Boring Businesses with High Success Rates
Are you looking to start a business but are afraid of the high failure rate? Don't worry, you're not alone. Many businesses fail within their first year of operation. However, there are some businesses that have great success rates. In this article, we will share some boring businesses that have amazing success rates. So read on to learn more!
Rental Real Estate
85% Success Rate
Monarchs have built their wealth on renting land and as Andrew Carnegie said "90% of millionaires did it with Real Estate". This type of business is very capital intensive and requires some level of financial savviness to be successful. Most prospecting landlords will need good credit to obtain a Mortgage and the ability to identify a good deal.
Several factors that make this business enticing:
Passive Income means you do not have to work 40 hours a week to earn money.
Depreciation deduction: non-cash tax deductions against your rental income.
Capital appreciation: the value of your property increases over time.
Leverage: other people's money is used to finance a good portion of the asset.
Dump Truck business
87% Success Rate
This type of business can generate consistent revenues due to the high demand from a variety of industries. Dump trucks are used by construction companies, real estate flippers, landscapers, and miners to dump unwanted materials — which is the reason for its high success rates. A Dump Truck business requires relatively high startup costs to purchase the trucks, but there is an option to lease which can make it much easier to enter the market. Most importantly, you will need competent and safe drivers to operate the trucks, as unsafe drivers would ruin your relationship with the customers.
Vending Machine Business
90% Success Rate
Another low-risk business is a vending machine business. These businesses often require little to no overhead costs and many can be operated completely on automated systems. According to dropsvending.com this type of business has a success rate of 90%. Because it requires little investment, most vendors only need to invest $4000-$7000 into their machine business in order to be successful. A vending business provides great income potential, flexible work hours, and the ability to monitor everything from home.
Laundromats
95% Success Rate
Doing dirty laundry may not seem like a very sexy venture, but the stats might surprise you. According to the Coin Laundry Association, laundromats generate a combined annual revenue of $5 Billion. 36% of investors consider the laundromat a part-time job while 63% consider it to be a full-time job and 70% have two employees or less. Furthermore, business owners on average see a 20-35%ROI. Coin operated laundromats require much less labor and with proper procedures in place, the business can pretty much run on its own.
Delis and Sandwich shops
96% Success Rate
While they may not be as glamorous as some of the other business ventures on this list, Delis and Sandwich shops are well loved by many consumers. Sliced bread was invented in 1928 and just in 2005 the toasted sub movement began to take hold. Although these innovations may seem small compared to something like the iPhone, it disrupted the way we eat bread. According to the National Small Business Association, in this $21 Billion industry, roughly 96% of Delis and Sandwich shops are still open after two years. Maybe you will just create the next best thing since sliced bread.
Conclusion
Whether you're interested in starting a laundromat, real estate rental business, or one of the many other businesses with a high success rate, there are many options available to you. Be sure to do your research and talk to other entrepreneurs in order to determine the best option for you!