Starting a small business can be a great way to achieve financial freedom and independence. However, many people are hesitant to start their own business because they think it requires a lot of money upfront. The good news is that there are many low-cost, high-return small business ideas that you can start in the UK.
Here are the top 15 low-cost, high-return small business ideas in the UK
1. Dropshipping
Average Investment Required: £100 – £500
Dropshipping is a booming e-commerce model that allows entrepreneurs to run an online store without the hassle of managing inventory. You can partner with suppliers, list their products on your website, and when a customer places an order, the supplier ships the products directly to them. The initial investment typically involves setting up a website, marketing, and possibly subscription fees for e-commerce platforms. The beauty of dropshipping is that it offers flexibility in terms of product selection and location, making it an attractive low-cost option.
Benefits of Choosing This Idea:
- Minimal upfront investment.
- No need to hold inventory or handle shipping.
- Scalability is straightforward; you can expand your product range with ease.
- You can operate from anywhere with an internet connection.
How to Start This Business Idea:
- Research and select a niche or product category that interests you.
- Register your business and obtain any necessary licenses or permits.
- Find reliable suppliers and establish partnerships.
- Create a user-friendly e-commerce website.
- Develop a marketing strategy to attract customers through social media, SEO, and online advertising.
- Continuously monitor and optimize your store for better results.
2. Freelance Writing
Average Investment Required: £0 – £100
If you have a way with words, freelance writing can be a rewarding small business. It requires minimal investment, primarily for a computer, internet connection, and potentially a website or portfolio. Freelance writers create content for websites, blogs, magazines, and businesses. You can work on various projects, from articles and blog posts to copywriting and technical writing.
Benefits of Choosing This Idea:
- Low startup costs.
- Flexibility in choosing clients and projects.
- Opportunity to work from home or anywhere you prefer.
- Potential for a steady stream of clients and income with consistent effort.
How to Start This Business Idea:
- Build a portfolio by writing sample pieces.
- Create an online presence through a website or social media profiles.
- Register on freelancing platforms like Upwork, Freelancer, or Fiverr.
- Bid on projects and showcase your expertise.
- Network with potential clients through social media and industry events.
- Deliver high-quality work to build a positive reputation and gain repeat clients.
These are just the first two small business ideas in our list of 15 low-cost, high-return options. Each of these ideas offers unique advantages and opportunities for entrepreneurs looking to start a small business in the UK in 2023. In the next sections, we’ll explore more ideas and how to get started with them.
3. Consulting
Average Investment Required: £0 – £500
Consulting is a versatile small business idea that allows you to leverage your expertise in a specific field. Whether you’re knowledgeable about marketing, finance, HR, or any other area, businesses often seek external consultants for guidance. The initial investment may involve creating a professional website and marketing materials.
Benefits of Choosing This Idea:
- Utilizes your existing skills and knowledge.
- High earning potential for specialized expertise.
- Flexible working arrangements.
- Diverse client base, including startups and established businesses.
How to Start This Business Idea:
- Identify your niche or area of expertise.
- Create a business plan outlining your services, pricing, and target audience.
- Develop a professional website and marketing materials.
- Network with potential clients through industry events and online platforms.
- Offer free workshops or webinars to showcase your expertise.
- Provide excellent service and gather testimonials to build your reputation.
4. Cleaning
Average Investment Required: £200 – £1,000
Starting a cleaning business is a practical and accessible option for aspiring entrepreneurs. You’ll need basic cleaning supplies, equipment, and transportation. Depending on your specialization, you might also require specific certifications, such as for commercial or hazardous material cleaning.
Benefits of Choosing This Idea:
- Steady demand for cleaning services.
- Scalable business model by hiring employees.
- Flexible work hours.
- Opportunity to target residential or commercial clients.
How to Start This Business Idea:
- Research your local market and competition.
- Decide on your niche (residential, commercial, specialized cleaning, etc.).
- Register your business and obtain the necessary licenses.
- Invest in cleaning supplies and equipment.
- Develop a pricing structure and marketing strategy.
- Advertise your services through online listings, local directories, and word-of-mouth referrals.
These are the first four small business ideas to kickstart your entrepreneurial journey in the UK in 2023. Whether you prefer e-commerce, writing, consulting, or cleaning, each option has its unique advantages and pathways to success. Stay tuned for the next set of ideas, where we’ll explore opportunities in lawn care, virtual assistance, and more.
5. Lawn Care
Average Investment Required: £500 – £2,000
For those who enjoy spending time outdoors and have a green thumb, starting a lawn care business can be a lucrative venture. You’ll need basic gardening tools, a lawnmower, and a vehicle for transportation. Building a loyal customer base often leads to recurring income as clients require regular maintenance.
Benefits of Choosing This Idea:
- Seasonal demand with potential for year-round services.
- Relatively low overhead costs.
- Opportunity for upselling additional landscaping services.
- Satisfaction in improving outdoor spaces.
How to Start This Business Idea:
- Acquire the necessary equipment and tools.
- Set competitive pricing for your services.
- Create marketing materials, including flyers and a website.
- Build relationships with local nurseries or garden centers for supplies.
- Offer free estimates and excellent customer service.
- Consider expanding into landscaping services for higher profit margins.
6. Virtual Assistant
Average Investment Required: £0 – £100
The demand for virtual assistants (VAs) has surged in recent years as businesses seek efficient ways to manage administrative tasks remotely. If you have strong organizational and communication skills, you can become a VA with minimal investment in a computer and internet connection.
Benefits of Choosing This Idea:
- Low startup costs.
- Flexible work hours and location independence.
- Diverse client base across various industries.
- Opportunity to specialize in specific niches, such as social media management or email marketing.
How to Start This Business Idea:
- Identify your skills and services (email management, data entry, scheduling, etc.).
- Create a professional online presence through a website or LinkedIn profile.
- Determine your pricing structure and packages.
- Network with potential clients through social media and online job platforms.
- Showcase your expertise by offering free resources or webinars.
- Deliver exceptional service to build long-term client relationships.
7. Social Media Manager
Average Investment Required: £0 – £100
With the proliferation of social media, businesses are keen to maintain a strong online presence. If you’re social media savvy and creative, consider becoming a social media manager. You’ll need a computer, internet access, and graphic design software, though free or low-cost alternatives are available.
Benefits of Choosing This Idea:
- Low startup costs.
- Growing demand for social media expertise.
- Opportunity to work with diverse clients and industries.
- Flexibility in managing multiple accounts.
How to Start This Business Idea:
- Identify your niche or specialization (platforms, industries, content types).
- Build an online portfolio showcasing your skills.
- Create social media profiles for your business.
- Develop a pricing structure and packages.
- Network with potential clients through social media and business forums.
- Stay updated on social media trends and algorithms to offer the latest strategies.
These are the next set of small business ideas, each offering distinct advantages and opportunities for entrepreneurs in the UK in 2023. Whether you’re interested in outdoor work, online services, or a mix of both, there are plenty of low-cost, high-return options available. Stay tuned for the remaining business ideas, including web development, graphic design, and content creation, to complete our list of 15 small business ideas for the year ahead.
8. Web Developer
Average Investment Required: £500 – £2,000
The demand for web developers continues to soar as businesses and individuals seek to establish an online presence. If you possess coding skills or have the willingness to learn, starting a web development business can be a lucrative venture. You’ll need a computer, software licenses, and possibly a website to showcase your portfolio.
Benefits of Choosing This Idea:
- High earning potential, especially for custom development projects.
- The constant demand for website creation and maintenance.
- Flexibility in choosing clients and projects.
- Opportunity to specialize in specific platforms or technologies.
How to Start This Business Idea:
- Hone your web development skills and build a portfolio of projects.
- Determine your pricing structure and services (front-end, back-end, e-commerce, etc.).
- Create a professional website to showcase your work.
- Network with potential clients through industry events and social media.
- Offer free consultations to discuss clients’ needs and provide quotes.
- Stay updated on the latest web development trends and technologies.
9. Graphic Designer
Average Investment Required: £200 – £1,000
Graphic design is a versatile field with a wide range of opportunities. If you’re creative and have design software, such as Adobe Creative Suite, starting a graphic design business is feasible. Consider investing in a good quality computer and design tools.
Benefits of Choosing This Idea:
- High demand for graphic design across industries.
- Opportunity to work on diverse projects (logos, branding, marketing materials, etc.).
- Ability to serve local and remote clients.
- Creative fulfillment and room for artistic expression.
How to Start This Business Idea:
- Build a strong portfolio showcasing your design skills.
- Set pricing for various design services.
- Create an online presence through a website or social media profiles.
- Network with potential clients, including local businesses and agencies.
- Offer special packages for branding or marketing materials.
- Stay updated on design trends and software advancements.
10. Content Creator
Average Investment Required: £0 – £100
If you’re passionate about a particular niche, consider becoming a content creator on platforms like YouTube, TikTok, or a personal blog. While you can start with just a smartphone, investing in quality audio and video equipment can enhance your content’s production value.
Benefits of Choosing This Idea:
- Low to no startup costs.
- Creative freedom and potential for monetization.
- Opportunity to build a dedicated audience.
- Flexibility in content creation and posting schedules.
How to Start This Business Idea:
- Choose your niche and target audience.
- Create engaging and valuable content.
- Establish a presence on relevant social media platforms.
- Collaborate with brands and other creators for exposure.
- Monetize through ads, sponsorships, merchandise, or affiliate marketing.
- Stay consistent with content production and audience engagement.
These business ideas offer excellent opportunities for entrepreneurs in the UK in 2023. Whether you’re inclined towards tech-related ventures like web development and graphic design or prefer creative pursuits like content creation, there’s something for everyone. Stay tuned for the final set of business ideas, including e-commerce, tutoring, bookkeeping, translation, and photography, to complete our list of 15 low-cost, high-return small business ideas.
11. E-commerce Business
Average Investment Required: £500 – £5,000
With the growth of online shopping, starting an e-commerce business can be a lucrative venture. While initial investments may include setting up a website, purchasing inventory, and marketing, you can start small and scale up as your business grows.
Benefits of Choosing This Idea:
- The potential for a global customer base.
- Flexibility to sell a wide range of products or specialize in a niche.
- E-commerce platforms offer user-friendly tools.
- The ability to automate many aspects of the business.
How to Start This Business Idea:
- Choose a niche or product category to focus on.
- Research and source products from suppliers or wholesalers.
- Set up an e-commerce website using platforms like Shopify or WooCommerce.
- Develop a marketing strategy, including social media advertising and email campaigns.
- Offer excellent customer service and manage inventory efficiently.
- Continuously analyze sales data and customer feedback to refine your business strategy.
12. Tutor
Average Investment Required: £0 – £100
If you have expertise in a particular subject or skill, consider starting a tutoring business. You can offer one-on-one or group tutoring sessions online or in person, depending on your preferences. Your primary investment may involve creating educational materials and advertising.
Benefits of Choosing This Idea:
- Fulfillment in helping others learn and succeed.
- Flexible scheduling and location options.
- High demand for academic and specialized tutoring.
- The potential to earn a significant hourly rate.
How to Start This Business Idea:
- Identify your area of expertise and target audience (e.g., students, professionals, language learners).
- Determine your pricing structure and tutoring format (online, in-person, group sessions).
- Create marketing materials, including flyers and a website.
- Advertise your services through online tutoring platforms, social media, and local networks.
- Provide high-quality tutoring sessions and gather testimonials.
- Consider expanding your services by offering specialized courses or workshops.
13. Bookkeeper
Average Investment Required: £100 – £500
Many businesses, especially small and medium-sized enterprises, require bookkeeping services to manage their finances efficiently. If you have a background in accounting or bookkeeping, you can start a bookkeeping business with relatively low startup costs. You’ll need accounting software and potentially a website to promote your services.
Benefits of Choosing This Idea:
- Steady demand for accurate financial record-keeping.
- Opportunity to work with a diverse client base.
- Flexibility to offer remote or on-site services.
- Potential for recurring income with long-term clients.
How to Start This Business Idea:
- Obtain the necessary bookkeeping qualifications or certifications.
- Set your pricing structure, considering hourly rates or package deals.
- Invest in accounting software and tools to streamline your work.
- Create a professional website and marketing materials.
- Network with local businesses, accountants, and entrepreneurs.
- Provide accurate and timely bookkeeping services, emphasizing confidentiality and attention to detail.
14. Translator
Average Investment Required: £0 – £100
If you’re bilingual or multilingual, offering translation services can be a rewarding small business. You may only need a computer and translation software, which can be found for free or at low cost online. Translators are in demand for a variety of projects, including documents, websites, and video subtitles.
Benefits of Choosing This Idea:
- Low startup costs.
- The ability to work with clients globally.
- Opportunities in various industries, including legal, medical, and marketing.
- Flexibility to specialize in specific languages or subject areas.
How to Start This Business Idea:
- Identify your language pairs and areas of expertise.
- Build a portfolio showcasing your translation skills.
- Create a professional online presence through a website or profiles on translation platforms.
- Network with potential clients, including businesses, agencies, and individuals.
- Offer competitive pricing based on word count, complexity, and deadlines.
- Deliver high-quality, accurate translations and meet deadlines consistently.
15. Photographer
Average Investment Required: £500 – £2,000
For those with a passion for photography and the necessary equipment, starting a photography business can be a creative and profitable venture. Your investment will primarily go into high-quality camera gear, editing software, and potentially a website to showcase your portfolio.
Benefits of Choosing This Idea:
- Creative expression and the opportunity to capture special moments.
- Flexibility to specialize in various photography niches (portrait, wedding, product, wildlife, etc.).
- Potential for recurring business through client referrals.
- The ability to work at various locations and events.
How to Start This Business Idea:
- Invest in professional-grade camera equipment and editing software.
- Build a portfolio featuring your best work.
- Create a website or social media profile to display your portfolio and services.
- Develop a pricing structure for different photography packages.
- Network with potential clients and other photographers.
- Market your services through social media, local events, and collaborations with event planners or businesses.
In conclusion, these 15 low-cost, high-return small business ideas in the UK for 2023 offer diverse opportunities for aspiring entrepreneurs. Whether you have a passion for tech, creativity, or helping others succeed, there’s a business idea on this list that can align with your skills and interests. Remember that success often comes with dedication, hard work, and the ability to adapt to changing market dynamics, so choose a business idea that resonates with you and embark on your entrepreneurial journey with enthusiasm and determination.
FAQ
What is the best low-cost, high-return small business idea for me?
The best low-cost, high-return small business idea for you will depend on your skills, interests, and budget. However, some of the most popular low-cost, high-return small business ideas include dropshipping, freelance writing, consulting, cleaning, and lawn care.
How much money do I need to start a low-cost small business?
The amount of money you need to start a low-cost small business will vary depending on the business idea you choose. However, many low-cost small businesses can be started with less than £1,000.
How do I get started with a low-cost small business?
The first step to starting a low-cost small business is to choose a business idea. Once you have chosen a business idea, you need to do your research and develop a business plan. You will also need to register your business and get the necessary licenses and permits.
Where can I get help and advice on starting a small business in the UK?
There are many resources available to help you start a small business in the UK. The UK government offers a variety of support programs for small businesses, and there are also many private organizations that offer help and advice.
Pardeep is the founder and editor of Small Investment Ideas. He believes that everyone can change their life with the help of small investments and achieve financial freedom.
