Businesses To Start In California

Top 20 Best Businesses To Start In California In 2021

This article contains a list of the top 20 businesses to start in California.

California is the third-largest state in the United States, this makes it one of the best states to start your business because of the population of about 39.6 million.

California is the home to so many big and well thriving organization and business we know about, such as Apple, Intel, The Walt Disney Company, etc. and apart from that California has a good climate condition and a friendly environment that supports and encourage business because there are a lot of people to network with.

If you are looking forward to starting a business in California, you are definitely in the right place. In this article, I have compiled the 20 Best businesses to start in California.

How Much Does It Cost To Start A Business In California?

The cost needed to start up a business in California solely depends on the type of business structure, and the type of business you are doing.

Obviously, you need a start-up capital that will cover all the expenses you need to start. To know the cost, you can write it down on paper and do a proper estimation.

List of Top 20 Best Businesses To Start In California

There are many businesses to start in California. If you are looking for the best, this section will guide you appropriately.

1. Event Planning

Event Planning and Management is a very good and lucrative business to start in California. It is a creative business that allows for innovation and development of corporate or personal events such as festivals, Ceremonies, weddings, and so on.

As simple as it may sound, this business requires you to have good networking skills, to mingle with people, and good marketing skills to sell your service and with the 39.6 million people as your target market you are good to go.

With an Event Planning Business you can always start small, and eventually, build a team of people to work with as your business progresses.

2. Boutique

Are you are sophisticated individual? You may actually consider owning a boutique of your own. All you need to do is get a shop in a nice location or a business encouraging environment.

You get to sell fashionable clothes, shoes, bags and other accessories. Things you may also need to consider is getting a good and attractive boutique name, obtaining licenses and permits, and getting insurance.

Depending on your area of specification you may decide to sell men wears, women wear, children wears or all kind of wears. Starting a boutique in California is a very good idea and one of the most thriving businesses in California.

3. Photography Business

Photography Business is a very good and lucrative business that requires an individual to be very creative to establish him or herself in the business.

It is a very competitive business because a lot of people are actually into photography in California. So to stand out and create a name for your business you need to be unique in your photography business.

As a prospective photography entrepreneur, you should be ready to think of new ways of attracting potential customers through the service you offer. It can be a stand-alone business and also grow to be a very big photography organization.

4. Beauty Business

One thing you should know is that everyone wants to look good, so starting a beauty business can never be a wrong idea if you have the passion for it.

Do you have the passion to make people look their best? Do you have a very good and efficient skill in beautification? Staring a beauty business may just be right for you.

Beauty actually entails a lot, so in other for you to give your best at the service you render for a fresh start, you may need to specialize in a particular beauty service like Makeup, nails, tattoos, piercing, hair, etc.

The beauty business is actually a very competitive business in California, so to pave your way to the forefront of beauty Business in California you have to offer something outstanding, you have to make a unique name for yourself.

Like I said earlier everyone wants to look good, so the beauty business is everyone’s business, but you have to offer something of quality to gain the attention of everyone. It is indeed one of the best business sectors to venture into in California.

It doesn’t end at just starting a beauty business, you must learn the necessary tips to grow the business. Check out the 4 crucial tips to succeed in the beauty industry.

5. Baby Sitting And Daycare Service

Babysitting is absolutely a good business to venture into, especially for people who love kids and want to make an income from their passion for kids.

Starting babysitting or child care service actually pays well than most people think irrespective of if it’s a full-time or a part-time hobby.

Babysitting or Daycare service actually takes some preparation and thought. As you get started and have more clients, you actually earn more In California.

There are a lot of couples or parents who close from work very late and need a babysitter for their children, this set of people are actually the target market for every babysitting or Daycare service.

You can be a part-time babysitter or a full-time babysitter. The time you invest in the business is a key determinant of your business growth.

As an individual or group of individuals with the mindset of venturing into this business, a lot of positive values are expected from you and your team.

6. Electronic Repair

Do you have skills for repairing electrical gadgets? Do you want to make money from your acquired skill? Obviously, yes! Owning an electronic Repair business of your own is not a bad idea.

This is actually one type of business that gives room for individuals to start with what they have. You can start by renting a shop or a space to repair your gadgets and gradually expand to owning a large workshop of your own and having employees to ease the workload.

This is a profitable and thriving business as every family in California owns one or more electronic gadgets that will definitely need service or repair at one point in time.

To start this business you need to be customer friendly and also be good at what you do to get referrals and recommendations from your customers and also to create a name for your business.

7. Fast Food Business

No doubt, fast food business is one of the fastest-growing businesses to start in California. It is highly patronized by individuals every single minute of the day because it is the fastest way to satisfy hunger and the craving need for snacks.

Fast food is patronized at any hour of the day and by every and anyone, so you have the whole population as your target market.

Although it may be difficult to set up a fast-food restaurant and to determine or figure out what fast food to sell, it is also a creative business as individuals can actually come up with a new type of fast and tasty food to sell to their customers and can also decide to make it just the way the customer wants it.

If you like to bake and fry, you should consider opening a fast-food restaurant of your own. Some successful fast food restaurant in California includes McDonald’s, Primo Burgers, Mr. Tomato, Jack in the Box, Carl’s Jr. and so on.

8. Restaurant

This is a cool and good business to start in California. Although, starting up a restaurant maybe be expensive but at the end the profit generated is high.

There are actually thousands of restaurants in California, this makes it a competitive business. To make you restaurant unique, you have to be creative not only in the type of food you cook and how you cook it but also the way you serve, the interior design, the hospitality and even the price of the food matters a lot to attract and make potential customers.

9. Footwear Business

Another lucrative and profitable business to venture into is the selling of footwear of all types and kinds. This is one of the easiest businesses to venture into.

You can decide to sell brand-new footwear or fairly used footwear. Another interesting thing about this business is that it is very flexible.

You can have your wares displayed out for passers-by who are obviously potential customers to feed their eyes with and eventually make a choice on which one to buy or rent an enclosed space to keep your footwear.

This type of business is also pocket-friendly, as both the below and above-average people can actually get to patronize you.

10. Dry Cleaning And Laundry Business

This is a very creative business and one of the top competitive businesses to start in California that pays well, that is why new entrepreneurs in this business are constantly looking for new ways to create, innovate and package their service to stand out in the business.

This is obviously a big-time business to go into if you have the passion to make and keep people things clean. For you to stand out in this business you must offer a unique professional service to your customers.

11. Driving School

Also on our list of the top businesses to start in California is driving school.

Are you a good driver? Do you have a number of cars at your disposal? Have you thought of making cool cash with your driving skill? Do you know you can earn more than enough money by teaching people how to drive?

Opening a private driving school to help new drivers know how to drive, is a very good business that is highly profitable.

California requires both classroom learning (driver education) and behind-the-wheel training (driver training) for new drivers. To start a driving school, you need to obtain a license and other things needed.

12. Fitness And Gym Business

Fitness And Gym Business is one of the top businesses to start in California. You see Fitness centers almost in every place or estate you visit, be it a public or private organization.

Are you a fitness instructor? You can actually consider opening a fitness and gym center of your own to help people keep fit and stay healthy.

To start this business you need to put a lot of things into consideration. You must:

  • Have A Solid Business Plan
  • Obtain All Required Licenses
  • Employ Trainers
  • Get The Right Equipment
  • Have beautiful interior designs
  • Offer Member friendly relationship

Obviously, these aren’t things you do with little money, so to venture into this kind of business you must be ready to invest deeply before you start getting profit.

Fitness and Gym business is actually a very good business to venture into in California, so you can actually give it a try if you have the passion for it.

13. Dance Studio

If you love dancing, or you are a professional dancer, do you know you can teach the younger generation how to dance? You can open a dance studio and teach people how to dance with a fixed fee for the dance lesson.

In this type of business, you are doing what you love doing and also earning a good sum of money from it. If you love dancing, you can try this business idea out and sell your service effectively to the public to catch the attention of young people who are yet to discover their hidden talent.

14. Car Wash Business

This is a lucrative business where you offer service to people by washing their cars and getting paid for your job. For this kind of business, you need an open space for cars to be parked.

It requires little investment and skills but generates high profit.

15. E-Commerce

E-Commerce is also one of the top online businesses to start in California. E-commerce or Electronic commerce is a business that involves buying and selling on the internet. Online shopping business is easier, faster, and cheaper to start than a physical shop.

There are thousands of E-commerce businesses in California. It is a profitable business that generates high revenue. If you are an internet enthusiast, you can decide to start up an e-commerce business.

16. Catering Business

Another top business you could start in California is the Catering business.  For those that love baking and frying for friends and family, have you thought of a better or creative way to bake and fry but this time around In exchange for some good cash.

This is a very creative and profitable business in California. To venture into this you have to identify and know your target market, it may be schoolchildren, offices, events, and even all of the above.

You can start small at the convenience of your kitchenette, and deliver to your customers at their address or rent a shop to do your baking and frying and display them for potential customers to see.

You can also work hand in hand with event planners to get catering contacts for their events. This is a very competitive business in California, but once you are good at what you do, you will get a good bunch of customers at your doorstep waiting for you.

17. Electronic Trades

Selling electronic gadgets is actually a very good business to start in California. Every household will definitely need and opt to buy a household appliance at one point in time. So you can stock up your shop with appliances like iron, blender, washing machine, dishwasher and lot more.

It may be important to study your target market to know what appliance(s) they use the most or will be in need of at the long run, so you can stock your shop with it. This business requires huge capital for a start-up, but it is also highly profitable.

18. Grocery Store

Is there no grocery store or supermarket around your environment? Have you thought of a way to meet the immediate need of the people in your environment without them going a long distance to get food items, opening a grocery store is the best option.

A grocery store should contain a different variety of brands and products of food items, both fresh or packaged. It is a profitable and also a competitive business in California.

19. Graphics Design

This is a very good business to start in California. It is a flexible business that allows individuals to set their time and hours for working.

Individuals can also decide to work from home or have a work office away from home. As a graphics designer you should know how to attract customers through your graphics, your graphics must be simple and contain all necessary information, and not too wordy.

Your target market can be big organizations, companies, schools or even personal business owners who want to do graphics for their organization or business to create awareness to the public.

As a graphics designer, you can always start small with your phone laptop and eventually expand gradually and employ employees to ease you of the work when it becomes too much.  So it is not just a well-paying business but also in constant demand by society.

20. Logistics Company

Logistics is one of the top businesses to start in California. Starting up a logistic company is not a bad idea, this helps organizations transfer or transport goods and services from the point of origin or production to the point of consumption.

This might include transportation, shipping, warehousing, packaging, disposal, and security. Logistics company works in two direction, it helps in the distribution and delivery of goods to costumers and replacement of damaged goods.

Requirements To Start Up A Business In California

To start up a business in California, you need certain things in place. Below are the basic steps to follow to start up a business in California.

  1. Choose the business type you want to venture into
  2. Decide on a Legal Structure
  3. Choose a Business Name
  4. Register Your Business Entity
  5. Apply for California Licenses and Permits
  6. Pick a Business Location and Check Zoning Regulations
  7. Register and Report Taxes
  8. Obtain Insurance

How To Register A Business In California

To register your business in California, you must have a business structure you operate in and must have a business name before you will be able to register your business in California.

1. Legal Structure

The type of business structure you choose to form will determine how you register the business with the state.

Legal Structure includes sole proprietorship, general partnerships, limited liability companies (LLCs), and corporations.

2. Choose A Business Name

It is important you choose a name that is unique and has not been used by anyone else because your filing will be denied if you try to file for a name already in use.

You can do a domain name search or search the California Secretary of State’s business database tool to know if your business name already exists, so you can change it.

3. Register Your Business With California State

After you are through with the above steps, you will need to file your formation documents with the state, which will register your business with the state of California.

  • For California LLC: you’ll need to file the Articles of Organization with the California Secretary of State.
  • For California corporation: you’ll need to file the Articles of Incorporation with the California Secretary of State.

How Much Does It Cost To Register A Business In California?

The cost to register a business in California depends on the type of business you’re forming.

An LLC in California costs $70 to file Articles of Organization with the Secretary of State while forming a corporation in California, costs $100 to file Articles of Incorporation with the Secretary of State.

Where Do I Get A Business License In California And How Much Does It Cost?

You can get a business license through your local government in California, and the cost varies from one local government to another. To get a business license in California should cost between $50 and $100.


Now you are familiar with the top businesses to start in California and the necessary requirements needed to start a business, you can go ahead to make a decision and start your entrepreneurship journey.

No matter how difficult the beginning maybe, you can not just help but start a business to earn a living.

That is all on the top best 20 businesses to start in California.

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