Wondering which small business is the most profitable to start in Texas? Read this article for insight, and take a look at our list of top picks.
Franchise business in Texas is thriving, thanks to the growth of eleven key industries, like mining, construction, manufacturing, trade, transportation, utilities, financial activities, professional and business services, education and health services, leisure and hospitality, and other services.
Texas is a popular spot for travel, both domestically and internationally, boosting the economy through tourism revenue.
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List of 25 Best Business Ideas in Texas
Here is a compilation of the top businesses to open in Texas with minimal funds:
1. Start an Online Business
People in Texas can make a steady, full-time income from the comfort of their own homes by launching an online business. There are many options to choose from, such as blogging, affiliate marketing, tutoring, freelance writing, creating digital courses, and much more.
Here are some of the top online business ideas you can start working on from home.
2. Fitness Center
There is an epidemic of obesity in Texas, particularly common among children. If you are a fitness trainer, opening up a fitness center is the obvious solution.
Even if you don’t have experience in this area yet, talking to the federal association of Professional Trainers can provide information on how to become a certified trainer.
3. Barber Shop
If you are a hairdresser, Texas would be a great place to start your own barbershop as there is strong demand for knowledgeable barbering services.
4. Hardware Store
Starting a hardware store in Texas is a great business opportunity, as it doesn’t require much startup capital or specialized skills. To further grow your business, you can even consider opening an online store.
5. Mobile Food Truck
For those who love to cook, the mobile truck business is a great opportunity. Hire a vehicle and start selling your food in commercial areas in Texas.
6. Coffee Shop
In cities like Houston, Dallas, and Austin there is a large number of coffee shops. However, by creating an inventive-themed cafe, there is still an opportunity to successfully open a coffee shop and draw in local Texans.
7. Beauty Salon
Salons have grown dramatically in Texas in recent years, with options such as beauty, hair, and day spas all being popular choices to start a business.
8. Electronic Gadget Repairing
If you have a knack for repairing electronics such as smartphones, tablets, and laptops, opening a repair shop can be a lucrative option in Texas.
9. Cleaning & Maintenance
Texas has many individuals seeking cleaning services. Some of the tasks you can provide include home cleaning, carpet cleaning, window cleaning, and garbage removal.
10. DayCare
If you’re fond of children, opening a daycare business in this state would be an excellent source of both fulfillment and income. There’s a great need for good quality daycares here.
11. Tutoring
Texan parents are willing to pay extra for tutors who specialize in certain subjects or who are experienced, teachers. Therefore, you can start a tutoring business right from your home.
12. Pet Store
In Texas, there’s been an increase in pet store businesses offering services such as pet daycare and training.
13. Open a Fast Food Restaurant in Texas
Fast Food restaurants are extremely popular in Texas and it’s a great business opportunity to open one if you have enough foot traffic.
14. Recycling Business
Texas is a great place for launching a recycling business as there’s a large demand for these services. Used materials like plastic, scrap metals, glass, and paper can all be processed at your plant.
Recycling usable materials and selling them to manufacturers yields a profit and simultaneously helps preserve the environment.
15. Gift Shop
Texas is packed with gift shops in places like Houston, Dallas, and Austin, yet there’s still tremendous growth potential due to the high demand.
16. Appliance Repairing Business
Appliance repair is a profitable business that can be started in Texas without worrying about inflation. If you have the necessary experience, this could bring you good profits as there will always be customers looking for help.
17. Small Construction Company
If you have knowledge of the construction industry, Texas is an attractive option to start a small-scale construction business; however, it will require a good sum of money to begin.
18. Open a Real Estate Business in Texas
Individuals in many cities within Texas are often searching for decent and budget-friendly housing. Those with strong communication skills may opt to begin a real estate brokerage company.
19. Legal Consultancy Services
Texas is a great place for legal professionals. If you have experience in law, setting up a legal consulting business is a profitable endeavor.
20. Digital Marketing Agency
Texas, similar to other states in the US, has a high demand for digital marketing professionals. Starting a digital marketing agency is a great business opportunity for those with experience in the industry.
21. Open a Laundromat Business in Texas
Everywhere in the world, laundry services are a thriving industry. This is especially true in Texas, where opening a laundromat requires very little start-up capital.
22. Pool Cleaning & Maintenance
Pool cleaning is in high demand in Texas, but without prior experience, it can be tough to succeed.
23. Recruitment Service
As many small and large businesses are located in the city, there’s a need to recruit employees. Without a doubt, having experience in the industry is an advantage when looking for work.
24. Provide Assisted Living Facility Services in Texas
The need for assisted living services for elderly and disabled people is increasing in Texas. According to the US Census Bureau, it is estimated that 20% of the population of Texas will be over 65 years old by 2050. This implies that the assisted living business has a positive outlook.
25. Medical Billing
Patient billing for services such as check-ups, testing, and surgeries is commonplace in medical centers, hospitals, and with individual practitioners.
If you have experience in medical billing processes, starting up a medical billing business in Texas can be a profitable venture. This profession involves processing bills and consistently following up with insurance companies to ensure claim settlements.
How to Start a Business in Texas
If you want to start a business in Texas, there are certain legal regulations you need to adhere to.
- When setting up a business, you must choose between a DBA, LLC, or Corporation.
- Hire a Registered Agent to complete company formation and filing.
- When selecting a business name, make sure to check with the US Patent and Trademark Office (USPTO) and see if a matching domain name is available.
- Compare top LLC services in the US and select one to register your business with.
- Get your Federal Employer Identification Number (FEIN or “EIN”).
- Sign up for Tax Filing – The Comptroller of Public Accounts takes care of state tax filings.
- Establish a business banking account.
- Obtain the necessary licenses and permits to run your business.
According to the U.S Small Business Administration (SBA), Texas is home to nearly 2.6 million small businesses, equating to 99.78% of all business establishments within the state.
From this, it’s simple to determine that Texas is an ideal city for launching and running a business. We hope this list of the best business ideas and opportunities combined with our startup guide will assist you as you establish your company in Texas.
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