If you’re starting an LLC in Texas, the business entity formation process is one of the first and most important hurdles. This step can beterribly ...
24 Best Business Ideas In Texas
Written by: Esther Strauss
Esther is a business strategist with over 20 years of experience as an entrepreneur, executive, educator, and management advisor.
Edited by: David Lepeska
David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.
Published on September 8, 2022
Updated on November 2, 2023
The Lone Star State is a place you can see real cowboys on their horses, though probably not in the capital city, Austin. Austin is widely considered the live music capital of the world, as it hosts thousands of annual concerts and has more live music venues than just about anywhere else.
Besides music and cowboy-related activities, a lot of other businesses thrive in Texas. You can open a salon or go into retail. You can also do photography or make furniture. We’ve put together a list of business ideas in Texas to help you decide what’s best for you. Check it out and get going!
Texas presents a fertile ground for manufacturing due to its robust infrastructure, including some of the nation’s largest ports, railroads, and highways facilitating efficient distribution. The state’s favorable tax environment, lack of corporate and personal income tax, and competitive energy costs make it financially appealing for manufacturing operations. To kickstart a manufacturing business here, zero in on an industry niche where Texas has a supply chain advantage, ensure compliance with local regulations, and take advantage of state-sponsored incentives such as the Texas Enterprise Fund.
2. Rental Property
The rental property market in Texas is booming, thanks to a growing population and a strong job market driving demand for housing. Cities like Austin, Dallas, and Houston are experiencing an influx of new residents and businesses, creating opportunities for rental property owners. Before diving in, conduct thorough market research to choose the right location, familiarize yourself with Texas property laws to ensure compliance, and build a network of reliable contractors to maintain your properties efficiently. Establishing a good relationship with a local real estate network can also provide a vital pulse on market trends and investment opportunities.
Texas’ strategic location as a central hub with access to the NAFTA highway and its border with Mexico makes it a prime spot for a wholesale business, capitalizing on international and interstate trade. Its large, diverse economy can sustain a variety of wholesale niches. When starting, focus on building a solid relationship with manufacturers and understanding import/export regulations. Additionally, take advantage of Texas’s various free trade zones to potentially reduce operational costs. Strong logistics and a detailed business plan tailored to the Texan market are crucial for success in this sector.
4. Health Care
With an aging population and a large, diverse demographic, health care in Texas is a sector ripe with opportunity. The state’s population growth surpasses the national average, indicating a continuous demand for health services. For entrepreneurs, aligning with Texas’ health care incentives and securing a network of qualified medical professionals is key. It’s essential to navigate the complex web of healthcare regulations and insurance with due diligence. Moreover, focusing on technological integration can set your venture apart in this competitive landscape, where telemedicine and mobile health services are becoming increasingly prevalent.
Texas’s dynamic and disaster-prone climate, from hurricanes to hail storms, creates a substantial market for insurance products. Moreover, the state’s booming population and diverse economy offer a vast customer base for health, auto, property, and life insurance. When entering the insurance sector, obtain the necessary state licenses and stay abreast of Texas-specific insurance regulations. It’s also vital to invest in strong actuarial data and customer relationship management systems to accurately assess risk and maintain customer satisfaction in a state where weather and health profiles vary widely.
Retail thrives in Texas due to its large and growing population, coupled with a high consumer spending rate. The state’s favorable business climate and diverse metropolitan areas offer retailers a competitive market with various consumer needs. Start by identifying your niche, focusing on areas with growth potential like e-commerce integration or catering to the unique demographics of specific Texas regions. Building a strong online presence can complement a physical storefront, allowing you to tap into the wider Texas market. Remember, the key to retail success is location, understanding local consumer behavior, and agile adaptation to market changes.
The health-conscious population and the trend towards fitness in Texas, especially in urban centers like Austin and Dallas, offer great prospects for gym businesses. Texas also boasts a younger demographic that values fitness, providing a steady client base. When starting a gym, choose a location with high foot traffic and minimal competition. It’s also critical to leverage social media marketing to attract the fitness community and invest in high-quality equipment and diverse classes to cater to varied fitness preferences. Remember, offering flexible membership packages can be a significant draw in a state with a wide economic spectrum.
8. Construction Company
The construction sector in Texas is robust, driven by both the residential boom and commercial development, particularly in the state’s expansive metropolitan areas like Houston and Dallas-Fort Worth. Launching a construction company here requires staying current with Texas’s building codes and regulations. Strong networking skills to connect with subcontractors, suppliers, and real estate developers are vital. Additionally, there’s a continuous need for innovation in sustainable building practices, which can set a new company apart in a state that values energy independence and innovation. Efficient project management and a solid understanding of the local real estate market dynamics are essential for long-term success.
Texas’ diverse and food-loving culture creates an inviting environment for new restaurants. The state’s strong economy and tourism industry can provide a steady stream of customers. Starting a restaurant in Texas requires a keen understanding of local tastes and preferences, as well as a concept that stands out in a competitive market. Prioritize location and local sourcing to tap into the Texan pride in local businesses, and focus on building a robust digital presence for marketing and reviews. Streamlining operations and ensuring top-notch customer service will help in capitalizing on the Texan appetite for dining out.
10. Barber Shop
In Texas, a state known for its attention to personal appearance and style, a barber shop can capitalize on a steady demand for grooming services. The diverse demographics offer potential for a range of barbering niches, from luxury to budget-friendly services. Starting one requires mastery of the trade, compliance with Texas Department of Licensing and Regulation (TDLR) standards, and a strategic location, preferably in an area with high visibility and traffic. Creating a welcoming atmosphere and fostering community connections can turn first-time visitors into regulars. Remember, Texans value quality service and a personal touch.
Texas has a growing craft beer scene, with an appreciation for local breweries offering unique and flavorful beers. The state’s favorable business climate and large, varied population mean there’s a market for different types of beer, from ales to lagers to experimental brews. When starting a brewery, it’s crucial to understand the specifics of Texas Alcoholic Beverage Commission (TABC) licensing and to secure a location that complements your brand, whether it’s in a trendy urban area or a scenic rural spot. Building a strong brand story and engaging with the community through events can create a loyal customer base in a state that values local entrepreneurship.
12. Pool Cleaning
Texas, with its hot climate, leads to a high concentration of residential pools, making pool cleaning services a necessity for many homeowners. Additionally, the state’s year-round warm weather means a longer operating season compared to other regions. When launching a pool cleaning business, ensure you’re certified in pool maintenance and chemical handling as per Texas regulations. Building a reliable service schedule and offering maintenance packages can provide steady income. Establishing trust through exceptional service is key, as word-of-mouth can be a powerful tool in community-focused Texas neighborhoods.
13. Professional Organizing
With the rise of minimalism and efficiency in personal and professional spaces, professional organizing is becoming increasingly popular in Texas, particularly in affluent and urban areas where residents might be willing to pay for such services. To establish a professional organizing business in Texas, it’s crucial to understand the organizational needs and culture of your target market, whether they are businesses or busy homeowners. Certification from a recognized organization like the National Association of Productivity & Organizing Professionals can lend credibility. Networking and leveraging social media can be particularly effective strategies for growth, as before-and-after transformations can be powerful advertisements of your service’s impact.
14. Dry Cleaning Service
The demand for dry cleaning services in Texas remains robust, supported by a large professional workforce and a culture with a strong penchant for formal and business attire. To embark on this venture, it’s wise to pinpoint locations with high concentrations of professionals, like near business districts or upscale neighborhoods. Emphasizing convenience with services like pickup and delivery can set you apart in the Texan market, where time efficiency is highly valued. It’s also important to stay compliant with the Texas Commission on Environmental Quality regulations regarding the use of chemicals and waste disposal. A commitment to customer service and a focus on eco-friendly cleaning options can further enhance your business’s appeal.
15. Stationery Business
The stationery business in Texas can tap into a range of markets, from the booming wedding industry to the substantial educational sector. To gain a foothold, it’s important to offer products that stand out, whether through custom design services or by sourcing unique, high-quality items. Location matters, so consider setting up shop near commercial centers or within proximity to schools and universities. In addition, an online storefront can significantly extend your reach beyond local consumers. Given Texas’ size and economic diversity, also consider the potential for B2B sales, providing customized stationery for corporations and small businesses.
16. Real Estate
Texas’ expansive land and significant urban development make real estate a prime business opportunity. The state continues to attract a mix of domestic and international investors, thanks to its economic resilience and lack of state income tax. If you’re venturing into real estate, focus on building a network of contacts within local markets and staying informed on zoning laws and property taxes which can vary widely by county. Diversify your portfolio to cater to different segments, including commercial, residential, and land development.
17. Hardware Store
Texas’s consistent growth in both residential and commercial construction sectors provides a solid customer base for hardware stores. When starting a hardware store, consider a location that isn’t oversaturated by big-box retailers and where you can fill a niche for customer service and specialty products. Establishing relationships with local contractors and offering delivery services can provide a competitive edge. Staying attuned to the DIY trends and the needs of the local community, and stocking accordingly, can make a hardware store an indispensable part of the Texas economic ecosystem.
18. Food Trailer
The vibrant and diverse culinary scene in Texas, combined with its many festivals, fairs, and outdoor events, presents a ripe environment for food trailers. Texan cities like Austin are known for their food truck parks, reflecting the population’s appetite for diverse and accessible dining options. When starting a food trailer, focus on a unique, high-quality menu that stands out, comply with health and safety regulations specific to Texas, and be strategic about location — positioning yourself in high-foot-traffic areas or near entertainment venues. Effective use of social media for location updates and customer engagement can also drive success in this mobile business.
19. Coffee Cart
Launching a coffee cart business in Texas can thrive in bustling urban areas, where people appreciate a quick caffeine fix on the go. Ensure your cart is strategically placed near offices, universities, or transportation hubs to capture a steady flow of customers. Emphasize quality beans and a variety of brews to cater to different tastes, and consider offering snacks or pastries to complement your coffee offerings. Building a strong social media presence can help you connect with your audience and promote daily specials or seasonal drinks to keep customers engaged.
20. Beauty Supply Store
A beauty supply store can find success in Texas, catering to the diverse population’s beauty and grooming needs. Consider opening in a location with a mix of residential and commercial foot traffic, such as near shopping centers or salons. Stock a wide range of beauty products, including those tailored to different ethnic backgrounds, and stay updated with beauty trends and innovations. Engage with the local beauty community through promotions, partnerships with salons, and social media marketing to build a loyal customer base. Adhering to regulations on beauty product sales and licensing is crucial for compliance in Texas.
21. Gutter Cleaning
Starting a gutter cleaning business in Texas can be lucrative, especially in areas with numerous residential properties and heavy rainfall. To succeed, invest in quality equipment and safety training for your team. Marketing your services during the rainy season and offering maintenance packages can help attract and retain customers. Building partnerships with local roofing companies or property management firms can also provide a steady stream of work. Ensuring that your business is properly licensed and insured is essential for safety and credibility in the Texas market.
22. Nail Salon
The nail salon industry in Texas offers opportunities due to its fashion-conscious and diverse population. Selecting a strategic location in a shopping center or urban area with high foot traffic can be a key factor for success. Prioritize sanitation and hygiene, as well as staying updated with the latest nail trends and techniques to attract a loyal customer base. Building an online presence through social media and online booking can help you reach a wider audience, and forming partnerships with nearby businesses can drive customer referrals. Adhering to Texas licensing and safety regulations is crucial to operate legally and maintain trust with clients.
23. Daycare Center
Opening a daycare center in Texas can be a promising venture, given the state’s family-oriented culture and the need for reliable childcare services. Choose a location in proximity to residential areas with working parents, ensuring compliance with state licensing requirements and safety standards. Offering flexible hours, early childhood education programs, and a nurturing environment can set your daycare apart. Building trust with parents through open communication and positive reviews is key in this competitive industry.
24. Pet Store
A pet store in Texas can thrive, given the state’s pet-friendly culture and the growing demand for pet supplies and services. Locate your store in areas with a high density of pet owners, like suburban neighborhoods or near parks. Diversify your inventory to cater to various pet types, from dogs and cats to reptiles and birds. Providing exceptional customer service and knowledgeable staff can help you build a loyal customer base. Engage with the local pet community through events, adoption partnerships, and social media to establish a strong presence. Comply with state regulations related to pet sales and animal welfare to ensure ethical and legal operation.
24 Best Business Ideas In Texas
Subscribe to Our Newsletter
and gain insider access to cutting-edge business insights and trends.
7 Best LLC Services in Texas
Published on August 13, 2022
How to Start an LLC in Texas
Published on March 18, 2022
Taking the entrepreneurial leap and forming a Limited Liability Company (LLC) in Texas is an enticing option for many aspiring business owners. T ...
How to Choose a Business Structure
Published on September 26, 2021
Starting a business can be stressful, even overwhelming. The last thing you need is one more issue to think about, but you really should take thetim ...