In this article, we take a look at the 5 most profitable businesses to start from home. For more such businesses, go to the 10 Most Profitable Businesses to Start from Home.
5. Virtual Event Planning
Average Net Margin: 15%
Virtual events are becoming an increasingly popular business. According to Grand View Research, the market size for global virtual events was valued at $114.12 billion in 2021. Furthermore, this sector is projected to boom at a CAGR of 21.4% from 2022 to 2030. As such, the virtual event planning business can have an average net margin of 15%, with event planners responsible for the content and overall value of the event. Virtual event planning home businesses can provide their clients with uniquely tailored services that big companies can’t.
4. Software as a Service (SaaS)
Average Net Margin: 19.66%
The global market for Software as a Service has been valued at $215.10 billion in 2021, Fortune Business Insights notes. The sector is expected to grow at a CAGR of 12% from 2022 to 2029. SaaS related services have increased post-pandemic and will continue to do so, as industries race to adopt them for improving their businesses.
An extremely profitable business, Software as a Service allows skilled entrepreneurs to develop software, license it and host it on cloud infrastructure over the internet. Developers can achieve average net margins of 19.66% through this business. In exchange for using software applications and its tools on a subscription basis, they receive regular payments over a certain period of time.
3. Social Media & Internet Services
Average Net Margin: 20.68%
CSI Market reports average net margins of 20.68% for the social media and internet services industry, ranking them at number 7 in the Technology Sector. Growing at a CAGR of 19.4%, the global market for social media has grown from $193.52 billion in 2022 to $231.1 billion in 2023, Business Research Company notes.
Content marketing, social media content creation, micro-blogging, influencer marketing, and digital advertising are all lucrative ideas to pursue from home. Growing a following on YouTube, Facebook, and even Instagram can help monetize an audience through sponsored posts, selling products, etc. Social media management also provides a large scope of opportunities depending on your expertise and the needs of your clients.
2. Financial Services
Average Net Margin: 26.32%
Research and Markets reports that the financial services market has reached a market value of $23.3 trillion as of 2021. This sector is expected to grow at a rate of 7.4% to $33.3 trillion by the year 2026. Financial sector offers a broad spectrum of services that can be offered from the comfort of one’s home. The NYU Stern School of Business reports average net margin of financial services at 26.32%.
Accounting and bookkeeping services make for an average profit margin of 16.5%. Meanwhile, finance experts can also leverage their skills to provide financial advice to their clients in areas such as investment management and insurance planning, to name a few.
1. Pet Services
Average Net Margin: 40%
Pet services is one of the most profitable businesses to start from home in 2023. The global market for pet services reached a market value of $24.92 billion in 2022, Grand View Research reports. It is expected to grow at a CAGR of 9.21% from 2023 to 2030, with pet humanization, increasing pet expenditures, and demand for companion animals being key drivers of this area of business.
APPA National Pet Owners Survey reveals that about 66% of U.S households own a pet. These pet owners spend a lot on their pet’s grooming and services such as pet walking or pet-sitting. Therefore, pet services are a rather lucrative venture that can be started with minimal capital investment for a solid source of income. The average net profit margins in this business is 40%.
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