what is the best business to start up with a low capital?

Answer 1

Services, what do you know how to do? What will people pay you to do.
Skills like babysitting, raking leaves, house cleaning can be done with skills almost everyone has.
Skills like auto mechanic, roofer, accountant, tax preparer have skills not everyone has so pay better.
Some services require a little money like a auto mechanic will need tools and a tax preparer would need software so if you are dead broke you will have less options but most service businesses can be started with no employees and only a few dollars to able 10-15K if you need to buy trucks or something.

Answer 2

A business that is in demand like anti aging, wellness and travel. That is where most of money is going other than entertainment. Real Estate is going really bad right now due to the economy. Its not a sellers market right now and it won't be for quite some time. The impending inflation is also drawing people to home businesses, so if you own one that involves recruiting people, you have the advantage.

Baby boomers are responsible for 69% of the spending market. What do they want when a baby boomer is turning 55 every 8 seconds? They want anti aging and since approaching retirement to travel. To put into perspective the boomers spending power, you have to follow their trends in spending and it becomes clear that they are the next Trillion dollar industry. They were responsible for the real estate boom in the 1980's and now its over.

Businesses that fall in your criteria are:
Best business with low capital...

A franchise Gym (some are under 50 thousand)
A network marketing wellness product business, skin care business or travel club business. (Between 300 to 1,000 dollars).

The gym is higher capital but relatively low compared to food service places, which are between a quarter of a million to half a million to get started. The gym has overhead, employee headaches, accounts receivable and payable and it takes a good five years to see a profit after debt. You have to baby sit your business because no one will care about your business as much as you do so finding a manager is difficult unless you partner with someone who will take turns managing. Once a profit, you have the option to sell it for more than what you bought it for, so it becomes your asset, not just a cash cow.

The others (network marketing) are even lower in capital because the corporation takes care of everything else.

You make your money back just for tax reasons alone. There is no overhead, employee heachaches, and these companies handle all of the money and or shipping so you don't have to.

There is no storage of goods and services and its up to you to promote and build your business exactly as you would a traditional business so the rules of promoting are no different.

Another advantage is that you make your money back and gain profit in a relatively short period of time and if you have built it up enough, you can take a break from your business and the money still comes because of the power of leverage.

You can also legally sell your business for much more than what you started out at because it is bringing in a profit of let's say you are making 6 figures annually... You can sell your position for three times what you would make annually and the person purchasing knows this... Because, they can choose to develop your position to double that figure as they are a business entrepreneur as well, so it does become an asset, not just a cash cow.

For those who are confused as to what I'm talking about, I highly recommend this fantastic book called the Cash Flow Quadrant by Robert Kyosaki. Read it if you want to learn how to move from the working mind set to the investor mind set to make money work for you rather than always working for money and then if you lose your job, the money stops coming.

Very important mental note: I've noticed on this answers forum that most of you have never owned a business, and some of you feel compelled to focus on warning people about scams rather than educating on prosperity.

Here's the logic, if you have no success as a business owner or in this arena period, why would you feel compelled to answer.

I have a saying, "Don't go under the bridge and talk to the bum to learn how to be successful."

Its all about the attitude. Because every single one of you people are more powerful than you know. If you don't like where you are at then you have the power to change it.

Answer 3

THE LEAST EXPENSIVE BUSINESS TO SET UP AND BE PART OF A MAJOR FRANCHISE IS TO BECOME A REALTOR/BROKER. YOU ESSENTIALLY HAVE YOUR OWN BUSINESS AS AN INDEPENDANT CONTRACTOR AND THE SUPPORT OF A MENTOR (BROKER-IN-CHARGE AND OFFICE MANAGER). THE NATIONAL ORGANIZATION SUPPORTS A CODE OF ETHICS AND STATE/LOCAL GROUPS PROVIDE ADDITIONAL SUPPORT. EACH MAJOR FRANCHISE (RE/MAX, CENTURY 21, PRUDENTIAL, KELLER/WILLIAMS PROVIDES EXCELLANT TRAINING TO GIVE YOU a good start and confidence. It does take some time for that first check to come in and there will be dues, marketing and office expenses in the meanwhile but not anything near what other franchises charge up front.

Answer 4

How about having your own travel website. There are great financial benefits to having a travel website and everyone loves to travel. Why should you let your hard earned money make some airline, travel website or local travel agency rich.

I prefer not to post a link here, however, I am certain that you know where it is located.

Answer 5

Check out Entrepreneur Magazine's list of low-cost franchises at:

http://www.entrepreneur.com/franchises/rankings/lowcost-115390/2007,.html