Small Business Ideas in Sri Lanka: Top Opportunities for 2024

Due to the increase in the cost of living in Sri Lanka, most people realise that their primary source of income is not enough to cater for their expenses or save for the future.

This economic pressure has made people look for other sources of income through side hustles and small businesses. Starting a small business not only offers an opportunity to have another source of income but also an opportunity to make it a full-time business and be an employer of your own.

This article looks at some of the most promising small business opportunities in Sri Lanka, where you can begin with little capital and based on your skills and passion.

Related: How to Start a Business in Sri Lanka: The Ultimate Reference

1. Fresh Flower Business

The need for fresh flowers has increased in Sri Lanka, especially for occasions such as weddings, functions and other ceremonies. It is possible to start a fresh flower business and make good money out of it if you have a space at home where you can grow flowers. You can sell flowers to event management companies, and wedding planners or even venture into a flower bouquet-selling business. This business does not need a lot of space and capital, which is why it is perfect for people who love gardening and have a good sense of aesthetics.

This small-scale business in Sri Lanka enables you to meet this growing market need while operating from the comfort of your home.

2. Small-Scale Farming

For those who own a backyard or a small piece of land, it is possible to start a small farming business and earn money. Since people are now more conscious about the food they consume, farming vegetables or even rearing chickens for eggs can be very profitable. Especially eggs have been in high demand and most of the time local production does not suffice leading to import. You can start a small farm and sell eggs and produce in the market or through agents and as your business expands you can expand your business.

This is one of the best small investment opportunities in Sri Lanka that needs commitment and a little space to begin.

3. Brokering Services

The business of brokering services like renting a house or a car, or buying and selling a house or a car is a low-investment business idea that mainly involves networking. You can make money by simply creating lists of properties, cars, or any other products that are available for sale and get paid for every sale made. This business can be run solely online, with the help of websites such as Ikman.lk or social media to reach out to potential clients.

Being a self-business idea in Sri Lanka, brokering services do not need much capital investment and can be expanded as the number of people you know increases.

4. Home Gardening and Cultivation

Another profitable small business opportunity in Sri Lanka is home gardening which makes use of your backyard space. Tomato, ginger or chilli can be grown and used to feed your family while the excess can be sold in the local markets. This venture not only offers a long-term solution to cutting down your grocery bills but also caters for the increasing market demand for organic and locally grown crops. If properly informed and committed, home gardening can turn into a significant source of income.

5. Homemade Food Shop

Food businesses that prepare homemade food are gradually gaining popularity in Sri Lanka, particularly among people who want to eat healthy and customized foods. With homemade sweets, savouries, and cakes, you can supply local events, parties, and even daily customers. Most people like homemade foods because they are original and cleaner than commercial products. You can also look for other ways of selling your products such as partnering with shopkeepers in your area to ensure that you have a constant source of income.

This home business idea for ladies in Sri Lanka is quite suitable, as it offers flexibility and the possibility to be creative in the kitchen.

6. Freelancing

Freelancing is a flexible and scalable business model for those who have skills in such fields as graphic design, web development, video editing, or content writing. Freelance websites such as Upwork and Fiverr enable you to market your services to clients from all over the world. Freelancing can be a part-time job and can be developed into a full-time job depending on the amount of work and clients one has.

This small business idea in Sri Lanka does not require a lot of capital investment to start and can be done based on your existing skills hence it is a low-risk business venture with high returns.

7. Tutoring Services

Tutoring can be a rewardable source of income if you are good in a certain subject and you are fluent in speaking. The need for quality education has increased and many parents are willing to spend more money on extra tuition to ensure their children do well. You can provide tutoring services in person or remotely, targeting one student or a group of students. Due to the advancement in technology and the current pandemic that has forced most institutions to adopt online learning, tutoring has become more flexible for both the tutor and the tutee.

This business idea in Sri Lanka is not only profitable but also allows you to help students change their lives.

8. Food Truck Business

The food truck business has been on the rise in Sri Lanka especially in the urban regions. Food trucks are a type of mobile restaurant and can be relocated to other areas depending on the traffic. Compared to a standard restaurant, the initial investment is significantly lower, and you can easily adapt to the market and change your menu. Whether you are interested in selling local food, snacks or international meals, a food truck is a good way to start in the food business.

This small business idea in Sri Lanka is suitable for people who like to cook and communicate with customers on the move.

9. Dropshipping

Dropshipping is a new small home business opportunity for Sri Lanka that enables you to sell products online without having to stock them. When you work with suppliers who deliver products to consumers, you can concentrate on advertising and consumer relations. This business model does not need a lot of capital to start and with the help of Shopify, one can easily open an online store. Digital marketing techniques will help you to attract customers and grow your business at a very fast pace. It is suitable for those who want to start a business with little capital and the possibility of earning big profits.

10. Photography Services

Wedding and event photography is one of the most competitive and profitable businesses in Sri Lanka. If you are good at taking pictures, you can start taking pictures at weddings, events, and before the wedding events. Some photographers set very high prices for their services, and happy customers mean more business through word of mouth. This business idea in Sri Lanka relies heavily on referrals, which means that the customer is central to your strategy. Photography is a form of art and at the same time, business if done with the right skills and equipment.

Conclusion

It is possible to start a small business in Sri Lanka and use it as a source of extra income before going fully into business. From flowers and farming to freelancing and food trucks, there is a business idea for everyone out there. But as with any business, it is important to do your homework, write a good business plan and make sure you have what it takes to make it work. Patience and commitment will enable your side business to become a successful business venture.

If you are willing to go to the next level, incorporating your business as a private limited company has many advantages such as legal and recognition. We are a team of professionals who are well experienced in the registration of private limited companies in Sri Lanka and we ensure that the process is as easy as possible. Contact us now for a free consultation with our specialists and let us assist you in creating a solid base for your business!