Entrepreneurs looking to start a business in the manufacturing industry, can benefit from a growing consumer demand for more niche products. The opportunities in this area are vast. Best to start with a product or idea you’re passionate about and then do the research and discover exactly what the demand is for your product or service.
If you are committed to starting a manufacturing company but undecided in which direction to take, here are four markets that are on an upward trend you may want to consider:
1. Soap and Detergent Manufacturing
Soap and detergent manufacturing are one of the easiest businesses you can start. Making soap for a living requires low investments and higher profits. Plus, you can do it from your home which saves manufacturing costs when you’re just starting out.
You should be prepared to invest in packaging as this will be key in resonating with your customers and separating yourself from your competition. The ingredients you use are also very important. People tend to prefer all natural, organic, cruelty-free soaps and detergents to artificial ones. Make sure to thoroughly research the specific demands of your target customers.
2. All-Natural Cosmetic Creams
Organic, all-natural skin care and makeup products are slowly taking over the market. There are plenty of places where small-scale entrepreneurs can sell these types of products such as online, at farmer’s markets, craft fairs, and specialty stores. Like soaps and detergents, you can start this type of business at home. You can also stand out over that of bigger name brands by avoiding chemicals and other synthetic ingredients in your products. Keep in mind, if you want to claim medical benefits for your products, they must be produced in an FDA-approved lab.
3. Recipe-and-Ingredient Kit Manufacturing
Have you ever heard of Blue Apron, Plated, or Sun Basket? These meal kit companies curate easy-to-make recipes and provide customers with weekly boxes containing all the portioned out, ready-to-cook ingredients needed to prepare them at home. It’s a service that takes all the hard work and time out of meal preparation, and the demand is exploding. If you have a culinary background or passion for food, it may be a great option for you to explore and move forward on.
Compile some recipes, package them and display them at your local farmer’s market in order to gauge customer response. If the demand is there, invest in professional packaging and move to selling online.
4. Bio-plastic Packaging
Eco-friendly packaging is a trend that’s here to stay. A business like this can target other businesses and retailers as more and more companies are looking to invest in low-waste packaging that replaces non-biodegradable plastic options. Every day products like coffee cups, sandwich containers, potato chip bags, and/or takeaway food containers are sold to retail stores and restaurants, coffee shops, groceries, and food stores.
Manufacturing Financing: Business Loans for Your Business
Starting a manufacturing business – no matter how small – requires working capital to purchase equipment, hire employees, make payroll and secure licenses. Manufacture financing can help take your business to the next level. SMB Compass can provide you with the funding you need to start and keep your business on track.