17 Small Business Ideas for Small Towns, Villages & Rural Areas

Living in a small town, village or rural area may sound tough at times, but when it comes to starting a small business, a small town or a village can have an abundance of options just as a big city has.

Where there is a problem, there is a business opportunity; so if your village or town has so many problems, don’t just run away from them, they are business opportunities for you.

Depending on the local setup, the opportunities may vary and you may have a unique solution for them, however, there are some proven small business ideas for small towns and villages that can work great if done rightly. Here goes the list:

small business ideas for small towns and villages

1- Mobile Phones/Gadgets Repair:

Most of the population in small towns and villages tend not to buy new device or gadget until the time they have a working device in their hand. Even if there is some problem with the device they tend to first try for the repair option instead of buying a new handset. The popularity of mobile phones driven by huge demand can turn a mobile phone repair business into a lucrative one.

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2- Private Tutoring:

Students from small towns and rural areas have to travel a long distance in case if they need help on a subject. Finding one good option locally will not just save their time, but money also. On the other hand, one has a lot of time in his or her student life and it can easily be channelized to earn money through offering tuition to junior grade students. If you have a decent amount of knowledge on various subjects and want to earn money, then start providing tuitions to your juniors, especially in groups.

3- Guest House/Bread & Breakfast:

Living in a small town or a village can be highly rewarding especially when it’s a hill station or there are other places of tourist interest nearby. Hotels in and around your area may not exist or should be costly, so set up the house to make it as a business machine.

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4- Tailoring/Stitching/Alteration:

Even though there are several categories of tailors in which you can get into, ladies tailors are most popular in almost every small town and big city. This field doesn’t require a huge investment and if you have interest and expertise in this area then this is a good business.

5- Catering Business:

Catering is required in each and every function irrespective of the fact that it is business, religious or personal gathering. Weddings, religious and cultural events happen in almost all small towns, villages and rural areas, and wherever these events will take place, there will be demand for catering services.

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6- Hair Salon:

You need to have a sense of styling and experience in the field of hair cutting to make a great salon business. Though you can set up a hair salon to target any audience, gents’ salons work more effectively in small towns than ladies hair salons. You may also partner up with an existing makeup artist business or a beauty parlor.

Related Reading: Hair & Beauty Salon Business Plan

7- Budget Clothing Shop:

Clothing is an important item that is required by any human being. Most of the people opt for budget clothing and the demand of such readymade garments is quite high in small towns as well, thereby making it a profitable business. Try opening a small scale clothing store that provides quality yet affordable items and witnesses your business touching new heights.

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8- Pick & Drop Service:

If you have a drivers’ license and own a car/van, you can turn your vehicle into a running business. People from small towns frequently need to travel to the main city; public transport doesn’t work door to door and can also be time-consuming. Offering a budget/luxury service to such people can work great. To make more money, you can set shifts, i.e. early morning, late morning, afternoon and evening.

9- Grocery Shop:

Every small town needs a grocery shop, even if there is one already available, giving them a competition is not a bad idea. However, opening a grocery shop does require a capital investment to take the start, rest you can take on credit from the retailers.

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10- Frozen Foods Shop:

Frozen foods such as fish, chickens, turkeys etc. all are generally consumed worldwide, however, people in small towns may not be able to travel long to the main city to buy fresh. Starting a frozen foods shop can be highly profitable in small towns. It’s also not capital intensive and is very easy and simple to manage.

11- Bakery:

Everyone wants to eat a fresh bun, cakes, and bread, no matter they live in a big city or a small town. Opening a small scale bakery in a small town can be a lucrative business if you know the skill!

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Related Reading: How to Start a Home Based Bakery Business

12- Cold/Hot Corner:

It can either be an ice cream shop or a cold drinks corner or both, especially in hot countries. It can also do well in countries with moderate or cold countries if you replace the cold items with hot, i.e. soups, coffee, snacks etc. according to the weather. You may start something similar to food cart business serving drinks in busy locations.

13- Home Based Vegetable Garden:

Living in a small town or a village can be a blessing when you breathe that fresh air, however, you can make your land useful even if you own a small piece of it. Produce fresh vegetable and sell them to make fresh money.

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14- Poultry Business

People living in small towns will certainly buy poultry locally; no one wants to travel so many miles to bring eggs or chicken. This business requires some investment on your part, however you may start small. The demand is quite high especially if you are able to get connected to various restaurants and food joints in your area.

15- Local Dairy Business:

Living in a small town and owning a few cows is not just exciting and beneficial for your own wellbeing, but you can turn it into a proper business as well.

dairy small business for small towns

16- Niche Blogging:

All you need to do is to write about your expertise and publish it online and people will follow your blog and money will pour in. Yes, you need a good internet connection and a computer, but that’s not a big deal.

online business ideas for small towns

17- Download Center:

It’s probably the easiest to setup in a small town, however, the government regulations may vary country to country. The Internet on mobile cannot allow so many movies, music, and other stuff to be downloaded, while buying a high-speed internet may not be a suitable option for residents of small towns. Bridging this gap for them can bring you a great business!

Living in a small town or village proudly, breathing fresh air, witnessing the natural beauty and running your own business; that’s an ideal lifestyle, so go and have it!