What Are the Different Types of Small Capital Business Ideas?

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  • Written By: Esther Ejim
  • Edited By: Kaci Lane Hindman
  • Last Modified Date: 19 November 2019
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Small capital business ideas refer to those types of businesses that do not require a lot of start-up capital. Many types of businesses that fall into this category, because a business is only limited by the inventiveness and creativity of the business owner. New technologies, new fashion and even new methods of doing old tasks are also constantly changing. All of these changes bring with them new opportunities for business. As such, small businesses necessarily include both old and emergent business ideas.

The establishment of a hairdressing salon is included in the list of small capital business ideas that do not require a lot of start-up capital. Most people usually start off in this business by doing the hair of friends and relatives. As word of mouth spreads, they start to grow in their chosen field and may officially rent a place specifically meant for practicing their craft. Even those who do not have a lot of money can start if they have enough money to pay the rent and utilities, buy some basic equipment, fix the place up, and have a little set aside for operational costs. They may start the shop with only one other partner or employee and employ more as the business grows.


Another type of business that is included in the list of small capital business ideas is a daycare center. The proprietor of a daycare business merely needs to obtain a license to start working. This may be done by attending some mandatory classes and taking some tests. Most daycare owners operate the business out of their home, if it meets the standards for such activities. As the daycare grows, the proprietor may decide to expand the daycare by obtaining larger premises.

A catering business is one of the small capital business ideas. Those with a talent and passion for cooking may start by making food for friends and relatives. As the business grows, the caterer may start taking larger orders. In order to prepare larger orders, the caterer will need a larger space and more equipment that what he or she may have in the home kitchen. Such a person may also need to employ more people to help out with the food preparation and even the catering of events.

Starting a graphic design business also does not require a lot of capital. Most people establish a Web site and take orders over the Internet and by networking. As time goes by and the artist builds a list of clients who trust his or her work, such an artist may decide to open a bigger office and employ other people to help handle the new jobs.



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