Looking for a profitable business idea in Kerala that can be started with low investment? If yes, You are at the right place. Here we have listed, all time Best Business Ideas in Kerala which can 100% help you to make profit

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Kerala God's own country is one of the highly advanced societies with the highest literacy rate, highest life expectancy, highest sex ratio and lowest population growth. Kerala is the southern state of India located on the west coast of India, and the coast is known as the Malabar coast.

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Due to the scenic beauty and loads of activity available, Kerala is popularly known as God’s own country. Based on the natural beauty and ecological diversity it has a lot to offer to its tourists and travellers.

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Kerala has the 9th largest economy among all the States of India. In 2019-20, Kerala contributed around 63% by its tertiary sector, 28% by its secondary sector and around 8% by its primary sector.

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Kerala has an advantage of the digital reach and has a wide online presence that makes it set up a profitable business in the state.

The following table represents the economy of Kerala:

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Here is the list of business ideas in Kerala:

Small Business Ideas In Kerala

Some tips Business Ideas In Kerala

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1. Tea Bag Making

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Tea, the hot beverage, is a regular entertainer, a source of living, an excuse for discussion, and a part of gossip culture and a household tradition in India. It is one of the best profitable businesses in Kerala. You can decide the types of teas you want to produce and sell.

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Kerala is one of the major tea producing states in India. It accounts for 5.4% of the total domestic production of India so, you can consider the tea bag-making business. You can keep your profit margin according to your distributor and your market value.

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According to the latest data revealed by the tea board, India has consumed 89% of its total tea production which makes it one of the best small business ideas in Kerala.

How to start a tea bag making business in Kerala:

• Create a proper business plan

• Find your target customers

• Conduct market research

• Plan your budget

• Obtain a trading license

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2. Tour Guide

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Kerala is one of the wondrous states and accommodates so many physical features ranging from seas to mountains. It has wildlife sanctuaries, bird sanctuaries, lakes, hill stations as well as rich cultural festivals.

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According to Statista, In the year 2020 around 5 million domestic tourists visited Kerala and the number of foreign tourists visiting was around 340 thousand.

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The constant increase in the number of tourists will help you to become a successful Tour Guide.

How to register as a tour guide:

• Visit the Kerala Ministry of Tourism Office.

• Click here to visit the tourism office

• Obtain the application form from the respective officer

• Complete the necessary information and make sure to keep all the documents in hand that are listed under ‘Required Documents’.

• Attach the documents with the completed application form

• Check the application form and submit it to the respective officer

• Now, the application will be checked by the respective officers of the department

• A merit list of the candidates will be generated based on marks obtained

• Applicants will the call letter for counselling and document verification

• The guide training course will be provided to the admitted candidates through respected trainee

• After completion of the training program, all candidates will be evaluated based on written tests and viva voce.

• Applicants who will pass the written test would be issued course completion certification and tour guidance license

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3. Sell Banana Based Chips And Halwa

Banana based chips and halwa are among the favourite foods of people living in Kerala. It has now even become a gourmet choice abroad. The recipe of the products is almost known to everyone in Kerala but you have to become a master and sprinkle the magic of your hands to establish a successful business.

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This can be considered one of the best small business ideas in Kerala that have always remained and will continue to remain in demand. Based on your convenience, you can sell it through online or offline stores.

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4. Open A Mini Supermarket

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With the constant growth of the population in Kerala, the purchasing power and income of the customers are increasing too. Opening up a supermarket can be one of the best small business ideas in Goa to make good use of the current market situation.

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Location is the major factor in opening up a supermarket. You can start a mini supermarket with little investment and expand with the growth in demand. The success of your supermarket will be directly proportional to the quality and services provided to the customers. According to a survey, 62% of Indians said during the pandemic, they have increased spending on groceries across other areas.

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How to start a mini supermarket:

• Curate a flexible business plan

• Perform a feasibility study

• Choose a perfect location

• Identify the various sources

• Start advertising your supermarket

• Plan out your finances

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5. Open Up A Boutique Business

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A boutique refers to small retail shops selling clothes, accessories and fabric to a selected group of people. The major advantage of opening a boutique business is that it is easy to start, easily manageable by a single owner and requires little investment.

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Creativity and passion are the two major components of the success of the boutique business. It depends on you what type of boutique you want to start. Either you can go for a franchisee boutique or can simply open a buy and sell retail boutique.

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You will need a minimum of INR 2 lakh to start a boutique in Kerala or you can opt to sell your clothes from an online store.

Here are a few tips for a successful boutique business:

• Decide on the type of boutique business

• Make a list of your ideal customers and remain in touch with them

• Decide the source from which you will source the fabri

• Keep the price affordable

• Get your business licensed

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6. Start A Photography Studio

Nowadays, videos and photographs are the two most popular content on the internet. If you are passionate about photography, you can provide a photography business in Kerala.

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You can also provide photography and video service to other businesses or become a part of a professional photography team.You can also build a website and sell your photos online.

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You can start a photography business by following the mentioned steps:

• Make a proper budget

• Develop a brand image

• Get professional experience in the photography business

• Build a photography website

• Use social media to promote your business

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7. Start a transportation business

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As per the Financesonline, India has shown a superior growth rate in the transport and logistic industry sector. Almost 14% of the total GDP is contributed by the logistics and transportation sector.

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Kerala is one of the fastest-growing states so, like all the other businesses, the transportation business is also in demand here.

Ola and Uber have taken rental taxi services to a whole new level. You can become a driver or provide cab services to ola and uber. You can also start a rental taxi or bike service on a small scale and gradually transform it into a large scale business.

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Here are a few transportation business ideas:

• Start an ambulances service

• Start a car rental company

• Start a logistic company

• Provide a luxury bus rental service

• Provide a breakdown van service

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8. Start A Repair And Maintenance Store

The service sector is growing at a fast pace in the economy. You can start a repair and maintenance store for electrical appliances or automobiles.

You can also become a handyman or start a vehicle repair maintenance store. You can also become a franchise of brands and start your service centres. You can also create a website to sell branded and genuine accessories through your online stores. You can expand it into extensive scale repair and maintenance service centres.

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You can start your Repair and Maintenance centre with the following steps:

• Obtain a license to operate your business

• Buy a business insurance

• Hire an accountant or financial advisor

• Promote your business

• Choose a perfect location

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9. Start A Yoga Center Or Gym

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Like all the other states of India are becoming health and fitness conscious, Kerala is not left alone. Amid pandemics, fitness has become a priority for Indians.

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According to the Times Now, India saw a 241% spike among Fitbit users. That's the reason opening a gym or becoming a yoga instructor can be a profitable business for you.

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You can join an institution accredited by the yoga certification board (YCB) to become a professional yoga instructor. You can also open a boutique gym that focuses on group exercise.

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How to become a yoga instructor:

• Join a yoga training centre

• Get yourself trained

• Get certified by the Yoga Certification Board (YCB)

• Finalize your location

• Offer Friendly services to your members

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Online Business Ideas In Kerala

Online business is a way of connecting businesses and consumers. Running an online business has its challenges. This doesn't mean that with a simple trick your life will be changed, you will need to find a product idea that will help you establish a successful business.

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1. Build Apps And Websites

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If you are tech sassy, you can easily become an app or website developer. You can build websites or sell templates to merchants to design their apps. Although there are millions of apps available, a unique app will grab the consumers' attention. You have to have a command of your coding skills to develop a unique app.

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In the case of ‘Pokemon Go, the developer used a unique idea of developing a game in which you were needed to walk around and catch the pokemon. The app had millions of downloads and became a goldmine for the developer.

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Here are the steps for how you can build apps and websites.

• Define an idea

• Do market research

• Define the functionality of your app or website

• Design your web app

• Plan your app and website workflow

• Prototyping the web application

• Ask for feedback

• Build your database

• Build your frontend and backend

• Host your web application

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2. Become A Tutor

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Kerala has the highest literacy rate in India and is popularly known as the state of intellectuals. According to the national statistical office survey, with a 96.2% literacy rate, Kerala has emerged as the highest literate state.

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Becoming a tutor is one of the best online business ides. The stress on the students to pass the examination has increased the demand for tutors all over India. You can start your online coaching and choose the subjects according to your skills and expertise.

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You can also become a tutor in an ed-tech company. As per the Economic times, an online tutor can earn INR 400 to INR 5000 per hour based on his expertise and subjects.

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Due to the high literacy rate in Kerala, this business can be considered one of the best business ideas in Kerala. You can use the FYND Platform to promote your classes.

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Guide for starting an online tutoring business:

• Know your target audience

• Choose the subjects based on your skills

• Choose a course pattern

• Choose a course model

• Become a part of an online platform to sell your courses

• Create your online teaching platform

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3. Sell Your Services Online

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The former president of India declared Kerala as India’s first digital stage during the launch of a digital empowerment campaign. With the state heading towards digitalisation, you can take your services online which will decrease your cost too. You will not be required to rent a space or spend on the electricity bill. You can start your service by providing a platform or become a member of any company providing services.

4. Open An Online Jewellery Store

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Kerala is famous for Gold. According to Wikipedia, Almost 500 kg of gold jewellery is manufactured in the state of Kerala every year. The city of Kerala, Kozhikode has more than 100 gold shops lining a 500 meter stretch of road and is home to India’s deepest jewellery hubs.

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You can sell your jewellery online and can reach customers across the globe. You will need to sell genuine and good quality products to establish your business. You can also sell your product through the Fynd platform.

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5. Publish A Book

Due to the high literacy rate in Kerala, people are fond of reading books, so you can consider it to be one of the best business ideas in Kerala. You can publish your book according to your interests like a science fiction novel, a marketing guide or a children's picture book. You can opt to self publish your work successfully and release it as an e-book on the digital platform. You can also publish your books and sell them on the e-commerce platform.

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6. Start A Dropshipping Store

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A lot of stores on the internet are practising dropshipping, so it can be a good opportunity for you to start your dropshipping business. You can easily sell a product with the use of dropshipping.

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You will be required to focus on marketing and Search Engine Optimisation. You will be required to identify the segment which will be most profitable for you. To set up your business for success, make your customers a priority.

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Manufacturing Business Ideas In Kerala

Looking forward to starting a manufacturing business in Kerala with low investment? It is always advisable to start your business on a small scale and expand it with the revenue generated.

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Starting a manufacturing business might look easy and simple, but things get tough when you implement them. Most businesses fail due to poor planning and a shortage of budget. So, you need to plan things and follow your plan diligently to taste success. Here are a few lists of manufacturing Business ideas in Kerala:

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1. Coconut Oil Manufacturing

Coconut oil has always been in demand for years. People use it to cook food, hair tonic, cosmetics and soaps. Kerala has received an increased demand for Virgin coconut oil from USA and Canada. You can read here about the increase in demand for coconut oil.

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You can sell your coconut oil in the local market as well as establish a brand to sell in the international market. This can be considered one of the best business ideas in Kerala which can be started on your vacant land or renting a small place.

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2. Incense Stick Manufacturing

The incense stick manufacturing business remains high in demand due to the religious culture of Kerala. India is the only country to produce incense sticks and supplies all over the world.

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Due to the monopoly of India in manufacturing incense sticks, you can grab this opportunity and establish your business abroad. It does not require much space or capital and can be started by investing an amount of INR 10,000.

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3. Frozen Fruits And Vegetables

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Opening a frozen fruits and vegetable business is one of the best choices due to the less competition and unawareness among the producers. Frozen fruits can be used to prepare demanded items like jams, pasta and sauce. You can store these fruits and vegetables during the seasonal times and can sell them at a higher price to earn a tremendous amount of money.

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The frozen food business is expected to hit 385.04 billion by 2028 at a CAGR of 5.98% during the 2019 to 2028 period. You can start this business by investing an amount of INR 50,000.

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4. Tempered Glass Manufacturing

Tempered glass is required to safeguard your phone. As the demand for mobile phones is increasing so is tempered glass. This business needs a minimal amount of investment and can be proven to be the most profitable business.

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India’s mobile industry has grown by 7% in 2021. You can imagine the number of opportunities in this industry because nowadays everyone uses tempered glass and keeps on changing them.

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This business has a huge potential and one can earn a decent amount out of it.

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Also Read 70+ Small Scale Business Ideas.

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5. Soda And Flavoured Drinks

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This is the best business to run in summer in tourist places where people will love to drink this refreshing drink. With the increase in the heat, the demand for these drinks will increase.

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You can start this business on a small scale by using manual or semi-automatic production techniques with little investment.

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The beverage industry in India has a huge potential to grow as the demand for the beverage industry is expected to grow at a CAGR of 16.6% from 2017 to 2030 and reach INR 50billion at the end of the projection period.

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You can start this business at your home and then expand with the generated revenue.

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6. Designer Saree Production

Designer sarees are very popular among the female population of Kerala. Sarees are considered a symbol of heritage, integrity, resilience and versatility. With the increased demand for western wear, the saree industry seems to go down but ‘Designer sarees’ which are worn occasionally have seen tremendous growth.

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Indian sarees have a huge demand worldwide and are exported to many countries. You should research the trend and current style before starting this business on a small scale.

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7. Eraser Making

Kerala is known for its rubber production as it produces 95% of the total supply of rubber wood in India. Eraser making can be considered the most profitable business idea in Kerala.

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An eraser is an essential item for artists, bookkeepers and students to rectify the mistakes. It has a demand in the domestic as well as in the export market. You will have to keep a check on the availability of raw materials and select the right item for your production. You can start this business with an investment of around INR 50,000.

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8. Leather Bag Making

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Due to the availability of leather in abundance in Kerala, you can easily start this leather bag making business. The raw materials for this business are easily available, as most of them are synthetic materials.

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You can choose among a wide range of variety and designs be it from ladies' purses, wallets, laptop bags or handbags. The leather industry is growing at a CAGR of 5.91% from 2021 to 2028 and is valued at 342.91 billion in 2020. Considering the demand of the people, this business has a huge potential and scope. You can start your business on a small scale and thereafter target international audiences too.

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9. Homemade Chocolate

There is a massive demand for homemade chocolates. You will be surprised to know that the average consumption of chocolate per capita in India is 100g to 200g per person.

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People are shifting from chemically made chocolates to homemade chocolates. You can add varieties and flavours to the chocolates to increase their demand. You can also prepare sugar-free chocolates for diabetic patients.

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There is a constant demand for chocolates throughout the year but it is increased at the times of festivals. This business requires little investment and can be started in the comfort of your home.

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10. Open A Recruitment Agency

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The rapid growth of the economy in Kerala is fueling the expansion of businesses in the state. This surge of business expansion has provided tons of opportunities for recruitment agencies.

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The businesses are searching for new talent and the candidates are in search of vacant seats, so the recruitment agency can work as a meeting point for them. This can be proven to be one of the most profitable businesses in Kerala.

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You will have to research the market well and gain expertise to provide your service. You can offer services like permanent staffing, temporary staffing, training and development and payroll.

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Business Ideas In Kerala With Low Investment

There are many businesses which require less capital and if executed well can generate huge revenue. To be a successful entrepreneur, you do not have to run behind the capital, a small scale business can also fulfil your dream.

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The success of your business will depend on your passion and zeal to crack. You will have to remain patient and confident throughout your journey.Here are a few lists of business ideas in Kerala with low investment.

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1. Ice Cream Parlor

Despite being a seasonal business, it can be a hit as the demand for ice cream is increasing rapidly in the state. In the past few years, this business has seen some innovative development.

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Due to the influence of western culture on consumer habits, the ice cream business has become more viable and profitable at present times. Based on your budget, you can either open a parlor or buy the franchise of a brand. With continuous efforts, this business has a huge potential to grow.

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2. Opening An Astrology Business

According to Zee News, an astrology startup in Delhi is doing a business of 41 lacs every day. With this data, you can just imagine the demand this business has. You can provide the mystique of astrology to consumers or provide a psychic reading or a tarot reading. You should define a clear plan for your business

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Astrology business requires very less investment and with time, you can establish your business. You can also consider hosting community events where you can discuss astrology.

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3. Opening Day Care

According to the Economic Times, women's participation in economic activities has increased from 16.4% in 2017 to 20.4% in 2020. This shows that working women or single mothers are heading towards the daycare to take care of their children.

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As a preliminary measure, you are required to perform market resarch and form a business plan. The daycare business is increasing. You have to outperform your competitors. You can start your business at your home or get a franchise once your business is established.

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4. Opening A Costume Rental Business

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Depending upon the needs of the consumers, you can provide rental as well as purchase services of costumes, wigs and make-ups for special events. Costumes remain in demand throughout the year and everyone can't buy new costumes for every party. You can open this business in the market area to attract customers.

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You can use social media or the FYND Platform to promote your business idea. You will be required to offer variety to satisfy the needs of different consumers.

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5. Opening A Pest Control Business

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Pest control refers to controlling or eliminating poisonous, harmful or dangerous insects. The Pest control industry is increasing by 15% in India every year. You will be required to register your pest control business and create a business plan. Promote your business widely. You cannot start this business without getting licensed as the company requires extremely toxic and dangerous substances.

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Innovative Business Ideas In Kerala

Everybody wants to outperform their competitors so, you need to figure out to set yourself apart from your competitors. You will have to design your original product or services which no other company is providing to stand out in the market.

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Here are a few innovative business ideas in Kerala:

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1. Become A Virtual Interior Designer

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During a pandemic, the quarantined shopper spent time at their homes redecorating their homes. With the help of current technology, it is possible to decorate homes without visiting them.

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You can meet your customer's needs be it painting, furnishing or art layout. It is possible to design according to the customer's requirement and make changes accordingly.

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You will need to plan your virtual interior designer business and build your website. To start on a large scale, you will have to get the necessary permits and licenses.

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2. Become A Social Media Influencer

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In the past few years, we have witnessed a huge growth in social media users. Almost 45% of the Indian population uses social media which accounts for 3.4 billion people.

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You can get inspiration from the popular influencer of Kerala Sujith  Bhakhtan who has 1.5 million subscribers on youtube. As a social media influencer, you should have the talent to appeal to a wide range of audiences. Marketers usually hire influencers based on their followers.

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You will be charging marketers for promoting their brands or you may work on a commission-based promotion. This can be considered one of the best opportunities.

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3. Open An Online Bookstore

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Various online platforms have gained a lot of acceptance in the education sector and the online business has grown eminently. Starting an online store can help you avoid high costs. You will be required to research the retail market to get an idea about your business.

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This business has huge potential but it will depend on the uniqueness of your business idea. You will be required to build a website and insert pictures of books, prices and descriptions.

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4. Offer Motivation And Advice

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If you can build a relationship, then you can offer motivation and advice services. You have to deal with people who are facing challenges in relationships, career development and dealing with conflict.

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You will have to focus on identifying client goals and develop a plan of action for upcoming obstacles. It can create a huge difference in the lives of your clients. This can be considered one of the best business ideas.