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 Lacking capital will not stop your dream to be a business person. There are number of small business models that can be started with the least investment and where profitability percentage is also more.  You can then expand your business to a large scale. 

Business model is a structure that defines the visibility of the business and also defines the its aspects, who is serving the it, what the business is offering, what are the goals of it, how it is fulfilling the demand of its target customers.  

Small business models are those business structures where the estimated investment generallly do not touch a big limit, which means they can be started with a least affordable range of investment and also, whose demand and profitability ratio is also effective. Here are these 20 small business models with investment cost upto 5 lacs.

1.  Plant Nursery

This plant nursery business can be started with a small investment. It is a facility to grow plants to trier stage of life. Generally does not require big machinery it is one of the profitable business one can start.

2.   Non woven bag

Manufacturing of carry bags made out of non woven fabric can be started with small scale, is one of the lucrative and demanding business.

3.   Bee keeping and processing

Bee farming in wooden bee Hives for honey extraction is one of the profitable and demanding business can be started on small scale with an investment upto 2-3 lacs.

4.   Bakery

Bakery products remains in a ceasless demand. this business can be started on both small and large scale. On small scale investment range lies in a certain limit.

5.   Printing tshirts and mobile cover

One of the most emerging business can be started with a very small scale. With the help of 2-3 basic machines business can be started.

6.   Soya Milk

Soya milk is a beverage rich in protein, vitamins and minerals. The business installation is affordable and one of the lucrative business.

7.   Agarbatti

Manufacturing of commonly used item in worship “agarbatti” can be started with a short investment. Profitability rate of this business is quite good.

8.   Shampoo and handwash

These basic hygiene products used in daily life has a high demand and this manufacturing business can be started on small scale with a affordable range of investment.

9.   Candles

With only required raw material, candles manufacturing business is one of the profitable small business model.

10.               Rooftop Farming

It is the source of commercial farming can be started with the roof space of house.

11.               Tea bags

Tea bags are frequently used to make instant tea is a lucrative business can be started with a low investment.

12.               Disposable plates

These are “use and throw plates” commonly used in functions, parties, restaurants and dhabas. This manufacturing business can be easily start on a small scale.

13.               Disposable cups and glasses

Disposable cups and glasses manufacturing business is one of the profitable business .

14.               Soap

Soaps are basic hyigene product used in every home. this business can be initiated on a small scale with an affordable estimated investment.

15.               Food trucks

These are mobile food vending shops can be comes under lucrative business.

16.               Aluminium foil containers

This businesses can be initiated on a small scale. aluminium foils are most frequently used by food vendors.

17.               Mushroom Farming

Mushroom is the most favourite dish of Indians. Farming of mushrooms can be started with low investment.

18.               Vermicompost from cow dung

Cow dung is a verstile by product used in manufacturing useful field essentials.

19.               Spice, herbs and allied products

Spices are everyday used kitchen commodity. A small scale business with a good profit return.

20.               Puja Kit

Worship materials used in homes can be easily initiated on small scale.  

For starting any small scale business, a project report is required to understand the necessities of the business to make it lucrative and long lasting.

 You can connect with Institute for Industrial Development at http://www.iid.org.in or youtube channel “Entrepreneur India Tv.which provides you with entrepreneur training, certificate, and the right business directions. It is an incubator with the Govt. of India, working towards nurturing the aspiring entrepreneur to become a successful entrepreneur.