When the economy decides to move toward inflation and recession, it makes sense to reinforce your income with a side hustle. The last significant economic hurdles happened from 2007-2010, and many new companies came from a mixture of necessity and innovation.
Although it can be expensive to start a business, it doesn’t need to be that way. When you form a partnership or a sole proprietorship, it doesn’t cost anything to begin serving customers in most industries.
Even when costs are required, the investment can be as little as $20.
Becoming an entrepreneur is exciting, but it also requires time and effort. If you’re willing to put in the sweat equity, here are some business ideas you can begin today.
What Business Can I Start Immediately with Nothing?
Most freelance business opportunities allow individuals to form income-earning opportunities without any capital. These entrepreneurial jobs provide direct services to clients in the role of an independent contractor, earning income much like an employee would while managing personal tax responsibilities.
When you form a new business, several options are available for its structure. LLCs and Corporations make it easier to separate personal assets from company responsibilities, but all 50 states have incorporation filing costs to pay.
If you decide to work as an independent contractor, you’ll get paid like an employee. The primary difference is that payment is based on submitting work, and you’re responsible for paying taxes each quarter, if not sooner.
You can also form two business models without cost in most areas: sole proprietorships and partnerships.
As a sole proprietor, your personal and business income are mixed. That makes it easy when filing taxes because everything is together, but it also creates problems if you’re found liable for an error and must pay a judgment. Your house, car, and other assets are vulnerable when litigation occurs.
Partnerships follow the same structure. The only difference is that you’re working with another person and likely using a business name to serve customers.
Since you must pay to file a business name in each state, the only true no-cost method of starting a business is to be a sole proprietor working on your name. Anything else typically encounters a filing fee.
Best Business Ideas That Cost Nothing to Start
Although you can become a sole proprietor or start a partnership without a business formation cost in most areas, there could be some expenses to manage. You might need a license or permit to operate, be authorized to collect sales tax, and purchase certain forms of insurance.
Each situation and state are different, so you’ll want to review local laws carefully to ensure you’re proceeding correctly.
Once you know you’re clear to form a business, these ideas can help you start making money right away.
1. Sitting Businesses
People need help watching their pets, kids, and homes. You can turn that into a viable business as a sole proprietor or an independent contractor without putting any money down to get started.
- Pet sitting involves walking dogs, running animal daycares, or working with an intermediary to find clients that need specific services.
- Babysitting involves direct childcare for a specific time. You could cover when people go to work, when couples have dates, or after school requirements.
- House sitting lets you live in another person’s home to care for their plants, pets, and properties while away.
It helps to protect yourself from potential financial harm, especially when you’re working with kids or managing expensive properties. Consider having a stock hold-harmless waiver that your clients will sign to limit potential losses.
Once you get enough money saved, it’ll help to have a low-cost general liability policy for this business. You might be required to have one before you’re allowed to work in some communities.
A $1 million policy is typically enough, but you can give yourself more protection with a $3 million cap. Costs are variable, but this insurance is usually about $50 to $75 per month.
2. Direct Sales
When people start a contracting business, one option that most consider involves multi-level marketing opportunities, or MLM. Instead of buying products to resell (which entails a capital investment for inventory), consider becoming a direct sales representative.
Selling items directly to consumers is a position that usually receives commission-based pay. That means you earn a direct percentage of the orders you submit.
The benefit of a direct sales business is that it can go with you if your household moves often. Military spouses often represent more than one brand for this reason. If you carefully invest in samples, training, and tools, you can have a viable money-making opportunity while starting with nothing.
3. Cleaning Services
Most people have cleaning products in their homes already. You can take those items, turn them into a business, and start making some money.
You’ll need to look at several factors when setting your rates.
- What clients do you hope to serve?
- How poor is the interior condition of the commercial building or residence?
- What upgrades will you offer?
The most common billing method for this job is to charge an hourly rate. Some providers use a flat-rate model by estimating the time they expect to finish a job.
You’d want to bill by the square foot if you provide commercial cleaning services.
Some states require a specific form of insurance called a surety bond to operate this kind of business. You are not issued a license until you can prove that you have one. It’s a credit-based product, billed annually or through monthly premiums, that covers the cost of making a consumer whole if you’ve made a mistake.
The average cost for a janitorial surety bond is about $50 per month.
4. Writing Services
If you already have a computer or tablet with a keyboard, you can provide writing services to clients worldwide today. Numerous content creation opportunities are available, ranging from blogging to creating wedding vows.
Most writers start and fail because they try to be everything to everyone. Think about your talents and skills, then focus on what you do best.
I have a friend who is a talented writer, but he found that it was more lucrative to work as a general contractor. After working for a decade on foreclosures and renovation projects, he turned to writing again so that he could stay home with his kids.
He started writing content for construction websites. My friend found that very few writers understood the industry and could communicate benefits to potential customers. After creating a few successful sites, he developed a low-cost business to continue serving similar companies.
The secret to success for a writing business is to write with authenticity. Don’t try to be something you’re not. It might be tempting to take a high-paying job, but it won’t seem worthwhile when you’re managing a dozen revisions.
If you don’t have any clients, you can write for yourself. Domain names are low-cost, and you could sell advertising space to begin making some money.
5. Driving Services
If you have a qualifying vehicle, you can become a rideshare driver for companies like Uber and Lyft. Some areas treat workers as employees because of how responsibilities are handed out, which means you can turn a personal asset into a money-making machine.
For those without a qualifying vehicle, food delivery services, personal shopping, and other transportation-related tasks are some opportunities to pursue.
The goal should be to charge enough to cover fuel and operating expenses for your vehicle with your daily duties. Wear and tear cannot be ignored, or you could lose money instead of making some.
It’s free to sign up for many driving opportunities. Some providers offer rental solutions if your vehicle doesn’t meet the current required standards, and you’d pay for that monthly expense from your earnings.
6. Consulting Work
Do you have a lot of knowledge to share with others? If so, I’ve found a lot of success is available in the consulting arena.
Some of the top areas where people need expertise include healthcare, beauty services and supplies, website design, SEO, and handmade goods.
The issue with consulting work is that it takes time to establish your expertise. Unless people know your name and what you do, you’re constantly forced to prove your worth.
It might be necessary to obtain industry-related licenses to show that you’ve got the knowledge needed to deliver results. Local and online connections are helpful, especially when working to establish a network.
I know many consultants branch out into tutoring as a way to meet their financial needs. You can spin this low-cost business venture into mentoring, life coaching, and similar supports.
7. Dropshipping
When you become a dropshipper, you’re essentially selling items for someone else. You can begin a business in this area in a few different ways.
- You can sell products that you’ve made to others by having third-party fulfillers handle the logistics of each transaction.
- Your business could handle the shipping and communication end of each sale.
- You could rent storage space on your property to hold inventory waiting to be sold.
This business idea is great for those who want to earn a little money while conserving time and resources. You don’t pay for products upfront, sell directly without holding inventory, and make a piece of the transaction.
If you become serious enough with this venture, it can become a sustainable, long-term source of income to enjoy.
The three most common ways to begin this business are finding a supplier through a database, working with an integrated back end, or contracting through print-on-demand services. You’re responsible for building a brand and website, then choosing what you want to sell.
8. Handyman Services
If you’re good with your hands and have some tools at home, you can provide essential handyman services to your community.
Some projects might require licensing and insurance, while others may not need anything. You’ll need to check the local rules or consult with an experienced attorney to discover what is possible with this opportunity.
Alaska, Washington, and a few other states have specific guidelines for handyman service providers to follow.
Plenty of odd jobs can be found in each neighborhood. Do you know someone who needs their lawn mowed? Are the gutters pulling away because they’re not getting cleaned?
From replacing light bulbs to building a patio, this opportunity could be lucrative if you have the skills to back it up.
9. Offer Beauty Services
Beauty consulting was one of the biggest new business opportunities during the events in 2020 and 2021. Many companies are still active today, branching out to physical locations as their clients grow.
Several product ideas are in high demand, especially as people prioritize self-care while returning to the office.
- Handmade soaps, lotions, and sanitizers are seen as a better alternative than mass-produced items found on store shelves.
- At-home beauty products, such as face masks or spa products, allow people to create spaces for relaxation and decompression.
- Technology additions, ranging from smart mirrors to massage guns, are great opportunities for inventors or innovative marketers to create and promote.
You can create beauty supplies at home, ship them to clients around the world, and have a local storefront to manage with this opportunity as it grows.
If you don’t have much time or money to invest, try creating how-to videos to share online to help others enjoy the benefits of prioritizing personal health and wellness.
10. Become a Tester
Most apps fail before they ever reach the marketplace. This problem happens for several reasons, ranging from a lack of marketing to creation costs.
Before an app gets released for public use, it goes through a beta testing period. Companies contract with users to experiment with the product, look for bugs, and provide feedback about how it could be better.
If you love working with smartphones or tablets, this opportunity can help you stay busy while having a no-cost business working to earn some cash.
App testers often qualify for their work through surveys and questionnaires. A company wants you to be in their targeted demographic before seeing what you think about their work. Be careful of companies that offer to connect you with these opportunities because they might have minimum payout thresholds and other hoops to jump through before you can get paid.
11. Sell Your Photography
Stock photography sites provide multiple platforms where you can start selling your images. You don’t need to be a professional photographer with a DSLR to earn some extra cash this way.
Take your smartphone out, snap a few pics, and upload them to an account on your preferred site. People pay a licensing fee to use those photographs for their purposes.
You can also turn photographs into prints and posters. Growing opportunities exist in the NFT universe, or you can sell this business as a service for weddings, parties, and other special events.
Advertisers and marketers need photographs for their campaigns – there’s another opportunity for your no-cost business to make some cash.
If you have a passion for taking pictures, your hobby could eventually become a full-time job. Get started with the equipment you have, then upgrade as your finances allow.
Is It Time to Start a New Business?
The best businesses are often started in times of adversity. When people can pursue ideas they love, it is much easier to stay invested in the process. Anyone with enough money to manage their current bills is in a place to start this adventure, even if there are no extra funds available to fund initial growth.
My first business idea came during a long road trip with my family. I don’t remember how old I was, but I was young enough to be frustrated by how much time I was forced to be in the back seat.
The sun was shining right into my eyes. There was nothing I could do to block it.
I asked my father, who was driving, if you could lower the sun visor. He did, but it didn’t help. My mother dropped the one on her side, but the sunshine was coming through the gap between the visors, right in the middle behind the rearview mirror.
“I wish someone would make a third visor that could go around the mirror,” I remember muttering.
The SunStop Sun Visor is the solution I wanted as a kid. I never developed it, but that idea could have been mine.
In high school, I used to talk about how great it would be if life came with a remote control. Years later, Adam Sandler starred in the movie Click with that exact concept.
My point is simple. If you don’t follow an idea right now, someone else is probably having the same inspiration and pursuing that business opportunity. You don’t need a lot of cash to start providing services or offering creative solutions.
These business ideas can help to get you started. The rest is up to you!
