Great Types of Businesses You Can Start in California

Many entrepreneurs state that the California business environment resembles its climate. In a word, it’s as warm as the Cali weather.

This is a state where big companies, small businesses, and startups tend to succeed and thrive. According to the official statistics, there are thousands of businesses in the state of California that offer services and products to the general public every day.

So, why wouldn’t you test your luck and entrepreneurial skills in this beautiful state? Surely, there is a good number of customers that would love to see what you have to offer.

If this sounds interesting, make your life easier and take a look at some types of businesses that have a better chance of success in this state. This can be a good starting point that will make you think in the right direction.

Great Types of Businesses You Can Start in California

Test out the eCommerce waters

Ecommerce is the act of buying and selling products or services online. The transfer of money and data is necessary to execute a transaction of this kind.
Having an online eCommerce store means that you get to set up a business easily and quickly (while also saving money) compared to setting up a brick-and-mortar store.

In California, there are about 5,000 businesses of this kind with 55,000 workers. Revenue is very good and it has been rising since 2012. And in 2012, the total industry revenue stood at $52.66 billion.

It’s no secret that the mushrooming tech industry of Silicon Valley has helped the eCommerce expansion thanks to emerging platforms, apps, and software. So, give this business type some consideration. The chances are that you’ll be successful if you manage to supply the consumers with the right products.

Sell gas

Did you know that automobile culture is deeply woven into the state of California? This should also tell you that gas stations are high up there on the list of best business models.

California has about 8,000 gas stations and this industry employs 55,000 people. The best part, however, is that revenue for the gas station industry is rising.
But keep in mind that gasoline is commoditized. This means that prices are mostly uniform and, as an individual gas station, you could face a lot of competition. However, that’s only true if you select an area where there are a lot of gas stations.

Even if the profit margins are likely low, you can still hit big. However, this type of business brings various risks with it. For example, criminals often target gas stations and that is something you should be aware of.

So, it would be wise to negotiate good California business insurance because the risks are very real and could lead to potential losses down the road. This type of insurance will protect you from a variety of threats.

Car repair shop

Obviously, California has a lot of cars running on the road. This means that having a gas station is not the only lucrative business endeavor you could choose.
Having a car repair shop might be a great idea too. Of course, this is a good business option for an individual who is technically inclined and knows a lot about cars or has the budgetary abilities to hire professionals.

When starting a car repair shop, keep in mind that you can choose to repair a particular brand of car you are familiar with. On the other hand, you can choose to sell car parts from different vehicle producers and still make good money out of it.

Beauty salon

California has a strong culture of stylists, barbers, and manicurists. So, what do you think about opening a beauty salon?

This kind of business falls into the personal care services industry and you could specialize in hair grooming, barbershops, esthetician services, nail salons, or even massage parlors.

California has almost 13,000 businesses in this industry and it’s the second-biggest industry on the top 10 list. It’s clear that California residents like to stay fresh and well-groomed.

However, keep in mind that this industry is highly regulated by the state, so remember to do your homework in order to stay compliant. This is especially true if you plan on opening a tattoo parlor or a beauty clinic (offering plastic surgeon services).

Final words

Remember, California is a very fertile land for starting a company. However, once you decide on your business type, you need an idea with a decent potential for growth and success.

Raise enough funds, come up with a business plan, and walk the walk. Good luck!

The Founder's Guide Team - Asian Associates with dynamic elements out to make a change.Thank you for visiting our site! If you do have any questions or inquiry, feel free to contact us through our links and please don't forget to follow our social media accounts. It would be our pleasure to help you in any way we can. Always Remember: "Proceed to Succeed". Hoping to hear from you soon!