Dear Forum,
Greetings!

I would like to invite your suggestions about starting a business from a capital of Rs. 5,00,000/-.The business would be in a Tier 2 city in Uttar Pradesh.Condition is, It is to be operated from the residence only in a new developed colony.Normally in small towns and newly developing colonies, people generaly go for following Small grocery shops(Kirana) ,Stationary shops, beauty parlours stc.Coz they make 1 or 2 shops on the front part of the plot and rest they construct the house.Plus, its a business run from home.

But, when a colony with 200 houses has 40 small grocery shops, nobody makes money.Its just that, they overheads are low, they keep on dragging the shows.Also, most of them are first timers, so not a great idea of retail

I too evaluated few options:

Stationary shops: It has good margin, but again, even the kirana stores keeps basic stationary.Phone accessories nd recharges are also available everywhere

Travel ticketing:Not, too much business in airtravel as middle class area and train travel offers too less margin.

Dairy : Capital intensive, negative ROI for small scale.

Beauty Parlour - Every second auntyji around is a beautician.

Computer centres cum cybercafes- Not viable.

Coaching centre - Every second bade bhaiya is a tutor.

Medical store - seed capital is too low to start one, also generally stores around hospitals are better off, not in residential colonies.

LIC, Shares- Every second chachaji in the area is a LIC agent and advices in stock also.

Franchise- I dont think 5L can get a franchise, good enough to make sense.


So, all my fellow forum members, plz. let your creative juices flow on this thread. The challenge is to make atleast 15k Per month.

Warm regards,
MTB
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  • Originally Posted by Iminvestor
    So ultimately you zeroed down to the choice of your business... Best of luck! The idea of putting the pool table is good to attract the crowd. I hope the area is not open...
    Prices of stuff are not that cheap for a tier 2 city ;).


    Thanks mate! I also felt the price are a bit on a higher side.I have to go and check the prevailing prices in the area.Also, I would deliberately keep the prices 10-15% higher.

    My biggest challenge would be, would the person running the show would be able to transform himself from a central government employee to a street food vendor.

    Plz, keep the words flowing!


    Regards,
    MTB
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  • What about thugs who will come to collect hafta? And other criminals who will probably also come to play pool half drunk. Will the person running the show be able to ward them off?
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  • Originally Posted by rovingeye
    What about thugs who will come to collect hafta? And other criminals who will probably also come to play pool half drunk. Will the person running the show be able to ward them off?


    legitimate questions sir! hafta is de riguer at all places.So, shall be tackled.Also, the Asamajik-tatva would be taken care of without too much hassle.

    Regards,
    MTB
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