, nearly 60% of parents purchase baby products online at least once a month. This trend shows the demand for these products. It makes them a good business opportunity in small towns, where parents seek quality and convenience.

To start a business in children’s products, consider setting up an online store. You can use platforms like Shopify or Amazon. You can also explore selling at local markets and through social media channels. Partner with local baby boutiques and go to community events. This can help you gain visibility and customers.

Potential Income

The revenue potential for a children’s products business is promising. Starter Story says the average revenue for a children's clothing business is about $41,300 per year. Good marketing and a strong product line could get you $165,000 a month.

Drawback

Starting a baby and kids e-commerce business requires a significant initial investment. FinModelsLab estimates the start-up costs to be between $10,000 and $50,000. Additionally, managing inventory and ensuring product safety and quality can be challenging.

51. Organic Cosmetics and Skincare

Organic cosmetics and skincare involve making and selling beauty products. They are made from natural ingredients and lack harmful chemicals. These products include organic face creams, body lotions, and makeup items. There is a growing demand for organic cosmetics in small towns. According to World Metrics, 54% of U.S. women prioritize buying natural beauty products. Small towns are ideal for this business due to lower competition and a growing awareness of health and wellness.

To start an organic cosmetics business, you can use platforms like Shopify or Etsy to set up an online store. Suppliers such as Mountain Rose Herbs and Bulk Apothecary offer organic ingredients. You can also join local farmers' markets or health stores to sell your products.

Potential Income

FinModelsLab says that, in 2022, organic skincare business owners' annual income ranged from $50,000 to $150,000. This income depends on the size and scale of your business.

Drawback

Starting an organic beauty business can be expensive. FinModelsLab states that initial costs can range from $30,000 to $50,000. These costs include sourcing high-quality organic ingredients, marketing, and getting certifications.

52. Personal Fitness Studio

A personal fitness studio is a small gym that offers personalized fitness training and exercise programs. The studios offer training for one person or small groups. They often include specialized equipment and a focused, intimate environment. There is a strong opportunity for personal fitness studios in small towns. The Association of Fitness Studios (AFS) says that personal training studios have a retention rate of 80%. This rate is higher than that of traditional health clubs. This is due to the personalized customer experience. Small towns enjoy these studios as residents often seek personalized fitness options without the need to travel far.

To start a personal fitness studio, you can use platforms like Mindbody or Glofox. They manage bookings and memberships. Rent a good location and buy essential fitness equipment from suppliers like Rogue Fitness or Fitness Superstore. Local advertising through community boards and social media can help attract clients. You can also offer introductory classes or discounts to draw initial interest.

Potential Income

The potential income for personal training studio owners can be significant. According to FinModelsLab, annual earnings range from $50,000 to $150,000. The actual income depends on factors like studio size, location, and client base.

Drawback

The market is competitive. There are over 100,000 fitness businesses in the U.S., including 59% personal training studios, according to Upmetrics. The need to build a steady client base can be a significant hurdle. It requires a high initial investment in equipment and space.

53. Elderly Care Service

An elderly care service supports and helps older adults who need aid with daily tasks. This can include personal care, medical support, companionship, and help with household tasks. These services can be provided at home or in a specialized facility. Gitnux says over 70% of Americans over 65 will need long-term care at some point. Small towns, with their close-knit communities, are well-suited for such services. Residents often prefer local care providers they know and trust.

To start an elderly care service, you can use platforms like Care.com or Home Instead to connect with clients. Obtain the necessary certifications and licenses from local health departments and regulatory bodies. Assemble a team of trained caregivers. Advertise your services through local health centers, community boards, and social media. Networking with local hospitals and senior centers can also help establish your business.

Potential Income

The potential income for elderly care service providers is considerable. According to FinModelsLab, business owners in this sector can earn an average annual income. It ranges from $50,000 to $150,000 or more. Your pay will depend on the size of services offered and the number of clients served.

Drawback

Starting an elderly care service does come with challenges. FinModelsLab reveals that U.S. home health care agencies pay about $10,000 per year for compliance. This includes costs for getting and keeping certifications, insurance, and meeting rules. Additionally, providing high-quality care requires ongoing training and a reliable team of caregivers.

54. Arts and Crafts Studio

An arts and crafts studio is a space for creative activities like painting, making crafts, writing poetry, and playing music. The studios provide the tools and space for people to explore and grow their art skills. According to Americans for the Arts, about 49% of people in the U.S. participate in some form of art or creative activity.

To start an arts and crafts studio, begin by finding a good location. Then, renovate it to make a space that is inviting and functional. You can buy essential supplies and equipment from art suppliers. For example, you can buy them from Blick Art Materials or Michaels. To manage bookings and payments, consider using platforms like Eventbrite or Square. Offering workshops or introductory classes can also generate interest and build a customer base.

Potential Income

According to ZipRecruiter, the average annual pay for a studio arts professional in the United States is $53,399. Your actual earnings will depend on factors such as studio size, location, and the number of clients you serve.

Drawback

Starting an arts and crafts studio comes with certain challenges. FinModelsLab says renovating a DIY craft studio costs $10,000 to $50,000. Also, it's hard to keep a steady flow of clients and manage costs.

55. Local Tour Guide Service

A local tour guide service involves offering guided tours to visitors in your area. As a local, you would provide insights and knowledge about specific sites and attractions. This would enhance the travel experience for tourists. Job Monkey says 90% of travelers prefer native tour guides. This preference is a big chance for locals in small towns. They have unique attractions and local stories. These can draw tourists seeking an authentic experience.

You can start this business by partnering with local tourism boards. You can use platforms like Viator or Airbnb Experiences to list your services. Or, you can create a website to market your tours. Networking with local businesses, hotels, and attractions can also help promote your service.

Potential Income

According to Talent, tour guides in the USA make an average of $34,161 per year or $17.52 per hour. This income can vary based on the number of tours you conduct and the pricing of your services.

Drawback

As of May 2023, Statista reports this. Over 46,700 people were employed as tour and travel guides in the United States. This means you need to make your services different. 

56. Computer Repair Shop

A computer repair shop specializes in fixing and maintaining computers and related electronics. This includes diagnosing issues, replacing parts, and performing upgrades. The business may also offer services for cell phones and other gadgets. Starting a computer repair shop in a small town can be a great idea. This is because there is a high demand for repair services. Many people in small towns need reliable tech support but may not have easy access to it. According to Starter Story, computer repair services often have gross margins around 83%, which is quite high. This can help you grow your business and manage expenses effectively.

To start a computer repair shop, you should first obtain the necessary equipment and tools for repairs. You can find suppliers and gear on platforms like Amazon Business. You can also find them at local hardware stores. Next, set up a physical location, which could be a storefront or a dedicated workspace in your home. Market your services through local advertising, social media, and community events. Yelp and Google My Business can help you attract customers. They do this by showcasing reviews and your business details.

Potential Income

StartupBoy notes that a small to mid-sized computer repair business can typically earn $50,000 to $80,000 per year. Your income depends on factors like the number of clients you serve, the types of services you offer, and your pricing.

Drawback

One drawback to consider is the high level of competition. Gitnux reports that there are about 52,716 computer repair businesses in the US. You must provide great service to make your business unique. Additionally, you will need to manage costs related to inventory, tools, and marketing.

57. Local Art Gallery

A local art gallery is a business that exhibits and sells artworks created by local and regional artists. These galleries showcase various art forms like paintings, sculptures, and photos. About 175 million U.S. adults enjoy arts through electronic media. This is nearly three-quarters of the population, says the National Endowment for the Arts. This widespread interest indicates a substantial audience for art galleries, even in small towns. Hosting community events and exhibitions can draw local residents and tourists. It makes for a suitable business in smaller communities.

To start a local art gallery, you can look for spaces available for lease in your town's commercial areas. Websites like LoopNet and Craigslist can help you find potential locations. You can connect with local artists on social media, like Instagram and Facebook. This can help you find art. Also, using platforms like Squarespace or Wix to make a professional website will improve your online presence. It will also improve your sales capabilities.

Potential Income

FinModelsLab states that U.S. art galleries earn $200,000 to $500,000 yearly. However, this can vary widely. It depends on location, marketing, and the art's quality.

Drawback

One significant drawback is the financial risk involved. Contemporary Art Issue reports that 30% of art galleries are losing money. Only 18% make a healthy profit of over 20%. Additionally, almost 80% of art galleries make less than $200,000 annually. This means that careful financial planning and marketing are essential to avoid losses.

58. ATM Business

An ATM business involves owning and running Automated Teller Machines (ATMs). They are put in busy areas such as shopping centers, convenience stores, and other public places. The operator earns money by charging transaction fees for each use. In small towns, banking options might be limited. PaymentsJournal says the average U.S. consumer uses ATMs 3.8 times per month to withdraw cash. They use them 2.5 times per month to deposit cash and 2.2 times to deposit checks. This consistent usage indicates a steady demand for ATM services.

To start an ATM business, you need to purchase or lease ATMs. ATMDepot.com and NationalLink.com can help you get started. They offer machines and processing services. Choose high-traffic locations by negotiating with local businesses or property owners. Setting up involves installing the machine, getting an internet connection, and stocking the ATM with cash.

Potential Income

According to John Reinesch, typical transaction fees range from $2 to $3. They can generate over $1,000 per month in fees for the operator. This can add up quickly, making it a lucrative side hustle or full-time business.

Drawback

Starting an ATM business requires a significant initial investment. Costs range from $4,000 to $18,600. They cover the machine, initial cash refill, setup fees, internet connection, and insurance. Additionally, you need to budget for business licenses, permits, and setting up an LLC. These expenses can add up, so careful financial planning is necessary.

59. Home Service Business

Home service businesses include services such as cleaning, maintenance, landscaping, and repairs. Specific examples are house cleaning companies, lawn care services, and handyman services. According to Amenify, 80% of people living in U.S. urban areas hire home service providers when needed. Each household spends around $5,000 annually on these services. Valve+Meter reports that most customers are aged 35-54 with a median annual income of $75,000. This indicates a strong market with disposable income. Small towns have fewer service providers. This makes it easier to win loyal customers.

To start a home service business, you can use platforms like TaskRabbit or Thumbtack to find clients. Setting up a profile on these apps allows you to showcase your services and get customer reviews. Also, creating a simple website and using social media for local marketing can attract more customers.

Potential Income

According to Glassdoor, the average salary for a home service provider in the U.S. is around $145,598 per year.

Drawback

While the income potential is high, the home services industry can be competitive. Initial investment in marketing and equipment is necessary, as noted by Trafft. 

60. Glamping Business

A glamping business offers luxury camping. It combines the adventure of camping with the comfort of a hotel. This includes accommodations like furnished tents, yurts, or cabins. They have amenities such as electricity, comfy beds, and sometimes even bathrooms. According to Kampgrounds of America (KOA), 34% of new campers in 2023 chose glamping, up from 18% in 2021. This trend shows a growing interest in upscale camping. The North American Glamping Report shows that nearly 17 million households took at least one glamping trip. This highlights the rising popularity of this niche market. Small towns, with their natural beauty and quiet, are ideal for attracting glampers seeking peace.

To start a glamping business, you can use platforms like Airbnb and Hipcamp. They let you list your accommodations and attract customers. These platforms allow you to reach a wide audience and manage bookings easily. Creating a website and using social media helps grow your brand. This can attract more guests to your business.

Potential Income

According to iGMS, revenue from a glamping business can range between $40,000 and $250,000 per year in the first year. The actual income depends on factors like location, amenities, and marketing efforts.

Drawback

Starting a glamping business requires a big initial investment. Costs range from $10,050 to $27,600, according to iGMS. Additionally, the business can be seasonal, with peak earnings during warmer months. This seasonality may require strategic planning to ensure profitability throughout the year.

61. Dropshipping Business

Dropshipping is an eCommerce model where you sell products online without holding inventory. Instead, you purchase items from third-party suppliers who ship directly to your customers. Shopify and Oberlo make it easy to manage your online store and handle orders seamlessly. Dropshipping is particularly well-suited for small towns because it requires minimal upfront investment. You do not need to invest in a warehouse or large amounts of inventory. You can focus on marketing and customer service while suppliers manage the logistics.

To start a dropshipping business, you can use platforms like Shopify to set up your online store. Apps like Oberlo let you find and import products from suppliers. You can import them directly into your store. Alibaba or AliExpress are popular sources for finding suppliers and products to sell.

Potential Income

BlueCart says that dropshipping businesses can earn $50 to $5,000 per day. The amount depends on product selection and market demand. Zippia reports that the average dropshipper earns about $40,000 per year. Their profit margins range from 20% to 30% per sale.

Drawback

Forbes notes that dropshipping's profit margins are typically 10% to 30%. This is lower than other business models. Additionally, the market is highly competitive. Keeping customers happy is hard. This is because you rely on suppliers for product quality and shipping times.

62. Create Digital Printables to Sell

Creating and selling digital printables involves designing many items. These include planners, checklists, and art prints. Customers can download and print them. This business model works mainly online, using platforms like Etsy to reach a broad audience. The low overhead costs make it a good option. Plus, the potential for high profits is big. According to Gelato, selling printables can generate large passive income with minimal effort.

To start selling digital printables, you can use design software. For example, Adobe Illustrator or Canva can help you create your products. Once designed, you can list them on platforms like Etsy, where there is a large market for such items. Other platforms to consider include Shopify and Gumroad.

Potential Income

For example, Rachel Jimenez sells on Etsy. She makes $9,500 per month selling printable planners and templates. New sellers can expect to earn about $400 per month at first. You can earn more as you grow their business, Gelato reported.

Drawback

However, it is important to note that income from selling printables can vary widely. As Tracie Fobes mentions, some sellers may only make $25 a week, while others can earn thousands per month. This variability depends on factors such as product quality, marketing efforts, and competition.

63. Become an Amazon Influencer

Becoming an Amazon Influencer involves promoting Amazon products through your social media accounts. You earn commissions on the sales made via your referral links. This role requires a robust social media presence where you share product recommendations. As an Amazon Influencer, you can use your social media presence to promote many products. According to Business Insider, Amazon influencers can earn 1% to 20% on each sale. The rate depends on the product category.

To get started, apply through the Amazon Associates program on Amazon's website. You must have an active social media account. It should be on platforms like Instagram, Facebook, or YouTube. Use these platforms to create and share content about the products you promote. Amazon’s Associate Dashboard will help you track your commissions and performance.

Potential Income

New Amazon Influencers can earn over $1,000 in their first month, as reported by Weekend Growth. As you build your follower base and increase content creation, your earnings can rise to $2,000 to $3,000 per month. Your income will depend on the sales generated through your referral links.

Drawback

A major drawback is needing a large, active social media following. Helium 10 recommends having at least 1,000 followers to improve your chances of acceptance into the program. Also, income can be inconsistent. It is greatly influenced by your audience’s engagement and buying behavior.

64. Amazon FBA Business

Amazon FBA (Fulfillment by Amazon) business allows you to sell products online. You do this without managing inventory or shipping. With this program, Amazon handles storage, packing, and shipping of your products. You only need to focus on selecting and listing the products you want to sell. This business model works well for small-town entrepreneurs. It helps them start an e-commerce venture simply, without complex logistics. By using Amazon FBA, you can reach a global audience. You can do this without the need to handle inventory yourself. According to Jungle Scout, about 50% of Amazon sellers make yearly profits. Their profits are between $12,000 and $300,000.

To start an Amazon FBA business, first create an account on Amazon Seller Central. You will need to select products to sell, either sourcing them yourself or using a supplier. You can use tools like Jungle Scout and Helium 10 to research product trends and demand. Once you have your products, ship them to Amazon’s fulfillment centers. Amazon will then handle storage, packing, and shipping.

Potential Income

Many sellers report earning $12,000 to $300,000 a year. Their earnings depend on the products they sell and their sales strategies. As you grow your business and improve your product listings, your earnings could increase a lot.

Drawback

One major drawback is that success with Amazon FBA requires more than just making sales. As noted by Ad Badger, factors such as product quality, competitive pricing, and market competition are crucial for success. Also, the start-up costs can be high. They include expenses for inventory, marketing, and Amazon's service fees.

What Makes a Good Small Town Business Idea?

A good small town business idea should directly address the needs and preferences of the local community. It needs to offer products or services that are not readily available in the area, such as a grocery store, a repair service, or a family-owned restaurant. For example, according to a study by the Small Business Administration, small towns with locally-owned grocery stores often see increased economic activity and community engagement. This approach ensures that the business captures a steady market because of the lack of competition.

Additionally, a good small town business should contribute positively to the local economy. I can be creating jobs or engaging in community activities. A report by the National Federation of Independent Business found that small town businesses that hire locally and take part in community events have higher customer loyalty and support. 

What Are the Easiest Small Town Business Ideas To Manage?

The easiest small town business ideas to manage are those with low startup costs, simple operations, and that meet local needs. According to the Small Business Administration (SBA), service-based businesses like lawn care, pet grooming, and cleaning services are among the easiest to manage in a small town. These businesses usually have lower overhead costs and can be run by a small team or even just one person.

Additionally, businesses like coffee shops, bakeries, and convenience stores are relatively easy to manage because they have predictable demand and can build a loyal customer base. A survey by Main Street America found that small-town residents highly value local service providers. It makes these businesses more likely to succeed. 

Conclusion: Why Local Lead Gen Biz Suits As Small Town Business Idea?

A local lead generation business suits a small town as it helps local enterprises grow by connecting them with potential customers. According to the Local Business Institute, small town businesses often face challenges in reaching their target audience. It makes lead generation services highly valuable. This business model is effective in small towns where businesses might struggle with visibility and attracting the right clientele. By generating leads tailored to the local market's needs, this type of business strengthens the local economy.

Setting up a lead generation business in a small town typically involves lower start-up costs and minimal competition. A report by the Rural Business Development Association highlights that the average start-up cost for a lead generation business in small towns is significantly lower compared to urban areas. These factors make it easier to launch and maintain. Also, your potential income ranges from $500 to $3,000 per month per website. 

conclusion-lead-gen-maps

Furthermore, a local lead generation business naturally fosters community relationships. As noted by the Community Business Network, businesses that focus on local lead generation often become key players in local business networks. It facilitates collaborations and partnerships. It becomes a central hub for business networking, encouraging collaborations and partnerships among local businesses. Additionally, the low competition in this field is because of the thousands of keywords and niches that can be targeted, allowing for a diverse range of opportunities. 

Local lead generation stands out as the ideal small town business because it offers a hands-off approach with reliable and steady income. Once established, lead gen sites earn money automatically and need very little upkeep. This makes it perfect for either a side hustle or a full-time job replacement, all while boosting the local economy and helping other businesses thrive.

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