The Top Home-Based Business Ideas

Which Business Is Best for Me?

If you're thinking about starting your own home-based business, the available options can seem overwhelming. What type of business is the best fit for your background, skills, and interests? If you don't have a lot of initial capital to invest, which ones can be started at a low cost? And, most important, which home business has the best chance of succeeding, especially with the U.S. economy still on the rebound?

Narrow down your search with these 25 home-based business ideas that have growth potential, both now and in the future. Your new life as a small business owner awaits!


1. Personal Trainer

An aging baby boomer population eager to invest in longevity, along with a growing concern over childhood obesity, make it a great time to join this expanding field. As a personal trainer, you can visit clients in their homes and work with fitness centers on a contract basis.

Check out the National Federation of Professional Trainers for information about the certification process, insurance, marketing, and more. To make yourself stand out, think about taking extra courses in specialized fields, such as nutrition or Pilates.

2. Yoga Instructor

It's undeniable -- yoga is a trend with staying power. And it's especially appealing to an aging population, as seniors benefit from low-impact workouts. Yoga is also gaining attention in the medical community; according to a 2008 study by Yoga Journal, nearly 14 million Americans reported that a doctor or therapist had recommended yoga to them. And yoga is attractive to today's price-conscious consumers who don't want to spend a lot of money for exercise equipment.

You don't need a studio to teach yoga; just like a personal trainer, you can visit clients at their homes or offices. The Yoga Alliance website provides information on yoga schools, certification, insurance, and more.

3. Tutoring

This field no longer only caters to struggling children or those with learning disabilities -- ultracompetitive parents are flocking to tutors to help their children get ahead and, ultimately, into the best colleges. The tutoring industry has also seen a boost from the No Child Left Behind Act, which requires government-funded schools that have fallen short of performance goals three years in a row to offer federally financed tutoring.

You can start by tutoring students in their homes, at schools, or at local YMCAs or other child-care organizations. Talk to your local school district officials and school principals to determine their needs. To have a successful tutoring service, you'll need excellent credentials, competitive pricing, relevant experience, and glowing references.




4. Child Care Services

If you enjoy working with children, you can start a home-based daycare center. According to the U.S. Bureau of Labor Statistics, self-employment opportunities in this easy-to-enter industry are among the best in the current economy.

Before making the leap, find out about your state's regulations and insurance requirements. The National Resource Center for Health and Safety in Child Care and Early Education provides helpful information on its website. Aside from insurance, licensing fees, and advertising, you'll need enough startup capital to buy things like play equipment, toys, and educational supplies -- and don't forget to get CPR and first aid certified. If you set up your business as a nonprofit, you'll have better access to grants.
5. Business Coaching

In a tough economy, businesses need all of the help they can get. As a business coach, you can empower individuals -- often business owners and managers -- to improve their work performance through personal change. The most successful business coaches have plenty of experience in the business world, along with specialized expertise (e.g., marketing, finance, or sales). Whatever your niche, you need to have the ability to help your clients set and achieve their goals.

Network with others in the business world, both business coaches and owners, to find out what clients want and how to market to them. The International Coach Federation provides certification and a coach referral service for its members.

6. Consulting

Business consultants analyze businesses, identifying problems and implementing solutions. To be competitive, you'll need to be an expert in a special subject. Think human resources, IT, inventory management -- the possibilities are nearly endless. Many consultants have master degrees, and all have plenty of real-world business experience.

Once you've identified your niche, find out if there's a market for your services and what the competition is like. To set yourself up as the expert in your field, you'll need to make yourself heard in the local community (via speaking engagements, business events, interviews) and online (via your website, blogs, and social media).