Making money online has never been easier. Whole ecosystems are designed to boost your chances of successfully starting your own business or side hustle. If you have the entrepreneurial itch, there are countless business ideas and ways to earn money online.
Many business owners start their business as a side hustle that morphs into a full-time opportunity. If you don’t know where to begin but want to get started, here are some business ideas to consider.
5 Great Business Ideas
With thousands of options, sometimes, the paradox of choice overwhelms entrepreneurs. Here, we highlight five easy-to-start and profitable businesses that anyone can try. Let’s explore each one:
1. Consulting
A consulting services business is one of the least capital-intensive business models. You might not immediately see yourself as a consultant, but chances are you have a unique skill set that businesses and organizations need.
For particular skill sets like graphic design, financial modeling, accounting services, or legal services, you can start your services for a former client or within your town, city, and state. You can titrate your hourly rate by branching out and securing more contracts.
Some consultants can stabilize their earnings by requiring retainers, where clients pay you a set monthly fee for your services. This helps with income predictability and contract security.
Learn More: When to Open a Business Bank Account
Take the Next Step:
Quicken’s Website
Axos Bank® Rewards Checking
Smart Money Rating: 5/5
APY: 3.30% with No Minimum Balance
Bonus Offer: Up to $500 Bonus (Terms Apply)
2. Online Blog
Internet-based businesses have exploded over the past several decades. One space that has taken off is content and blog creation. You might have a passion hobby that you can turn into a full-time online blog.
Starting an online blog can generate business income, whether you sell refurbished bikes, vintage clothing, or collectibles. You can create a following and drive traffic to your website with the correct branding, marketing, and outreach.
In addition to selling products on your website, you can market yourself as an expert by writing on industry news and trends. This can kickstart the flywheel effects and convert your readers into subscribers and, eventually, purchasers.
Take the Next Step:
On BlueHost’s Website
BlueHost
Smart Money Rating: 5/5
Best For: Website Hosting and Domains
Promotions: Free Domain for First Year (Terms Apply)
3. Freelancing
Working in the corporate world is not for everyone. Freelancing can be a very lucrative way to earn income, control your schedule, and manage your book of business. Freelancers can also morph into larger shops, hire more employees, and turn into growing small businesses.
Ready to start freelancing? Here are 10 Popular Freelance Jobs
Freelancing offers entrepreneurs a blend of learning how to grow a business, manage flexible work arrangements, and grow a client base. If you have a skill set you can leverage - like graphic artists, computer programming, social media management, or project management – you could create the ideal work-life balance as a freelancer.
4. Tutoring
Starting a tutoring company can be an incredibly effective way to launch a small business. Regardless of your education, or career experience, you have a talent set you can leverage to teach others.
Tutors can help prospective students get into their first pick for college, prepare them for standardized testing, or set them on the right career trajectory. They can also help in a variety of other fields.
Here are common tutoring areas:
- College Application Consulting
- SAT/ACT Prep
- College Courses
- Job Applications
- Career Management
5. Professional Writing
Online journals, newsletters, and other content outlets need professional writers to keep their websites going. Whether you like writing copy to brand a website, industry-specific blog articles, or news pieces, there are plenty of online writing opportunities.
Websites like Upwork have made it incredibly easy for writers to create full-time careers out of establishing themselves as beat or industry experts. Even with the boom of artificial intelligence, readers still crave content written by and for humans. The investment to start your writing service is very low, and you can begin your career as a professional writer with just a laptop.
Take the Next Step:
on Upwork’s Website
Upwork
Smart Money Rating: 5/5
Best For: Finding Remote and Freelance Work
Success: Freelancers earned $2.3B on Upwork in 2020
Choose Your Business Structure
Once you have selected the type of business you want to start, the next step is to choose the legal entity you wish to establish. A good rule of thumb is to keep your personal finances separate from your business finances.
Here are several commonly used legal structures to choose from, each with its pros and cons:
Sole Proprietorship
A sole proprietorship is one of the most common and fastest business structures to establish.[1] A sole proprietor runs and owns an unincorporated business, ranging from a single-chair hair salon to a high-finance consulting boutique.
Sole proprietorships are unique in that they are only run by one person. If you want to run a business with partners or outside investors, other legal structures will better suit your purposes. Those who want to get up and running can always convert their sole proprietorship to another business structure later.
- Pros: Easy to get started, low start-up costs
- Cons: Lack of partners, lack of liability protection, hard to secure outside investment capital
Get More: What Is a Sole Proprietorship?
Limited Liability Company (LLC)
A limited liability company (LLC) is a step up in sophistication from a sole proprietorship. An LLC offers a high degree of flexibility because it can be member-managed by one person or multiple owners.
LLCs offer business owners liability protection, which means that if something bad happens with the business and the business is sued, they cannot go after your personal assets. This structure fortifies owners from personal liability.
Many consulting, freelance, legal, dental, and law offices are created and maintained as LLCs. LLCs also offer pass-through taxation, which can be tremendously advantageous when filing your taxes.
- Pros: Liability protection, relatively easy to start, flexible management
- Cons: Compliance costs, hard-to-secure venture capital
Read Also: What Is a Limited Liability Company?
Take the Next Step:
On Rocketlawyer’s Website
Rocket Lawyer
Smart Money Rating: 4/5
Offerings: Business Formation Documents
Best For: Registering LLC, Corporation, or Nonprofit for free (terms apply)
C Corporation
C corporations have one of the most sophisticated legal entity structures. It is usually started when you want to eventually raise institutional capital to fund your business. The downside to C corporations is that they require a degree of operational know-how.
Founders must deal with higher regulatory hurdles, maintain compliance and parameters, hold board of director meetings, and are usually held to high account by investors and shareholders. C corporations offer owners liability protection as well. Executives and officers run the business's day-to-day operations, while the board of directors helps oversee strategy and company direction.
- Pros: Perpetual life beyond founder, ability to attract venture and institutional investment
- Cons: High regulatory, compliance, and governance costs; board of director management
Read More: How to Start a C Corporation
Nonprofit Organization
Not all business structures are set up to maximize profit for owner or shareholder value. A nonprofit can be established to generate earned income that is then reinvested back into the nonprofit’s mission.
Depending on your company’s ideas and mission, choosing a tax-exempt entity like a nonprofit might be better than a traditional C Corp, LLC, or sole proprietorship. For example, it could be the right approach if you want to start a mission-driven organization that makes money and raises money through donations, sponsorships, and other efforts.
- Pros: Tax-exempt from federal income tax, can receive grants and donations, mission-driven organizations, focused on the public good
- Cons: Variability in fundraising support, regulatory and compliance hurdles, doesn’t maximize shareholder value
Get More: What Is a Nonprofit Organization?
Smart Summary
Starting your own business can be both financially and personally rewarding. The gig and sharing economy combined with the work from home and hybrid work has made it easier to start a business. You can reduce the risk of starting a business by working on a business model that doesn’t require tremendous investment capital or ramping up a side hustle to make more money quickly. No matter your preference, there are many fantastic business ideas you can start today.
(1) Internal Revenue Service. Business Structures. Last Accessed January 13, 2025.
