Owning a business is a dream come true for many people. However, a large budget is required in most industries, and not every budding entrepreneur has one. In this case, a small business may be a good idea. What exactly is a small business? What is worth producing?
Table of contents:
- A small business – what is it?
- A small business – where to start?
- A small business – what should it look like to count as profitable?
- A small business – what pays off? Business ideas
A small business – what is it?
The term small business refers to small, often one-person manufacturing companies. Depending on whether and how many workers the company employs and on the revenue it generates, the business can be defined as a micro or small enterprise. A micro-entrepreneur is one who does not employ more than 10 employees and whose income does not exceed the equivalent of €2 million in PLN. A small entrepreneur is one who employs no more than 25 workers and whose annual net turnover is less than the equivalent of €10 million in PLN. If you plan to start production without hiring any employees, you can set up a one-person business.
A small business – where to start?
If you want your production to be profitable, you must first of all have an idea. The biggest businesses, and your small business too, are born from good ideas. A new business starts from finding a niche. Unique products, addressed to a narrow consumer base, are often enthusiastically received by buyers whose needs have not been met by other companies on the market. However, even despite considerable competition, you can still succeed in the market. Much also depends on the quality of the product.
In order to be able to make quality products, you must not only have knowledge and skills in the field but also have the right equipment and well-thought-out logistics. You can operate effectively even in a very limited space, but you need to develop a system of operations so that you can run all stages of production smoothly.
A small business – what should it look like to count as profitable?
Whether you run a one-person business or a large enterprise, business profitability is key. A small business does not necessarily mean small profits, but the following requirements must be met to make it profitable:
- an original, innovative product;
- high quality;
- low manufacturing cost of the product;
- limited competition;
- well-thought-out, low-complexity organisation;
- demand for the product.
The success of the investment is mainly linked to the quality of the product and finding an audience. This will be easier if you offer original, niche products. Nevertheless, even by producing basic products, you can succeed in the industry if you focus on quality and transparency. Many people are moving away from mass production toward small businesses that offer good quality and authenticity.
A small business – what pays off? Business ideas
A small business may not be extremely profitable at the beginning, but it does not require a large investment either. You can even start it in your garage at home! However, without a good idea, no small business will succeed. What is profitable to produce these days? Check out our suggestions for developing your own production business.
1. Organic cosmetics
Natural, organic and vegan cosmetics are a great example of a manufacturing business. This is because, year after year, customer awareness is growing, and the world of cosmetics is becoming more environmentally conscious. Buyers not go not by price but by quality and a sustainable production process. Contrary to appearances, the production of cosmetics is not at all complicated, and you can use easily available ingredients to make them.
You can start your production business with simple products and expand your product lines over time as you gain experience. To get started in this business, you will only need a room with good ventilation and access to running water, containers and basic equipment for weighing and mixing ingredients, as well as utensils for boiling, and a mould. In the long term, it is worthwhile to purchase professional equipment such as a dosing line, a capping machine or a labeller. Automation of production will allow you to reduce costs per-unit, achieve better quality of the products and eliminate production errors.
2. Eco-friendly candles
Staying on the topic of cosmetics, it is hard not to mention one of the fastest-growing small businesses, which is candles. Although you can buy scented candles in almost every shop, it is the handmade ones made from quality ingredients that are most popular among informed customers. In order to stand out from the crowd, it is worth choosing non-standard solutions such as original shapes, original fragrance blends or fancy packaging.
You don’t need an advanced production line to make them. All you need are a few basic items such as wicks, waxes, glass vessels or moulds, fragrance oils, as well as pots and spatulas. Here, too, you can help yourself with technology and use labellers or capping machines.
3. Jewellery and accessories made from epoxy resin
Epoxy resin has an extremely wide range of applications. It is often used in the jewellery industry or for making interior decorations. This material offers innumerable possibilities, so it is a great example of a manufacturing business for creative and artistically talented people. All you need to get started is resin and hardener, a variety of pigments and additives, moulds, mixing and measuring accessories and a heat source. You must wear personal protection equipment such as a mask, overalls and gloves when working with epoxy resin. You can make jewellery, vessels, and paintings with this material and even use it in furniture making.
4. Vegan/vegetarian meals
Despite the fact that more and more people are becoming vegetarian or vegan, there is a shortage of good-quality ready meals and desserts without animal products on the market. Tasty, healthy meals with organic ingredients in convenient jars are a great idea for a small business that has a huge chance of success. You can also expand it to include cakes, desserts or sweet snacks that are suitable for vegans, as well as people with intolerances or allergies. You can even make such products in your kitchen; however, you should be aware that you must comply with the relevant sanitary requirements when selling food products.
If you want to make real money from your passion, one good way is through a small business. An idea for a new business relying on small-scale production carries relatively low risk and a whole lot of potential for growth, which is why it is worth putting all your eggs in one basket and starting to create your own products.
But despite the fact that the success of a business depends mainly on the people who start it, it pays to use the aid of state-of-the-art technology to make the production process faster and safer. Trust a proven brand and invest in production machinery from Unilogo. Get in touch with our advisors to find the best solutions for your business.