Most profitable businesses: In today’s economy, starting your own business might not be the easiest of tasks.
Apart from determination, willpower, and a sound business plan, a successful venture also depends on the particular industry or sector in which it operates. We would like to present you with a list of the 7 most profitable businesses you could start, based on the net profit margin of their respective industries. More simply put, the net profit margin is the most reliable indicator you could use in trying to determine whether you will actually make money from your venture or not.
The figures used in the making of this countdown were taken from the statistics released by Sageworks, a financial information corporation. Looking to set up your own business, but don’t know where to start?
This is the countdown for you, and it’s similar to our recap of the best business schools money can buy.
Let’s take a look at the most profitable businesses you could start:
No. 7: Offices of dentists
Net profit margin: 16.5%
Dental offices have the advantage of being a business that is always profitable, regardless of the economic status of the country. If you haven’t graduated from Dental school, you can still make a profit in this industry by opening a dental office and renting the space to practitioners.
No. 6: Lessors of real estate
Net profit margin: 16.5%
Following the financial crisis of the previous decade, the real estate has made a steady and strong comeback. As rental rates continue to increase, this industry is going to become more and more profitable.
No. 5: Outpatient care centers
Net profit margin: 17.8%
The outpatient care sector has significantly grown over the past years to the point that it is nowadays one of the most profitable industries in the country. The main reason for this substantial growth is the fact that medical procedures are a lot cheaper to perform in an outpatient type environment rather than in a hospital.
No. 4: Commercial & industrial machinery & equipment rental and leasing
Net profit margin: 18.5%
Thanks to technical advances, most operations nowadays are based on industrial machinery and equipment. Given this situation, anyone looking to start a rental or leasing business in this sector would make a substantial and decent profit. Nonetheless, for starting entrepreneurs lacking adequate capital and resources, it might not be the best option.
No. 3: Legal services
Net profit margin: 19.6%
The legal services sector has always been profitable, even in times of financial crisis. With a net profit margin of almost 20%, it is one of the best types of businesses you could start.
No. 2: Accounting, bookkeeping, tax preparation, and payroll services
Public Domain Image: Public Domain
Net profit margin: 21.2%
Once again, accounting is a sector that has been on the most profitable list for years on end. Bookkeeping and accounting represent sectors of the economy which manage to thrive even in times of downturn or recession, making it one of the best industries in which you could start your own business.
No. 1: Oil and gas extraction
Net profit margin: 24.1%
Currently, the oil and gas extraction industry is the most profitable sector in which you can start a business. Unfortunately, it might not exactly be a feasible option for independent entrepreneurs without hefty financial resources that could help them get started.
