Most people dream of starting a business for themselves, but even very successful business people started small. Here is a step-by-step guide for pursuing business opportunities under $5k. If utilized correctly, these opportunities can act as a springboard to bigger and better things.
Step 1: Identify Your Skills
Take stock of what you’re good at. Identify a few things you’ve always excelled at and which you can monetize. Write those things down on a piece of paper. They will guide you in the remainder of your search because you’re going to use your unique skills to transform a business from an under-$5k enterprise into something much more valuable.
Step 2: Check Out Online Businesses
Some online entrepreneurs start several profit-oriented sites instead of betting on just one. When any one of them takes off, the entrepreneur focuses on that one and sells the rest, even though some of them might be profitable.
You have the opportunity to buy one of these profitable online businesses by paying a flat fee on a marketplace like Shopify’s Exchange. You’ll take over the site’s operations, and you get 100% of the profits it reaps every month. If you get one that appeals to your skills, takes= care of it, you can multiply the site’s profits before too long.
Step 3: Research Offline Businesses
There are a ton of offline businesses that you can start for cheap and work to grow quickly. They include:
- Door-to-door sales
- Pet grooming
- Freelance blogging or coding
- Handyman work
- Vending machines
- Jewelry design
- Mobile DJing
- And Much More!
Again, use the unique skills you identified in step 1 to guide your choice if you go this route.
Step 4: Consider Franchising
In recent years, there has been a trend of buying into small franchises instead of buying an independent business. That is because a franchise is less risky due to the fact that it already has an established name to lean on.
At marketplaces like Top Franchise, you can find franchise investments for under $5k that will get you started.
Step 5: Write a Business Plan
If you don’t have a few thousand dollars to set aside for a business opportunity (under 5k), you’re not alone. Many people don’t, but it’s not difficult to obtain a very attractive business loan from a bank if you have a good business plan. Research how to write a business plan that covers all the bases and that you can be proud of.
Step 6: Apply for a Loan
There’s an entire branch of the US government dedicated to providing small business loans and advice, and they’re actually pretty easy to deal with compared to most government branches. Of course, we’re talking about the SBA or Small Business Administration, and business opportunities under 5k are right in their wheelhouse. Like we said above, it should be no problem to attain a loan with very low interest if you visit their site with a solid business plan in hand.
Step 7: Cultivate the Business
Once you settle on a business and buy it, it’s time to help it thrive! The great thing about businesses initially valued under $5k is that they all have a ton of room to grow. It’s usually possible to grow the value of the business 10-100x over a year or two if you are diligent and make all the right moves.
Utilizing the unique skill set you identified in step one to set your business apart is critical here.
Step 8: Apply Feedback
It’s essential to listen to feedback — both negative and positive — from your colleagues and your customers. It is the most powerful tool you have in shooting past that $5k threshold with your company’s valuation.
Step 9: Trade-Up
A few years down the road, when your company is done growing, you can sell it for an incredible profit. You might choose to pocket your winnings and get a salaried job, but you’ve probably got the entrepreneurial bug by that point!
You could also start a new passion project from scratch, or you could “trade up” for a business with a much larger starting threshold and help it grow to new heights!
Business opportunities under $5k are not only easy to come across, but they are also exciting beginnings to potentially huge business stories. Get started today and don’t look back!
Have you tried buying a business for under $5k? If so, let us know about it in the comments section below!