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30 Best Small Business Ideas for Rural Areas & Villages in India

If you are looking for small business ideas that can be started in a rural area or village in India, you have come to the right place. This blog post will discuss 30 different business ideas that can be successfully launched in rural areas and villages. We will also provide information on the types of businesses best suited for this environment. So, whether you are an entrepreneur looking to start a new business or an individual who wants to know more about the opportunities available in rural India, read on!

30 Best Small Business Ideas for Indian Rural Areas & Villages:

Here are the best small business ideas for Indian villages or rural areas. These ideas have great potential and can be easily replicated across many communities, making the rural and village communities less dependent on urban areas.

#1. Online Grocery Store

Online Grocery Store

The online grocery store is a perfect business model for rural areas and villages. These type of stores does not require a lot of space or infrastructure, and they can be operated from the comfort of your home. Additionally, there is a growing demand for online groceries in India, so there is a lot of potential for success in this business.

#2. Designer wear, Dressing & Tailoring

It’s a myth that wearing designer clothes is only preferred by people living in high societies and big cities. Rural and village people also have the money to invest in designer wear.

Unfortunately, there are no outlets or tailors available at their place. Hence, they either purchase clothes from the local market or travel to cities for shopping on festivals or special occasions.

There is a huge potential for designer wear business in rural and village areas.

#3. ATM Provider

ATM Provider

ATMs are becoming increasingly popular in rural India. They offer villagers and rural entrepreneurs the opportunity to access banking services without traveling long distances. Suppose you are interested in starting an ATM business in a rural area or village. In that case, there is a lot of potential for success.

Providing ATM service could be a great side business to start as you don’t need to be at the ATMs when people do their banking. The upfront investment may cause some concern; however, if this helps cut down on lines and increases convenience, it will all pay off in the long run!

#4. Daycare Services

The demand for high-quality daycare services in rural and remote communities is increasing. Still, many people who live there lack access to these programs. You could be the answer!

Daycare could be the perfect business if you are an experienced childcare provider. Alternatively, if you want to start a new business in rural India, this is a great option.

When starting a daycare service, one thing to remember is that there may be some initial investment required for setting up the necessary infrastructure (e.g., toys, play areas, etc.). However, this investment is well worth it, as the demand for daycare services will only continue to grow in India.

#5. Labour Support Service for Crop Production

Labour Support Service for Crop Production

People are moving to the city in droves. But, we must take care of our smaller towns and rural communities. There is no better way than becoming an entrepreneur with your own labor service company. With your labor services, you can support those who need help growing their crops to continue supplying many areas around them with fresh vegetables or fruit!

#6. Adventure and Sports Rental Services

Suppose you are located, or you know, a nearby place in a rural area or village that is surrounded by natural beauty. In that case, you could start an adventure and sports rental business. This adventure rental business is a great option for those passionate about outdoor activities, such as hiking, camping, biking, boating, etc.

The best part about this type of business is that there is no need to invest in many infrastructures. Instead, you can rent necessary equipment from other businesses or individuals.

#7. Rehabilitation Services on One to One Basis

The remote areas are struggling with addiction, and there’s no help for people who need it. Moreover, relocation expenses make rehabilitation too difficult, if not impossible in some cases – which means that this problem will likely continue as before unless something changes soon.

It will be a great boon for people struggling with addiction to get the rehab facility at their place. However, starting a whole rehab facility will be very expensive. The solution to this problem is very simple.

You could combat the high costs of rehab programs by starting your one-on-one client service. It can help people with substance abuse problems without spending too much money on overhead.

All while maintaining an authentic approach that caters only to those who need it most!

#8. Event Management

Event Management

Event Management Business is such a business that is flourishing in megacities. Still, unfortunately, it always overlooks the rural and village areas. Why?

Because hardly event organizers try to find out the opportunities available at these places, there are lots of marriages every year, and other functions occur in rural and village areas. People there are bound to take the services of the old-fashioned tent and band providers.

These people spend lakhs on the same outdated decoration style. If you have experience managing events, you can try your hand this year. All you have to do is develop a basic or economic plan, and you will be amazed to see the response.

#9. Poultry Farming

Poultry farming is an age-old profession, and its sounds like an overused business concept now. But there is a huge potential for this business in village areas that face geographical inaccessibility problems.

If you are visiting a village and want to eat a good chicken recipe, you will have to go to the nearest market well within time to purchase the raw meat and other required stuff. But if you are late and it’s evening time, you can’t do anything as there are no options left. In rural and village areas, markets get closed and deserted very early.

The poultry farming business can be a great opportunity for rural entrepreneurs who want to take advantage of this situation. You can start small by rearing just a few birds and expanding the operation as you go along.

#10. Packaged Drinking Water Production

Packaged Drinking Water Production

Packaged drinking water is a billion-dollar industry, and there is still plenty of room for growth.

The rural and village areas are the perfect place to start a packaged drinking water production business, as these areas often lack access to clean drinking water.

You will need to set up a small bottling plant to produce bottled drinking water. Then, you can either produce your brand or become a distributor for an existing brand.

#11. Solar Energy

Rural areas and villages often lack access to electricity, making solar energy an attractive option.

You can also start a solar energy installation business. This business involves installing solar panels on the roofs of homes and businesses.

Solar energy is a growing industry, and there is plenty of room for growth in the rural and village areas.

#12. Electronic Vehicle Charging Stations

Electronic Vehicle Charging Stations

Electric vehicles are the future, and there is a growing demand for electric vehicle charging stations.

You can start a business that installs and maintains electric vehicle charging stations. This setup is a great opportunity for entrepreneurs who want to get into the green energy industry.

The electric vehicle charging station business is still in its infancy, so there is plenty of room for growth.

#13. Rural And Village Ride-Sharing Service

Rural and village areas are often underserved when it comes to transportation options.

You can start a rural and village ride-sharing service to fill the gap. But unfortunately, there are not many sharing rides available for villages and rural areas.

You can start small by providing services in your local area and then expanding the service as you grow the business. For example, if you live in a place where ride-sharing is a problem, you can start with your app and explore more distant places where people are looking for such services.

#14. Sanitary Napkin Manufacturing

Sanitary Napkin Manufacturing

Sanitary napkins are necessary for women, and there is a growing demand for sanitary napkins in rural areas.

You can start a small-scale sanitary napkin manufacturing business in rural areas. The sanitary napkin manufacturing business is a growing industry, and there is plenty of room for growth in rural areas. Along with manufacturing, there are also other related opportunities for, e.g.-

  • Sanitary napkin recycling business. This business involves collecting used sanitary napkins from households and businesses and recycling them into new sanitary napkins.
  • Sanitary napkin distribution business. This business involves distributing sanitary napkins to households and businesses.
  • Sanitary napkin advertising business. This business involves marketing sanitary napkins to households and businesses.
  • Sanitary napkin education business. This business involves educating women about the benefits of sanitary napkins.

#15. Aluminum Foil Manufacturing

Aluminum foil is a versatile product that is used in a variety of applications.

You can start a small-scale aluminum foil manufacturing business in rural areas. This sector is a growing industry, and there is plenty of room for growth in rural areas.

Why start this business in a village or rural area?

The rural and village areas are the perfect place to start a small-scale aluminum foil manufacturing business. And operational costs will be less than doing the same thing in metro cities.

#16. Paper Cup/Plates and Glass Manufacturing

Brown paper cups, plates, wooden cutlery, linen napkins on wooden background. Recycling concept.

Paper cups and plates are used in marriages and functions and are used in restaurants, tea stalls, railway stations, canteen, etc.

Demand and usage of paper plates and cups are very high. The cost involved in manufacturing is also low compared to other items.

#17. Agarbatti Manufacturing Business in Village Areas

Agarbatti is an incense stick used in worship and as a room freshener. Therefore, wholesalers always look out for opportunities to purchase low-cost Agarbatti to gain more from consumers.

You can start this business from your home. Also, It is a very low investment business opportunity.

#18. Namkeen Making Business

Namkeen is an ancient Indian dish made from lentils and rice. In most cases, it’s cooked in a spicy tomato sauce with vegetables like carrots or potatoes!

Suppose you’re interested in starting up your own Namkeen making business. Before deciding what type of machine(s) will best suit, there are some upfront costs to consider.

The options for machines are many, but the most popular ones are extrusion-type machines which is also a low investment option. There is a lot of potential in this business, and it can be started with a very small amount of money. You can start this business from your home itself.

#19. Maintenance of Farm Equipment

Maintenance of Farm Equipment

Farm machinery is necessary to maintain the crops and their land. Still, it’s not always affordable or functional when something goes wrong.

That leaves many rural areas vulnerable in times, which can cause major problems for farmers who depend on this equipment more than ever before!

There are many people with heavy-duty skills who could start this company. Of course, the big expense might be the tools needed to operate it. Still, if you can partner up and contact farm equipment manufacturers, they’ll have plenty of leads for your business. Leads who need emergency repair or maintenance after their standard warranties expire- making these customers perfect prospects!

#20. Shipping Warehouse for Online Products

Imagine living in a small town with no nearby malls. You love online shopping, but it’s always expensive to get items shipped. Because no shipping companies operate out of your area, and the ones who do are very expensive.

Partnering with large shipping companies to set up a warehouse and operations center could help them lower costs for the rural areas. In addition, by expanding their reach, you would earn more money from this partnership as well!

#21. Minuscule Infrastructure Repairing Business

The lack of infrastructure in rural areas is a major issue for small businesses. And this problem can be solved through an innovative idea called “rural infra repair business.” This business offers road repair services to those communities that don’t receive much support from local governments and regions.

When you first approach the organization that manages this region, they will likely have some budget or support for fixing these things. You can work with them to secure jobs, so we get the roads fixed, And you will have a chance to start your own business.

#22. Farming Equipment for Hire

Farming Equipment for Hire

Suppose you are new to a farm community and want heavy-duty equipment for your work on large pieces of land. In that case, it cannot be easy to buy all the necessary machinery.

And here is the chance to begin this business, consider renting out your farm machinery. You have two options. First, let others use the equipment, or Second take the equipment by yourself to their fields and make sure they pay on time, so there is always fuel in stock!

#23. Local Technical Support Service

Internet is not only used in cities these days, but people in rural areas use the internet for their work and other activities.

But, the problem is that they don’t have anyone to help them when they face any tech issue. So, if you are technically sound and want to start a business, this is a good opportunity. You can provide your services to these people at their doorstep and make some good money.

#24. Mushroom Farming

Mushroom Farming

What if we told you that it is possible to make money growing mushrooms? It’s true! And not only can these fungi be grown on almost any surface, but their harvesting also doesn’t require much space or resources. They’re an easy sell with the huge benefits of being nutritious and delicious- what more could one want from their business idea?!

This business does not require any special skills or training. The raw material required for this business is easily available in the market. So, if you are looking for a low investment business, then mushroom farming is a good option for you.

#25. Ginger Garlic Paste Making Business

Ginger garlic paste is a key ingredient in Indian cuisine, and it is used in almost every dish. It’s also helpful for those who suffer from stomach ailments such as vomiting, nausea, etc.

The creation procedure isn’t as daunting or complicated. Therefore, there is a lot of potential for export in this commodity!

#26. Rice Mill

There is an increase in demand for rice. And also, there are high yields from farms across the country. So there is hope that it will soon become one of its most valuable crops again – if not already! This high demand and yield mean opportunities at both ends. Therefore starting up your mill or processing plant to sell locally and getting paid by weight can be a brilliant business idea.

#27. Bakery Business

Bakery Business

Bakery items are always in demand, and there is no shortage of customers for this type of business. And, since you will be selling fresh items, there is no need for a large investment in inventory.

You can start a bakery business with a small investment.

The key to success in this type of business is good marketing and customer service. It would be best to focus on creating new and innovative items to attract customers.

#28. Veterinary Clinic

India is a country with a large population of livestock. Therefore, there is a great need for veterinary clinics in rural areas and villages.

So, if you are a veterinary doctor and want to start your clinic, this is a good opportunity. You can provide your services to these people at their doorstep and make some good money.

You will need to invest in equipment such as an X-ray machine, ultrasound machine, etc., to run your clinic efficiently.

#29. Cement Bricks Making

Cement bricks are durable and strong and can build houses, walls, etc. Due to the durability of cement bricks, it is in great demand in rural areas.

In the village, you can get cheap labor and raw material.

#30. Ice Cream Parlour

Ice Cream Parlour

Ice cream is a popular dessert, and there is no shortage of customers for this type of business. You need to have an eye for detail and a passion for making people happy.

Water, ice, milk fat, milk protein, sugar are the main ingredients of ice cream, available in rural areas at lower prices.


So there you have it, thirty small business ideas for rural areas and villages in India. Hopefully, at least one of them sparked your interest and made you excited to get started. Remember, the most important thing is to pick something you’re passionate about; when you love what you do, it doesn’t feel like work. So what are you waiting for? Get out there and start turning your dreams into a reality!

Sadiq Iqbal

Sadiq Iqbal is the Lead Author, Editor and Head of Operations at Business Definer. Sadiq has a Masters in Business Management as well as years of experience, working in various business management roles at multiple organizations. Since joining Business Definer, Sadiq has helped numerous founders and business aspirants solve their most difficult problems and get their entrepreneurship dreams kickstarted.

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