Don’t be mistaken: You can build a small business with big goals, even in a small town.

People all over the world are becoming small business owners. If you have the motivation, entrepreneurship is one of the best ways to build new income streams and turn them into full-time opportunities.

Another benefit? Many ideas that work in a small town also have the potential to help the community as a whole. Here are 21 business ideas to get you started.

1. Car wash

Either build a self-service car wash or advertise your mobile car washing and detailing services locally. After a while, most of your clientele will be repeat customers or referrals from word of mouth. 

If you opt for the mobile car wash route, all you need to get started is a hose, some microfiber cloths, soap, wax, and a buffer. 

There are even franchises that will provide you with everything you need for the right price. Try Mr. Clean Car Wash, or Fleet Clean USA.

2. Strength coach or personal trainer

If fitness is your thing, find a few local clients and offer to train them. Sometimes it helps to specialize, but in a small town — where you’re likely to get clients from various backgrounds and fitness levels — it’s best to take anyone you can and create a custom training plan for them.

You’ll end up with more business, and your clients will appreciate the personalized service.

3. E-Commerce store

Pick a niche, maybe something that interests you or a hobby, like gaming, that you want to expand upon. Use free (or nearly free) online resources to set up a Shopify or Etsy store where you can choose from at least 3 business models:

  • Sell your own creations
  • Buy inventory from wholesalers to sell and ship to your customers
  • Dropship directly from wholesalers or from retailers like Amazon — so you only handle sales, not delivery

With a reliable internet connection, you can oversee your supply, marketing, and customer service from anywhere, even in a small town.

4. Tutoring services

Provide tutoring in subjects like math or world languages, or consider test preparation. Use video conferencing tools like Zoom or Skype to connect with students worldwide.

5. Resell used clothing

Source used clothing from thrift stores and yard sales and then sell those pieces online. 

Thrifting locally in small towns makes it easier to find vintage pieces that sell for a premium on places like eBay and Poshmark.

6. Coffee shop and bar

Combine a cozy coffee shop with evening wine and beer service to cater to both daytime and post-work crowds. You can even incorporate breakfast service and cater to the morning commuters heading into the city for work.

7. Pet grooming and boarding

Tap into the $303 billion pet industry by offering grooming and boarding services. Pet hotels are a great source of income for people who love pets. 

For a luxury twist, turn your pet hotel into a boutique and offer 24/7 webcam security, special diets, pet massages, walks, and visits to dog parks.

8. Consulting or freelancing

If you have Wi-fi, you can use your skills to consult for large companies that hire people to work from home. Web design, content creation, marketing, coding, or app development — you can do it all right from the comfort of your home and get paid well to do it.

9. Bakery

Freshly baked goods are always a hit in small communities. And you can expand your market to hotels and resorts in larger communities too. Sweet confections are a favorite, and you can make a niche for yourself by capitalizing on a small-town vibe.

10. Farmers’ market 

Organize a local market for fresh produce and artisanal products. You can source from local farms or use your own green thumb and sell your produce alongside the farmers in your area.

11. Bookstore

Create a cozy space for book lovers to explore — just remember to include plenty of specialty items like games and journals for a uniquely curated collection. 

Once you’ve hit a popular vibe, don’t be afraid to advertise in bigger cities. Avid readers will gladly travel for hard-to-find books, custom collections, and special experiences.

12. Ice cream shop

Ice cream is a great seller, especially in summer. Try to be unique in your branding or your product to make your shop memorable. A lot of shops lean into being Instagrammable, creating their own hashtags and building up their social media accounts.

13. Home improvement services

Offer handyman or renovation services. Ask local contractors if they need someone to clean up after jobs and use leftover materials to create furniture, gifts, or items you can sell online for a profit.

14. Cleaning services and upkeep

Help residents maintain clean homes and offices, be it indoors or out. You can even look into specialization, like helping senior citizens or college students.

15. Microbrewery

Sell your own craft beer and create a local hangout. This could be a great choice iif you’re already interested in beer or brew your own at home. 

Focus your business on good customer service and set yourself apart even further by creating unique flavors with locally sourced ingredients.

16. Hair salon or barbershop

Keep the community looking sharp. You can either open a shop for that boutique hair experience, or go straight to people’s homes and do everything at their location.

17. Bed-and-breakfast

Convert your home into a charming B&B for travelers. Be unique and make yourself memorable by focusing on quality, tasteful decor and paying attention to the little things, such as indulgent bed linens, for those special finishing touches.

18. Auto repair

Every small town needs a great mechanic. Whether you open a shop or work on cars in your customers’ driveways, you’re helping the community save money and extending the lives of their precious cars that much longer.

19. Computer services and consulting

How many high school students and senior citizens do you know who need help with their computers? You can have a thriving business helping people set up their TVs, Wi-Fi, smart devices, and more. Everything runs on some form of technology, and if you have a knack for it, it’ll be easy to make money while helping others.

20. Landscaping and gardening

Not everyone has a green thumb or the time to tend their lawns and gardens — make money by helping people keep their homes looking fresh. How many landscaping businesses were once just a kid with a lawnmower going around the neighborhood and making extra money? The summer job back then can easily become a full-fledged business that beautifies the community.

21. Daycare or babysitting

Are you good with children? The parents of your small town or city need you. There’s always a market for dependable, friendly childcare workers, and you can ease the schedules of busy parents. Just remember to check your local licensing requirements before you get started.

Small town business challenges — and how to overcome them

Still unsure about your small town business? Turn small town challenges into opportunities with these simple tips.

Market size

When you open a business in a small town, the market size can be a challenge. You’ll need to bring in as many people as you can — and keep them coming back. Consider a mash-up of 2 or more ideas from the list above, like a bookstore bakery or a gourmet ice cream coffee shop.

It also helps to make your business social media friendly and build strong relationships through community involvement. 

In fact, one of the great things about operating in a smaller market is word-of-mouth. In some cases, getting the word out about your business may be as easy as talking to your friends and neighbors at the local grocery store.

Not sure where to start? The Chamber of Commerce is usually helpful and welcoming in a small town, so get to know them first. They can connect you with opportunities to sponsor the local high school football team, network through the PTA, and more. 

Traffic

While you do get less foot and car traffic in a small town, the people who pass by are more likely to stop. People who live in smaller towns often love living there, preferring local businesses over driving to more populated areas.

Look for ways to include the community in your sales and special events, and you’ll be more likely to get repeat business from your neighbors. Building a loyal customer base and becoming an integral part of the community can provide a sense of fulfillment that goes beyond financial success.

Plus, the internet has made it a lot easier to connect to customers. Wherever you can, find ways to include a broader audience for your products or services and extend your reach beyond those small town borders.

Employees

Attracting and keeping employees can be challenging in a small town due to slower lifestyles, limited populations, and scaled-down infrastructure. Use your connections here too by participating in high school job fairs—and don’t forget to advertise in the local newspaper.

The good news is that small towns also offer special benefits, such as lower operating costs, reduced competition, and a strong sense of community. 

If you manage your finances carefully, that lower cost of living can make all the difference in your bottom line.