Massachusetts is known for its strong economy, with major industries such as manufacturing, higher education, biotechnology, information technology, finance, health care, and tourism playing key roles. Tourism is an especially important contributor to the state’s economy.
For the second year in a row, Bloomberg has declared Massachusetts to be the second most innovative state in the US.
This is due to an upsurge in profitable sectors such as tourism, information technology, and finance. To help you take advantage of this opportunity, here’s a guide on how to start your own successful business in Massachusetts.
You may like to read: 215+ Digital Art Business Name Ideas to Know
15 Small Business Ideas in Massachusetts
1. Customized Tour Services
Traveling brings in a great deal of revenue to the state, making it possible to create your own tour guide business with minimal upfront costs.
2. Digital Marketing Agency
In Massachusetts, digital advertising agencies are becoming increasingly in demand as organizations prioritize online campaigns over traditional ones. If you have the required experience and knowledge, consider launching one of your own.
3. Online Survey
If you want to make some extra money without spending any of your own, completing online surveys is a great way to do it. Here’s a list of the best survey sites that offer good incomes for taking surveys.
4. Berry Farming & Export
Massachusetts is the second largest cranberry-producing state, and small farms here can cultivate the crop for export to other parts of the country.
5. Business Consulting Firm
Due to poor execution, countless new businesses fail each year. As a consultant, you could provide advice to these new companies on how to start off correctly with the necessary resources in place.
6. Bed & Breakfast Business
Massachusetts’ most sought-after tourist spots such as Boston, Cape Cod, Salem, Plymouth, and Berkshires present an opportunity to offer visitors a unique bed and breakfast experience instead of standard hotels and motels.
7. Food Truck
For those looking for a low-cost business opportunity, Massachusetts is an ideal place to start a food truck. With an old truck, minimal equipment, and the necessary license, you can quickly begin your journey in the exciting world of food trucking.
8. Content Marketing Agency
In order to remain competitive in an ever-increasingly digital world, companies must create engaging content that can be used to promote their brand.
9. Life Coaching Business
This business is perfect for those with strong interpersonal skills, as it involves assisting people in making changes and incorporating new experiences into their lives.
10. Advertising Agency
You can create an agency that provides advertising services to the plethora of small and increasing businesses located in this state.
11. Travel Agency
Massachusetts is a very popular tourist destination, now ranking as the 6th most visited location by tourists from other countries. Those travelers typically require various services such as ticketing, booking, currency exchange, and more.
12. Copywriting Services
Copywriting services are an ideal choice for freelancers, as they offer generous remuneration. Plus, you can effectively manage multiple clients simultaneously online.
13. Virtual Assistant
Companies now look for individuals who can work virtually than at the office. You can work online as a virtual assistant for a specific time frame and fixed hours.
14. Cab Service
Metro areas such as Boston, in Massachusetts, offer plenty of potential for higher returns on investment for cab businesses.
15. Daycare Center
If you enjoy being around children and have extra space at home, a daycare center can be a viable business to open in Massachusetts.
How to Start a Business in Massachusetts
To legally launch a business in Massachusetts, use the provided instructions alongside great small business ideas and opportunities.
Step 1. Choose a Business
Choosing the right business idea is the first step to starting a business. The ideas mentioned here will give you some inspiration when making your decision.
Step 2. Writing A Business Plan
Creating a comprehensive business plan is an essential component of entrepreneurial success, outlining your goals and strategies to help guide your enterprise.
Step 3. Financing Your Business
Massachusetts is a state that many investors and venture capital firms prefer. Here, you can make your pitch to secure funding or go for crowdfunding. Furthermore, there are multiple business loan options with attractive repayment plans.
Step 4. Choosing A Business Structure
Picking the right business structure is an important initial step if you want to do business legally in Massachusetts. Options include Sole Proprietorship, Partnership, Corporation, and Limited Liability Company (LLC). Forming an LLC also comes with extra-legal benefits and tax breaks.
Step 5. Naming Business
When filing for an LLC, pick a name and register it with the US Patent and Trademark Office. Additionally, be sure to acquire a domain with the same name for your business as quickly as possible.
Step 6. Federal EIN & Tax Filing
You now have to request a Federal EIN to be qualified for taxes. The EIN is a nine-digit tax identification figure you must acquire from the Internal Revenue Service (IRS). This EIN is similar to a social security number for an organization. Obtaining this EIN also legally allows you to retain an employee for your business.
Step 7. Business Licenses & Permits
For retailers in Massachusetts, obtaining a Sales and Use Tax Registration Certificate (Form ST-1) from the Department of Revenue is necessary for selling products.
Furthermore, retail products are subject to taxes in Massachusetts, whereas services are typically not taxable. Individuals looking to sell services can learn more about licensing requirements through the Massachusetts Division of Licensure.
Step 8. Business Bank Account & Bookkeeping
Using an Employer Identification Number (EIN) you can open a business bank account to help manage your finances. Additionally, with the right accounting software, you can track all your transactions in one place.
Step 9. Business Insurance
In Massachusetts, a professional liability policy is necessary to sell services while worker’s compensation insurance is required when hiring an employee.
Step 10. Promoting Your Business
To connect with your target customers, you can start by using social media but eventually, you need to consider other methods of promotion for your business.
Best Places To Start A Business In Massachusetts
Massachusetts offers many prime spots to start a business. Here are some of them:
- Boston
- Springfield
- Cambridge
- Worcester
- Newton
- Somerville
- Lowell
This guide provides complete instructions on how to establish a successful enterprise in Massachusetts without breaking the bank.
You may like to read: 600+ Unique Marketing Company Name Ideas
