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15 Best Business Ideas in Michigan

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Published on September 16, 2022

Updated on September 16, 2022

15 Best Business Ideas in Michigan

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15 Best Business Ideas in Michigan

Michigan boasts of a culture of innovation and business-friendly policies. Its largest city, Detroit, is known as Motor City because it’s the birthplace of the automotive industry. Michigan is also known for its long freshwater coastline and vast forests. 

If you’re looking to start your own business in Michigan, consider launching an aftermarket auto parts business. You can perhaps set up a farm. Opportunities also abound in other sectors. You’ll find these as you continue reading our list of business ideas in Michigan.

1. Dog Treat Store

Dog Treat Business

When you think of starting a business, doggie treats are probably not the first thing that comes to mind. But the petcare industry has boomed in recent years, with specialized foods leading the way as pet owners become increasingly concerned about pet health. You could start your own dog treat business and make a good living while putting smiles on the faces of people and pets everywhere. 

Of course, you’ll need to decide what kind of treats you’ll make, the key ingredients, and your pricing structure. To get started, you could research popular dog treat brands and see what they’ve been doing lately. Once you know the outlines of your business, start making trial batches in your kitchen and test them out with dog owners in your era. Their feedback will help shape your product so that once it hits the market, every doggie will want some!

2. Farm

Farm Business

Do you have a green thumb and always dreamed of starting your own farm? Well now is a great time to take the plunge, with countless people leaving cities for the countryside and looking to eat healthier, all-natural foods fresh from the farm. Farming is a trillion-dollar industry in the US, and offers considerable opportunity for the hard-working entrepreneur. 

And there will be hard work. Farming is not as easy as putting on overalls. You’ll need to find and purchase the right piece of land. You’ll need to choose your crops. Maybe heirloom tomatoes, zucchini and soy beans? Next, work the soil and make sure it’s ready for planting, then keep your fields clear of insects and blight. You’ll also want to decide on livestock. Will you have chickens, lambs, cows, pigs? There’s so much work to do on the farm, but you’ll get to work in the great outdoors, providing nourishing foods to your family and community.

3. Retail Store

Retail Business

Are you thinking of starting your own retail business? If so, you’re in good company. The retail industry is a huge part of the economy, and it’s only getting bigger. But starting a retail business isn’t easy. There are a lot of things to think about, from choosing the right location to setting up your payment system. And let’s not forget the most important step: deciding what you’ll be selling! 

A good way to choose your product offerings is to first do some research — see what’s out there, and more importantly what’s not. You’re looking for what sells well, as well as a market gap to fill.  Once you know your products, finding a great location for your store will be the next big step. However, you might want to initially run your retail business out of your home. This would significantly reduce your costs and give you time to build a brand and a reputation. 

After a year or two, assuming your products are well received by the market, you’ll be in a much better position to find a great location and run a successful retail outlet.

4. Art Gallery

Art Gallery

Are you passionate about art? If so, now might be the right time to follow your dreams and open an art gallery. The US art dealers’ market is worth $9 billion and growing, so the opportunity is there for the taking. Getting started isn’t as easy as drawing a stick figure, but nor is it as difficult as painting the Sistine Chapel.

First, you’ll need to decide which type of art you’ll focus on. It should be a genre that’s personally meaningful to you. Maybe you’re into 20th-century Russian art, or contemporary South American artists. Or maybe you’d prefer to highlight up-and-coming artists from your area. Alternatively, you could embrace several of these options, but it tends to be better for a gallery to build a brand focused on a certain concept or genre. 

Once you’ve nailed down your concept, you’ll just need to rent out a good space, start reaching out to artists and collectors and, last but not least, launch a major marketing blitz to promote your first show. Good luck!

5. Cake Making

Cake Business

Nearly six out of 10 Americans eat dessert after a meal at least once a week, and cakes are among the favorites. Cake consumption is growing steadily in the US despite the increasing preference for healthy food. Well, those with a sweet tooth always find an excuse to indulge in cakes. If you’re fond of baking and designing cakes, starting a cake business might be the perfect career choice for you. 

This type of business can be run from home so you can minimize your overhead cost. Once you’ve registered your business, you should find a reliable supplier of ingredients and supplies. Besides offering unique birthday cake designs, you might also want to introduce gluten-free and sugar-free cakes to cater to all kinds of customers. Keep yourself updated with the latest market trends and consider coming up with cakes in a box or tin can cakes. A cake business will require a lot of creativity, hard work and an effective marketing plan.

6. Lip Gloss Store

Lip Gloss Business

With over $18 billion in annual sales, the cosmetics industry is big and seeing strong growth. If you’re into makeup and style accessories, lip gloss could be the right venture for you. You could work from home and help women everywhere look good while grabbing a slice of this massive market. 

The first step is to choose products that fit your niche. Maybe you’d like to target a younger market with glitter-filled or fruit-flavored lip gloss? Or you might prefer a more established demographic, and choose sleeker, more subtle glosses. Next you’ll need to buy all the necessary materials and gloss-making equipment and brush up on your skills, possibly with a few of the many free online courses. One key hurdle will be gaining FDA approval, which is generally required for cosmetics business and may include lab testing of your lipgloss. 

But with FDA approval, you’ll be able to market your stunning lipgloss to a huge market, possibly on Etsy or Amazon, and could see steady sales almost from Day One.

7. Gift Basket

Gift Basket
Fabio Pagani / Shutterstock.com

One can never go wrong with a gift basket of wine, fruits, food, or flowers, whether it’s given to family, friends, or colleagues. It’s an excellent choice if you don’t know what the recipient likes or if you’re sending to multiple recipients. 

The versatility of gift baskets has kept demand high over the years, especially from the corporate sector. The US corporate gift market is predicted to cross $300 billion in revenue by 2024. If you’re an artistic entrepreneur, why don’t you grab this opportunity and start a gift basket business? It’s a great way to use your creativity and sell something that people will love.

Before you get started, it’s to your advantage if you choose a niche and craft your marketing strategy. Having a strong online presence is crucial to your success, so it’s a good idea to start developing your website and social media accounts as soon as you decide on your branding strategy. Of course, it’s important to make your business legally compliant so you need to work on your regulatory requirements as well.

8. Clinic

Clinic

Are you looking to start your own clinic business? It can be a great opportunity to help people in your community and earn an income as well. It’s a fast growing industry in the US, driven by an aging population that needs health care services. Total spending on physician and clinical services exceeded $800 billion in 2020. Even retailers are putting up walk-in clinics to provide convenience to its customers. Retail clinics alone are predicted to grow at least 3% per year through 2028.

The first step in starting your clinic business is to choose your niche. What kind of clinic are you looking to open? Is it going to focus on providing urgent care, or primary and preventive care? Is it going to be a mobile clinic? Who is your target market? You will find the answers to these questions as you do your research. Make sure to comply with licensing and insurance requirements. You will also need to be innovative in marketing your services to reach more prospective patients and achieve success.

9. Car Rental

Car Rental

As people book long-delayed holidays in the wake of the pandemic, the car rental industry is booming, with global revenues expected to double by 2027. With some hard work and determination, you could start your own car rental business and provide business and leisure travelers with the transport they need while grabbing your share of a growing $50 billion US market and making a good living.  

Keep in mind that this is a competitive market, which means you’ll need to find ways to stand out, such as with deep discounts or a unique selection of cars. Speaking of which, you’ll also need to lay out a sizable investment to get your initial fleet of four to five cars. Finally, it’s crucial that you meet all the licensing and insurance requirements or your business could face severe fines, or worse. But if you’re able to clear these hurdles, there’s a good chance your car rental business will soon be cruising down easy street.

10. Music Production Company

Music

If you’re passionate about making music, why not consider starting your own music business? Music helped a lot of people shake off the blues and cope with the massive disruption caused by the Covid-19 pandemic. Listening to music helps improve the mood, promote relaxation, boost creativity, and more. As millions of people turned to music, the recorded music industry soared to new heights and broke sales records. In the US, the industry earned nearly $15 billion in 2021, its highest annual revenues in history.

Starting a music business can be a fun and rewarding experience, but it’s important to determine what kind of music you will focus on. Artists can make money by selling their music, using social media, or creating branded content for clients. But first, you will need to build up an audience. Be creative and think of ways to attract a large following in social media and get them to view your videos. You’ll be competing with BTS but with some patience and hard work, it can be done!

11. Advertising Agency

Advertising

The global advertising industry is expected to steadily grow until it hits $1 trillion in 2026. If you want to corner a share of this massive market, you’re not alone. With a lot of creativity, a good team and efficient networking, you can start an advertising business and come up with clever and memorable ad campaigns. 

First, you must scout the right talents, train them and enhance their creativity. You will have to build up your brand to get ahead of the competition. You’ll also need to closely study the target markets, be ready with your marketing tools, and keep pace with the latest trends and technologies that could give you a competitive edge. Being curious about people and their daily lives would help in creating content that is relevant and up-to-date. Some of the best ad campaigns show slices of daily life. If you pay attention, you’ll be able to grab any opportunity that comes your way.

12. Insurance Agency

Insurance Business

Starting an insurance business can be a great way to make a profit while helping others plan for the future and hedge against financial losses. The global insurance industry has been growing, with revenues estimated to reach more than $6 trillion in 2025. Analysts believe the industry is poised for a more rapid growth as the world recovers from the pandemic. This could be the right time for you to start your own insurance business.

You can start small by setting up an office affiliated with a major industry player. Before you launch your business, you need to know your products well and focus on a niche market. Will you be offering property, health or life policies, among others? You’ll also need to consider the emerging technologies in coming up with business models. It would be helpful if you have actuary skills, some customer service experience and great networking skills. 

13. Beauty Supply Store

Beauty Supply

If you’re thinking about starting your own beauty supply business, you’re not alone. The US beauty industry has remained attractive even at the height of the Covid-19 pandemic, growing marginally after a drop in sales in 2020. The market is expected to increase to more than $19 billion in 2022 as consumer confidence improves and the economy continues to recover. 

Starting a beauty supply business can be challenging since there are so many different types of beauty products in the market. To make your mark in this highly competitive industry, choose a niche and develop a strong brand identity. You should make sure your brand is unique and engaging enough for your customers to notice it when they go on social media or visit their website. It is important to understand your target audience so that you can develop marketing strategies to reach them. Finally, make sure your products are approved by the FDA and that your business complies with cosmetics laws and regulations.

14. Payday Loan Business

Payday Loan Business

If you’re looking for a venture with high potential profits, then starting a payday loan business may be right for you. More than 12 million Americans take out payday loans every year, mostly to pay utility bills and rent. Payday loans are unsecured cash advances with high interest rates and short-term repayment demands. These are often linked to the borrower’s paycheck, although some lenders also release loans if they are certain of getting paid soon. 

A payday loan business is legal in most states, but some states regulate the practice while others prohibit it. Many states also have criminal usury laws to protect consumers and go after lenders who violate these. Before you open, it is important to check out your state’s regulations, including any policies that cap interest rates and require repayment schedules. To get started, you will need capital and a small storefront space where you can do business. As long as you operate legally and comply with all regulations, you’re bound to grow your business and make it successful.

15. Aftermarket Auto Parts

Aftermarket Auto Parts
Mahmoud Suhail / Shutterstock.com

If you’re an entrepreneur with a penchant for cars and auto repair, then starting an aftermarket auto parts business may be the perfect fit for you. It’s a thriving industry that offers plenty of room for growth. The US aftermarket automotive parts and components market was estimated at $17 billion in 2020. It is expected to post a steady 2% annual growth rate in the next five years. Aftermarket auto parts are generic parts that are used to replace damaged parts in automobiles. 

Before you start your aftermarket auto parts business, it is important for your business to be legally compliant. Many aftermarket parts are regulated while companies that make or import aftermarket parts are required to register with the government. You also need to be familiar with the guidelines issued by the Certified Automobile Parts Association. These guidelines require quality testing and compliance with safety standards. Keep in mind that using replacement parts may alter the coverage of an insured item.