10 Small Business Ideas that Work in Small Towns/Villages


India still has its most population settled in villages. Villages have their own set of infrastructure which is different from the urban areas. It is true that business requires a special set of infrastructures and has its own different needs. But this doesn’t mean there are no business opportunities in rural areas.

 

There are many business opportunities in rural areas as well. There are some businesses which are suitable only in rural areas like agriculture-related business. 

It would be beneficial for a person settled in the village to start a business there itself. It would require less capital and less investment to set up a small business in the area you live in. It would also become easy to organize the business there as everyone is a known person.

 

If you are in one of the rural areas and dream of having a business of your own then here are some business ideas to help you:

 

  1. Production of organic produce
  2. Poultry farm
  3. Fishery
  4. Milk centre
  5. Wholesale of Fertilisers
  6. Drinking water supply
  7. Retail shops
  8. Flour mill
  9. Threshing machine
  10. Oil mill 

 

1.Production of organic vegetables

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  • To produce in large quantity many have started using vaccines. Using which the vegetables, fruits, become mature even before the actual time. Therefore the demand for organic produce has increased so much.
  • You can start doing organic farming and sell it in the town market where it is in high demand. For this, you can find a proper vendor for your product so that you don’t have to struggle to sell your produce. 
  • You can also supply your products directly in the market. But in the beginning, it would be better to go through a vendor as you would be new to the market and you would not be aware of buyers. You might not find the proper market to sell your products on your own. Also if you do it all yourself it would increase your cost of production as transportation cost and storage cost will add on it. Moreover, you might not be equipped with everything in the beginning. Also, you need to sell your products immediately as these are perishable items and you would face difficulty in storing it. So it’s better to sell off your products for a fixed amount and grow your business in the beginning without any risk.
  • Later when you would have earned enough income to grow your business, then you can remove the middleman and become a direct supplier. As with time you would have made various contacts and would have learnt the market trends and requirements. Along with this you would have acquired transportation and storage facility of your own.

 

2.Poultry farm 

  • Opening a poultry farm doesn’t require much land. You on your own or with the help of some others can start this business very easily. You would have to rear small chicken up to certain wait and then you can sell then off. 
  • To begin with, you can start this business on a contract basis with a vendor. In this you would be provided with the chicken, their food and everything, you would just have to rear the chickens up to certain months or the weight according to their requirement. You will be paid either by the number of chickens or by weight. Mostly the payment is made according to chickens weight.
  • It will not be advisable to do everything on your own in the beginning. As that would require more capital and you might even face loss as you do not have contacts and you should not take a risk in the very beginning of your business.it would be better if you start it on a contract basis.

 

3.Fishery farm

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  • Similar to poultry farming you can do fishery business as well. You need to have some understanding of this business as it’s not easy. You need sufficient land for fishery business. You need to be very careful in this business as one single mistake can lead to a huge loss. 
  • The disease of one fish or one infected fish can spoil the fish of the whole pond. Therefore you need to be extra careful in this business. 
  • You can sell your fish directly in the market if the quantity is not very much but if the quantity is huge then you can export it as well. You choose to rear the fish which are most demanded and earns more profit, for example, Rahu, catfish, Hilish,Mangur, etc. 

4.Milk centre

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  • Rearing cows and buffalos are very common in villages. There are so many dairy farms which demand milk in huge quantity. They take the milk from the milk centres. These milk centres collect milk from the villagers. 
  • To start the milking centre you would have to contact a dairy farm and do a tie-up with them. 
  • You need to have a proper place where you can keep the weighing machine and the machine to measure the quality of milk fat and other things.
  • You need some basic qualifications as you would have to maintain accounts register and do some basic calculation. You can, however, use billing software as well.
  • You would have to maintain cleanliness with the milk carrier so that the milk doesn’t get spoiled. 
  • Maintain good relations with your customers, pay them on time so that everyone comes to your centre.

 

5.Wholesale of fertilisers

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  • As agriculture is the major occupation in the villages. Starting a wholesale store of fertilisers would be one of the best options for your business. 
  • You might have to get a license for this business. You would have to check for the legalities. 
  • There are very fewer chances of facing loss in this business as most of the people in villages are agriculturists and fertiliser is one of the major requirements for agriculture.
  • You can even keep seeds at your store.
  • Make sure you do marketing of your store well so that you get customers as there would other store existing already in the market.

 

6.Drinking water supply

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  • Usually, people used handpumps, ponds, rivers etc in the village. But now almost everyone has a hand pump at their homes and people have even started getting drinking water canes. 
  • You can start this business with very less capital as well. You can start the store at your home.
  • If possible you can take 4 wheelers like tata Mahindra to carry the canes. 
  • You can even manage with two-wheelers in the beginning.
  • If you do not find home delivery comfortable even then you can run your business as people themselves would come to your store and take the canes home by themselves.
  • As you also belong to the same village it would be easy for you to promote your business.

 

7.Retail shops

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  • You always have the option of opening retail shops. You can start a grocery/Kirana store, a clothing shop, mobile accessories shops, hardware stores, etc.
  • You can even open a saloon. 
  • Starting a tailoring store is yet another option. 
  • These are some common store which you can open in villages along with a sweet shop, fruits stall etc.

 

8.Flour mill

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  • In urban areas, people buy flour packet directly but in villages, people usually go to flour mills as they grow wheat in their fields. 
  • If you open a mill then don’t use it only for wheat. Use it for corns, turmeric, chilli, coriander etc. as well.
  • You can get a machine for making flattened rice as well. Make sure you have a good electrical connection.
  • In rural areas, people usually don’t buy all these from a store as they have raw stocks with themselves because they grow it in the fields.
  • It will be very profitable for you if you provide all in one place.

 

9.Threshing machine

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  • If you have enough capital then you can invest it in getting a tractor. Along with it, you can buy a threshing machine, seed drill machine to start with. Not everyone keeps it with themselves. They usually rent it. 
  • It will be a very profitable business as this is always required in agriculture. In every season before and after harvest, these are required. 
  • If you have these you can even keep the machine which is used to water the fields(pumping set, boring). In this way, you would have all the required things with you and people would not have to go to others for different requirements. 

 

10.Oil mills

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  • Due to lack of oil mills, people either go too far places to get the oil refined or they are forced to sell the produce at a lower cost. 
  • If you collect enough capital you can set up the oil mills.
  • As people grow mustard, soybeans, groundnuts etc in their fields they usually get the oil extracted in the mills for their use. 
  • People might not get oil extracted in large quantity as it is for their use only. The material which remains after the extraction is used by them as fodder for the cattle.
  • As this is done by every household in the village you would not run short of customers.

 

These are a few small businesses which you can start in your village. Depending on the amount of capital you have you can decide on your business. See for your competitors and market before starting any business.  

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