Which business boasts the highest markups? In this selection, we have collected 14 business ideas where the margin can reach 300%, 1000% and even 4000%.The markup on a product can be high in almost any type of business. Especially when it comes to the sale of branded, designer and other items that claim any kind of exclusivity. But some goods have a high margin purely due to physical reasons – their cost is initially low due to the cheapness or small amount of materials used in production, which allows not only manufacturers, but also resellers to earn money, winding up to 300% and more. Separately, it should be said about public catering, where a markup of 300-400% is found almost everywhere, so 500-800% can be considered a high markup here.
Profitable business 1. Production of church candles
Perhaps you will be surprised, but the product with one of the highest margins is … paraffin church candles. Yes Yes. The trade margin on them can reach 3000%, since the cost of one candle is only a few kopecks. Although candles are the most marginal product, you need to understand that the production of church candles can hardly become manna from heaven and make an entrepreneur rich. The market, as they say, has been “divided” for a long time, and without connections with representatives of the church, it will be almost impossible to promote your products to churches.
Profitable business 2. Selling underwear
Such a category of clothing as underwear is distinguished by a large mark-up. Even if a lingerie store operates in the middle price segment, the usual margin is 200-300%. This is due to the low cost of production, minimal storage and transportation costs. If underwear is positioned as designer underwear, then the margin immediately soars to 1000-1100%. A reasonable margin limiter is only a high level of competition. Despite the fact that lingerie is the most marginal product, there are a lot of lingerie stores, especially on the Internet.
Profitable business 3. Optics salon
The average mark-up for glasses made according to a prescription in optics stores is about 200% and can reach up to 300%. Among the range of optics in terms of margins, the leader is the frame for sunglasses – which can reach 1300%. Entrepreneurs note that another advantage of the business idea is the small size of the product, which does not require renting large areas.
Profitable business 4. Sale of cotton candy
Selling cotton candy is an activity that does not require any excessive efforts or skills from you. In addition, cotton candy is the most marginal product, the margin for which exceeds 4000%. If you sell cotton wool as a set with freshly squeezed juices and snacks, you can increase the profitability of the outlet.
Profitable business 5. Selling popcorn
If you’re looking for a high markup business, look no further than popcorn. Just two tablespoons of “raw materials” can give you a liter volume of the finished product. Popcorn is one of the most marginal commodities. The margin for popcorn averages about 600-700% and reaches 1500%. At the same time, investments are low – you can start selling from a small tray with a popcorn machine worth 10-20 thousand rubles.
Profitable business 6. Selling jewelry
A normal margin for jewelry can be considered the level of 200-300%, although some entrepreneurs bring it up to 1000%. Costume jewelry is a product of impulsive demand and sells well in crowded places, such as shopping malls. There is no need to open a large store – an island format point will suffice. The average purchase check is 500-700 rubles.
Profitable business 7. Coffee house
Drinks are traditionally one of the highest margin positions in the menu of cafes and restaurants. A mark-up of 300-400% is a fairly common phenomenon, and due to pastries and desserts (all kinds of donuts, muffins, waffles with toppings), the final mark-up can easily increase to 600%. The business is attractive due to the abundance of formats for any budget (you can open in the form of a regular full-scale coffee shop , a coffee-to-go outlet , a mobile coffee shop , engage in coffee vending , etc.), as well as the growing consumption of coffee.
Profitable business 8. Wedding salon
Wedding dresses are one of the highest markups in the clothing world. The cheat here can reach up to 300-500%. This is due to the general margin for a wedding, which happens “only once in a lifetime”, and for which “no money is a pity”. An equally large margin is set for all kinds of related wedding accessories and attributes, including costume jewelry, jewelry, wedding photo albums, wine glasses, and more.
Profitable business 9. Sale of garden figures
A large margin (about 250%) can be set on plaster figures, which are used to decorate gardens and household plots. This business is attractive due to the simplicity of the technological process and its small investments – 228.5 thousand rubles will be enough to open its production, which can be recouped in 5 months. work.
Profitable business 11. Flower shop
A flower shop is a business that does not require any serious business processes and hiring a large number of employees – it is only desirable to find a shift, or you can even work on your own. And although flowers are not the most marginal product, they have a rather large margin which can reach 300%. To open a small flower shop with an area of about 20 square meters. meters will require about 330 thousand rubles, but if you wish, you can start even more budget and on a smaller area. You can recoup such investments within six months of work, the net profit of flower shops varies from 50 to 110 thousand rubles. The disadvantage of such a business is the pronounced seasonality of demand.
Profitable business 12. Selling ice cream
Ice cream is considered a treat with a high mark-up level, the normal markup for which is about 200%. There are many business formats – a full-fledged store, a counter, a counter or an island in a shopping center, a trolley, a microvan, and even … a boutique. According to the owners of ice cream parlors in the shopping center, the markup for loose ice cream in cups ranges from 400 to 1000%.
Profitable business 13. Waffle fast food
To prepare waffle fast food (Belgian waffles), a waffle iron is enough, which can be purchased for less than 5 thousand rubles. Due to the low cost of the dough and the small amount of fillers, the mark-up for wafers is 600-1000%.
Profitable business 14. Pancake cafe
Pancakes are a product that is easy to prepare, but extremely promising in its capabilities. You can fill the pancake with anything, and this leaves a wide scope for culinary creativity. Your business selling pancakes is attractive with low investment in equipment (you can buy a professional pancake maker for two surfaces for 15 thousand rubles) and the ability to make markups on marginal goods up to 300-400%. Approximately the same markup is set for pizza.
Profitable business 15. Smoothie bar
To open your own smoothie bar in the format of an island of 5-6 sq. meters in the shopping center will require about 465 thousand rubles. and he will be able to bring about 80-100 thousand rubles. per month. The advantages of smoothie bars include a relatively free niche, small investments, the simplicity of the technology for preparing drinks, the fashion for smoothies, and as a result, a high margin that can reach up to 1000%.