Want to start a profitable business in Australia in 2024? As of August 2023, 97.3% of Australia's 2.5 million registered businesses were classified as small, each employing less than 20 people. But despite their 'small' tag, these enterprises are economic powerhouses, contributing billions to the national economy every year. If you're looking for a profitable industry to start in, here are a range of industries and business ideas to consider.
Tourism and hospitality
Tourism and hospitality in Australia are actively supported by the government, including funding opportunities for small businesses. With pristine beaches, vibrant cities and untamed outback, there's a lot to attract a steady flow of both domestic and international customers to your business. Maybe you open a chic new cafe in an upcoming area, take guided tours through the wilderness, or create a cosy bed and breakfast in a slice of paradise.
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Food and beverage businesses
Food and beverage businesses are Australia's bread and butter — always essential and very versatile. As consumers increasingly embrace adventurous and healthy eating, the industry sees a growing demand for offerings like small-batch jam and organic wine. There are also always opportunities for food trucks and ice cream shops.
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Health and well-being services
Health and well-being services are seeing growing demand. Australians are looking for new ways to improve their health, manage stress, and enhance their overall well-being. When it comes to managing weight, statistics show that over half of adult Australians want a more effective fitness solution.
This demand creates consistent opportunities for businesses like boutique fitness, acupuncture and massage studios. Mental health services like counselling or mindfulness workshops are also growing in popularity.
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Technology and IT services
Australian technology and IT services companies are becoming global powerhouses thanks to their innovative solutions to everyday problems. For anyone thinking of entering the tech field, Australia has a strong network of venture capitalists who invest in these startups, helping them grow and innovate. Right now, these investors are especially interested in startups that use AI to streamline processes and make operations more efficient.
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Ecommerce and retail business
Ecommerce lets you break into local and international markets without the overheads of traditional retail. Whether you launch a line of bespoke beauty products, sell handmade crafts on Etsy, or curate unique subscription boxes, you have the flexibility to scale your business at your own pace, test new ideas without significant risk, and connect with customers directly to build lasting relationships. Starting an online business also means you can work from anywhere.
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Aged and disability care
Government investment aims to improve aged and disability care and opens up opportunities for small businesses to bring in new ideas. With the aged care market expected to hit $30 billion by 2025, it's a great time to start a business that can make a real impact. Whether expanding allied health services in these sectors, focusing on specialised support, or consulting for other providers, there are many problems to solve.
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Eco products and services
Eco products and services aren't just good for the planet, they're also good for business. As people become more aware of the environmental impact of their day to day activities, they're looking for more sustainable options.
Right now, there are opportunities to connect with customers who care about the environment and want to make better choices. For example, you could consider differentiating with an eco-friendly product or service, or explore up-cycling old materials into new products.
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Profitable business opportunity FAQs
Profitable business opportunities are everywhere in Australia if you know where to look. Here we answer some common questions when starting a small business:
What businesses have the highest success rates?
Businesses with the highest success rates can vary. According to the Australian Bureau of Statistics, agriculture, forestry and fishing businesses have the highest 3-year survival rate at 63.8%. Only 35.6% of transport, postal and warehousing businesses that started at the same time are still operating.
What business is most profitable in Australia?
The most profitable business in Australia varies depending on factors such as industry trends, market demand and individual business models. However, industries like mining, professional services and property are often among the most profitable.
Profiting down under
In the dynamic world of small business, success often hinges on innovation, resilience and a keen understanding of market trends. By harnessing the insights shared here and starting your entrepreneurial journey with determination and vision, you can position yourself for success in the ever-evolving Australian business landscape.
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Disclaimer: Information provided in this article is of a general nature and does not consider your personal situation. It does not constitute legal, financial, or other professional advice and should not be relied upon as a statement of law, policy or advice. You should consider whether this information is appropriate to your needs and, if necessary, seek independent advice. This information is only accurate at the time of publication. Although every effort has been made to verify the accuracy of the information contained on this webpage, MYOB disclaims, to the extent permitted by law, all liability for the information contained on this webpage or any loss or damage suffered by any person directly or indirectly through relying on this information.