Starting or investing in a new business is an exciting time. Whether you’re an experienced entrepreneur or taking your first steps, there are great opportunities for success out there.
To make your journey to business ownership a little smoother, we’ve put together a list of some high-profit types of business which have the potential for growth in Australia in 2024. We’ll be taking a look at the market, earning potential and current trends in these sectors to give you a foundation for your entrepreneurship journey.
Playing to your strengths and investing in a business that aligns with your skills and philosophies is always a good idea, but remember - no business is without its risks. You should always do your own research before you decide to invest, but these ten ideas can give you some inspiration to get started.
Most profitable businesses in 2024
Food trucks, as the name suggests, are food service businesses that operate out of a specially fitted truck - and are a growing trend in Australia. Food trucks frequent food festivals and markets, and many also serve certain areas within cities and towns.
The food truck industry has seen massive growth in Australia: it is now estimated that more than 5,000 trucks operate across the country. The industry is growing at a rate faster than the conventional restaurant sector. In just a two year period, the number of food trucks operating in Melbourne doubled.
The business model has proved attractive due to both its lower overhead costs when compared to a bricks and mortar establishment, as well as its versatility to test culinary ideas and move between locations.
Subscription-based services can be a broad industry, encompassing everything from clothing, food boxes, software and streaming service subscriptions. The growing demand for subscription services has been particularly evident over the last decade. While in the mid-2010s roughly 50% of Australians over 18 had a paid subscription service, by 2022 this number had skyrocketed to 80%.
The pandemic saw a particular rise in the use of subscription services, and while the restrictions of Covid have significantly eased, subscription services have maintained their strength in the market.
Startup costs can vary depending on the type of subscription service on offer, but they can be a lucrative business model, with some subscription service companies earning profits in the millions.
Social Media Marketing
Social media marketing can be a great option for those looking for a small business idea that can be done from anywhere. It involves working with brands to build their presence and promote their products and services via social media channels.
With studies finding that the buying decisions of 80% of consumers are influenced by social media content, successfully promoting brands in this space is big business. Well regarded social media marketing specialists have an earning potential of between $80,000 and $105,000 per year, and social media represents one of the marketing sector's fastest growing segments.
Elder care can cover a broad range of activities, from comprehensive care services to assisting with tasks such as cleaning, socialisation or grocery shopping. Recent reports found that older Australians are wanting to receive care in their homes in growing numbers.
While support worker roles at the entry level currently don't legally require formal qualifications, more specialised roles within the sector often do. For example, working as an aged care nurse requires formal nursing training. Screening checks, that assess things like criminal backgrounds, also normally have to be considered.
The hourly rate for those working in aged care services in Australia ranges from $22-$31 an hour, making elder care services one of the stronger business opportunities for those with a background in the health and social care sectors.
With a growing concern regarding environmental protection, it may come as no surprise to find sustainable e-commerce on our 2024 collection of the most profitable businesses. While e-commerce is becoming an increasingly competitive market, it is also a sector with increasing demand. Australia is the 11th largest e-commerce market in the world and has experienced a 15.5% growth rate year-on-year.
Earning rates for sustainable e-commerce can vary greatly depending on the products being sold and the size of an organisation, but studies have found that over half of the Australian consumer body will pay more if a product is clean, green and ethically made.
Childcare services, ranging from private nannying and individual childcare to the running of daycare establishments, have long been a popular business venture, and with good reason. The revenue of the childcare industry grew by 1.8% between 2018 and 2023. It is expected to continue rising over the next five years, to reach a revenue of $17.2bn by 2029.
Profits are, of course, influenced by factors such as location and facility size, so it is important to conduct thorough market research. Many childcare centres report profit margins of 10%-20% and revenue in the $50,000-$200,000 range.
Some areas, including Brisbane CBD, Alice Springs, and Schofields have seen particular demand for childcare facilities.
In the modern age, cybersecurity is at the forefront of many company's operations and, as a result, cybersecurity consulting offers a unique opportunity for a successful business.
Revenue in the cybersecurity market grew by $2 bn over a five year period and with technology being further adopted across the corporate world, the field is expected to continue growing in the coming years.
Those working in cybersecurity consultancy roles can enjoy lucrative benefits, with average earnings coming in at $100,000-$190,000 per year.
With its famously high-value real estate market, obtaining a licence and getting in on the action of buying and selling on Australia's property market can prove to be a high-profit business idea.
For those seeking a somewhat more secure venture, the job growth for real estate agents over the next half-decade is projected at 9.5%, meanwhile overall property value went up by over 8% in 2023. The typical earnings for a realtor come in at the $100,000 mark, although this is often paid on commission structures.
Tutoring is a good option for those that have expertise in a certain area or field. Private tutors work with everyone from primary school children to university students, providing extra academic help in specific fields or across an overall academic curriculum.
Tutoring can be a great way to earn some extra cash, with hourly going rates usually averaging between $20 and $120 depending on experience and the topics being covered. It is an expanding market, with a projected growth rate of 13.6% and is expected to experience particularly strong growth over the course of the next two years.
Ready to start your journey into business ownership?
Choosing the right business is vital in finding entrepreneurial success. All of the business ideas we've mentioned in our guide to the most profitable businesses 2024 offer great opportunities for expanding into growing sectors.
It is important to consider the startup capital required to start a new venture and ensure you have the funding secured to finance it. When determining startup costs, many experts rely on the rule of thumb that a business needs to be able to survive without making a profit for at least the first twelve months. To make financing for the purchase of a new venture a little bit easier, we’ve created finance guides to help you understand the world of business financing.
Similarly, it's important to play to your strengths when starting a new small business. If you have certain skills or qualifications in a specific area then building a business around these can be a lucrative idea. On the other hand, starting a business in a specialised field that you have no background or training in can create an uphill battle.
Our startup guides help to cover some of the basic dos and don'ts when expanding or starting out in the world of entrepreneurship.
Excited to get your business journey started? Be sure to take a look at the thousands of profitable businesses for sale on our site today to start your next business empire.
What are the most profitable businesses in Australia?
Some of the most profitable industries in Australia include sectors such as finance, iron ore mining and healthcare services.
What kind of online business is most profitable?
Online businesses offer a highly lucrative opportunity. Some with high earning potential include offering writing services, subscription services and marketing, as well as virtual assistance services.
What small business has the highest profit margin?
Businesses with the best profit margins are generally those with low startup costs and proportionately low running costs. As such, businesses in the tech space often report high profit margins. This includes things like app development, cybersecurity, and online dating sites.
What is the easiest business to succeed in?
There isn’t one business that can be defined as the easiest to succeed in, instead it is about finding the right business for the right marketplace.