Small Business Ideas in Houston

Small businesses are thriving in Houston. The major metropolis, which is home to 2.3 million residents, is also the base of operations of tens of thousands of small businesses. 

For clarity, we’re using the definition of the U.S. Small Business Administration (SBA) for  small business. The SBA defines a small business as “an independent business having fewer than 500 employees.” 

In Houston, there are nearly 97% of businesses that fit into this definition, according to the Greater Houston Partnership. These businesses employ 1.2 million people, which is 44% of the region’s workforce. 

If you’re thinking of starting your own, here are some small business ideas to claim in Houston as your own to think about.

Real Estate

Real estate is the no. 1 small business that many Houstonians start. Thanks to the city’s growing population and strong job market, many people are relocating in the city and they’re looking for real estate properties to own or rent during their stay. 

There are several opportunities in real estate that you can focus on. You can develop properties, sell them, or rent them out. Of course, this would mean you’ll need capital to develop or buy a property and know-how, but the profits are also substantial or lucrative. 

Another way you can enter the real estate industry in the city is to start a real estate agency where you’ll serve as the middle man between buyers and sellers of real estate properties. Your income will be the commission you earn from sales.  

There’s also opportunity to start businesses that cater to the developers, flippers, and rental owners. For instance, a construction business would help fulfill demand for building new residential and commercial real estate projects. 

House flippers, or those who buy and sell homes for profit, would also need the services of contractors to renovate the house before selling it off. This home improvement could be in the form of flooring installation, kitchen remodeling, fixture updates, exterior upgrades, and landscaping. You could also start a home staging and interior design business to help make real estate properties for sale attractive to potential buyers. 

Meanwhile, rental owners, especially of multi-unit apartments, might require the assistance of property managers to help them take care of the daily operations of their business. 

To recap, you can get a piece of the pie from the lucrative real estate market through: 

• Developing residential or commercial properties
• House flipping, or buying and selling houses for a profit
• Rentals, including Airbnb
• Start a home staging and interior design business
• Found a real estate agency
• Begin a construction business
• Or home improvement business
• Get into property management

Food and Beverage

Another potential for a cash cow are food and beverage businesses because like most Texans, the average Houstonian loves to eat. So, there’s plenty of opportunity for you to carve out a niche in the market. The key is to focus on a specialization in order to gain some die-hard fans.  

There are several areas you can specialize in and many ways to go about starting a food and beverage business in Houston. 

• Open a new restaurant, such as one focusing on delicious Texas barbecue. With tons of people going about the city, especially employees and other workers, good food is always in demand. Or, if you have some scrumptious international dishes you’d love to introduce to the city, opening your own restaurant might just be the ticket you need. 
• Start a new bakery or pastry shop. If you’d rather whip us baked goodies, then this idea is for you. Try coming up with a signature recipe or some special flavor or ingredient that will make you stand out and memorable from the rest of the bakeries and pastry shops in the city. You can stick to the essentials, such as breads and cookies, or bake special cakes, or even create your own new dessert that will have Houstonians talking.  
• Find a fast food or a franchise. If opening a new restaurant or bakery sounds intimidating and risky, a successful fast food chain or other franchise might work best for you. You’ll have a business with a recognizable brand, tried-and-tested business model, and support from the parent company, so you’re not entirely starting from scratch with this one. Plus, you’ll also be banking on the franchise’s existing customer base in the city and nearby.  
• Serve up mouth-watering food in a food truck. Offer unique dishes, diverse cuisines, or innovative food ideas in a very convenient way. What’s great about food trucks is they’re generally cheaper to operate than a traditional resto. With reduced overheads, you can offer affordable food to your customers. Plus, they’re mobile, so you can basically place your food truck anywhere like city streets with high traffic or one of Houston’s numerous festivals and events. 
• Do food delivery. With everyone living busy lives, cooking your own meals can be a challenge. You can offer food delivery services to individuals who don’t have time to cook or grab a meal for themselves. By partnering with local restaurants, you can provide your customers a breadth of choice and the convenience that’s essential for busy buddies in the city. 
• Open a specialty food store, which is a store that sells unique or hard-to-find products. For instance, you could launch a health food store that focuses on healthy eating or the dietary needs of your customers. You could also open a store around a single theme, for instance, chocolates. So, you could sell all things chocolate where anything goes. Or, a shop specializing in specialty beverages, such as craft beers or wines. 

Professional Services

If you have been working in a particular industry for a long time, you could tap into the knowledge and experience you’ve gained over the years and go into business for yourself. 

Some ideas include: 

• Digital marketing agency—Businesses today invest in their online presence. A digital marketing agency can help them get found online, engage with customers, and stay competitive.  
• Pet grooming and pet care services—Pet owners consider their animal companions family. So, they are willing to spend on the products and care that their pets need. 
• Solar panel installation and servicing—With abundant sunshine, Houston is a great place to start a solar energy business for residential and commercial users. While you might need training, solar panel installation, servicing, and repair can be a good source of income for you. 
• Travel agency or tour business—There are many reasons tourists come to Houston, including the local history, food tasting, or outdoor adventures. A travel agency can offer guided tours for tourists surrounding these themes. 

• Daycare or babysitting—With parents busy at work, babysitting services and daycare can offer to take care of their little ones while they’re at the office. 
• House cleaning services—Again banking on the busy schedules of Houstonians, house cleaning services help keep their homes clean, organized, and in tip top shape. 
• Event planning and management—All the details, time, and effort that goes into planning an event, such as a wedding, birthdays, or other special occasions, can be daunting for any one person to take on. An event planning and management business ensures everything is in order so clients can focus on enjoying the celebration.