It doesn’t hurt to have extra income, and starting a business is one of the easiest ways to achieve that. But the biggest challenge now is the starting capital. How do you start a business without spending a lot of money upfront? The good news is that you can start plenty of businesses with little or no money. And now you are probably wondering what the cheapest businesses to start from home are.
If you’re a student, a stay-at-home parent, or someone looking to make extra income, then this guide is perfect for you. It explores the cheapest businesses to start from home, with tips on how to market your business, and more. So here are our top ideas to give you some inspiration;
Cheapest Businesses to Start From Home
1. Freelance Writing
Freelance writing is one of the most cost-effective businesses you can start. And I would say of the most underrated, hence why it is number one on our list. All you need to start this business is a computer, internet access, and writing skills. There are various types of writing work available, including blog posts, web content, copywriting, technical writing, etc. To get started you can use websites like Upwork, Fiverr, and LinkedIn to find and connect with potential clients.
- Initial Investment: Zero investment if you already own a computer and have internet access.
- Income Potential: Freelancers in Nigeria and other countries can earn between $50 and $200 per project, depending on experience, skill level, and the client’s needs.
2. Social Media Management
Instead of mindlessly scrolling through social media, why not make a business out of it? Many companies, especially small ones, often need help with managing their social media accounts. And your job as a social media manager is to help these brands grow their online presence by creating content, scheduling posts, and engaging with followers. To start a successful social media management business you only need knowledge of popular social media platforms like Instagram, Facebook, Twitter, etc.
- Initial Investment: $0 – $5 or ₦0 to ₦10,000 for any design tools or graphic apps needed, such as Canva.
- Income Potential: Social media managers can charge anywhere from $50 to $200 per month per client, depending on the number of platforms managed and the level of service provided.
3. Selling Digital Products
Another business with low initial cost and high return is selling digital products. If you have skills in design, writing, or crafting, then consider creating products like e-books, printable planners, templates, or digital artwork. And since digital products can be sold repeatedly without extra costs, you only need to invest in creating them once.
- Initial Investment: $0 – $5 or ₦0 to ₦10,000 for design software if necessary.
- Income Potential: You can earn between $5 and $50 per sale, depending on the product and target audience.
4. Tutoring and Online Teaching
Were you or are you one of those gurus in school? Then tutoring is an excellent option for you. Whether you are especially good at a particular subject or several subjects, you can teach students online using Zoom, Google Meet, or other platforms.
You could also offer lessons other than traditional subjects, such as playing an instrument or learning a language. This is one of the cheapest businesses to start from home, as long as you already have a computer or smartphone.
- Initial Investment: $0 if you already own a computer or smartphone.
- Income Potential: Tutors can charge between $10 and $20 per hour, depending on the subject and student level.
5. Print-on-Demand Business
Print-on-demand (POD) is a business model where you design custom products like T-shirts, mugs, and phone cases, but don’t keep any actual stock. When a customer orders an item, the POD company handles the printing and shipping. This means you are basically only in charge of creating the designs and marketing. This business requires minimal investment since you only pay for products when you make a sale.
- Initial Investment: $0 – $5 or ₦0 to ₦10,000 for design software if necessary.
- Income Potential: Profit per sale can range from $5 to $20, depending on the product and markup.
6. Blogging or Vlogging
Blogging and vlogging (video blogging) are affordable ways to share your passions and eventually make money. Blogging allows you to write about topics you love (e.g., food, fashion, travel), and you can monetize with ads and affiliate marketing. With vlogging, you create videos on platforms like YouTube, where you earn through ad revenue and sponsorships.
- Initial Investment: It could be $0 if you already have a good camera but might way more if you don’t.
- Income Potential: Earnings vary widely depending on views and followers, but successful bloggers and vloggers can make upwards of $500 per month once they build a following.
7. Virtual Assistant Services
A virtual assistant (VA) provides support to businesses or individuals remotely, handling tasks such as email management, scheduling, and customer support. This job is ideal for people who are organized and detail-oriented. Starting a VA business requires little to no upfront costs, especially if you already have basic computer equipment. To learn more about this business, check out our article on everything you need to know about a virtual assistant.
- Initial Investment: $0 if you already have a computer and internet access.
- Income Potential: VA’s typically charge between $100 and $500 per month per client, depending on the services provided.
8. Affiliate Marketing
Affiliate marketing is a business model where you promote other people’s products or services and earn a commission on sales made through your referral links. You can start affiliate marketing through a blog, social media, or even a YouTube channel. Many companies, such as Amazon, Jumia, and Konga, offer affiliate programs, giving you a wide range of products to promote.
- Initial Investment: $0, you just need an internet connection.
- Income Potential: Commissions can range from $5 to $100 per sale, depending on the affiliate program and product price.
9. Dropshipping
Dropshipping is an e-commerce business model where you sell products without holding any inventory. This is similar to Print-On-Demand but when a customer orders an item, the supplier ships it directly to the customer. Dropshipping is one of the cheapest businesses to start from home because you only pay for products after making a sale.
- Initial Investment: $0 – $30 or ₦0 – ₦50,000 setting up an online store on platforms like Shopify or WooCommerce.
- Income Potential: Profit margins are typically between 10% and 30% per sale. For example, if a product sells for $50, you could earn between $5 and $15.
10. Jewellery
Jewellery business is one of the most affordable businesses to start. You can purchase jewellery from wholesalers at cheap rates and sell it at a profit. You could also use the dropshipping business model for this business if you lack capital. Social media platforms like Instagram and Facebook are great for promoting handmade goods.
- Initial Investment: ₦0 – ₦50,000
- Income Potential: You can make a profit of about 20% to 30% for each sale.
How to Choose the Right Business for You
Choosing a home-based business requires understanding your strengths, interests, and resources. Consider these questions to help you decide:
- What are your interests? Pick a business you’re passionate about to ensure you stay motivated.
- What are your skills? Assess your current skills and how they align with each business idea.
- How much time can you commit? Some businesses may require more time than others.
- What are your financial goals? Decide if this is a side income or a full-time opportunity.
Taking these factors into account can help you choose the right business to start with minimal expenses.
How to Promote Your Home Business
Regardless of the business you choose, marketing is essential for attracting customers. Here are a few low-cost ways to promote your home-based business:
- Social Media: Platforms like Instagram, Facebook, and Twitter are excellent for reaching new customers. Post regularly to build a following and engage with your audience.
- Word of Mouth: Tell family, friends, and neighbors about your business. Referrals from people you know can help build credibility.
- Online Marketplaces: Depending on your business type, you can sell on platforms like Etsy, Jumia, and Konga. These marketplaces make it easy to reach a broader audience without needing a website.
- Networking: Join online groups related to your industry. This can help you learn from others, connect with potential customers, and keep up with trends.
- Blogging: If you have the time, start a blog related to your business. Blogging about topics related to your products or services can attract organic traffic and establish your expertise.
Final Thoughts
Starting a business doesn’t have to cost a lot. There are many affordable options out there that allow you to turn your talents, skills, or hobbies into a source of income. With dedication and persistence, you can build a successful business even with limited resources.
Lastly, when exploring the cheapest businesses to start from home, think about what aligns with your strengths and interests. For example, if your a great writer start a writing business, if you are a creative, start something that showcases your skills. Also know that nothing comes easy but with hard work, perseverance and consistency, you can achieve your goals.
