If you decide to start a service business, the first step is finding the right service business idea—one that fills a need in the marketplace while playing to your strengths as an entrepreneur.
If the ability to easily personalize services, scale with customer demand, and quickly start up with minimal overhead costs are appealing, starting a service-based business may be for you. You’ll have the freedom to be your own boss and choose the clients you work with and the hours you work.
If you’re considering starting your own business, this industry might be for you. Read on for service business ideas and how to get started.
What is a service business?
A service business is a type of company that completes tasks for customers, rather than producing products. They sell time, labor, and expertise to fill the needs of their customers. Examples include services like marketing and content creation, as well as physical services like cleaning and hairdressing.
The service sector is the largest economic category in the US, beating raw materials and manufacturing. Industries that fall under this category—including health care, professional, and hospitality services—collectively employ the most people.
Why start a service business now?
Service businesses offer advantages that other business models don’t, particularly:
- Low overheads. Unlike a product business that typically requires product development and inventory, you can start a service business with minimal startup costs. You’ll only need the basics: a laptop, insurance, and marketing budget.
- High profit margins. The main expense for service providers is time. As your knowledge and experience grows, you can increase your rates without dramatically increasing expenses. Chloe Sapienza, founder of Telescope, says that productizing the company’s corporate gifting service helped it increase revenue by 200%.
- Flexible formats. Most services can be booked around your own schedule. You choose how many clients to take on, the type of services you offer, and how often you work. This makes them great business ideas for parents or retirees.
- Speed to launch. In many cases, a basic website and a way for clients to contact you—for example, through an appointment booking app—is all you’ll need to start a service business.
Most profitable service businesses to start
For many entrepreneurs, revenue potential is the most important factor when deciding whether to start a business. But you’ll need to subtract the cost of doing business from your total revenue to draw as profit.
Here are some of the most profitable service business ideas to get you started:
| Service business idea | Startup costs (out of 3) | Average rates |
|---|---|---|
| SEO consulting | 💰💰 | $65 to $250 per hour |
| Online business coaching | 💰💰💰 | $85 to $170 per hour |
| Freelance data analyst | 💰💰💰 | $13 to $61 per hour |
| Social media marketing | 💰 | $15 to $150 per hour |
| AI prompt engineering | 💰💰💰 | $25 to $76 per hour |
| User-generated content creation | 💰 | $50 to $100 per hour |
| Doula and birth coaching | 💰💰 | $35 to $75 per hour |
| Event planning | 💰💰💰 | $17 to $45 per hour |
| Makeup artist | 💰💰 | $15 to $80 per hour |
| Cleaning services | 💰 | $30 to $100 per hour |
Service business ideas by category
- Marketing and digital services
- Personal and wellness
- Cleaning and maintenance services
- Home and property maintenance services
- Family and education services
- Administrative and professional services
- Technology and IT services
- Fashion and beauty services
- Event and hospitality services
- Creative and content services
Every service business is different, but here are some of the main types of service business ideas to consider based on your own strengths and interests.
Marketing and digital services
Individuals and companies with experience in digital marketing have the opportunity to make money in this growing ecommerce market. According to one study, global ecommerce sales are estimated to reach over $7.8 trillion by 2028.
Businesses can outsource and refine their marketing efforts by hiring specialists in areas like content marketing and social media marketing.
Examples of marketing service businesses include:
- Social media management. Companies pay social media managers for their understanding of how to create high-performing social media posts on a variety of popular platforms. Becoming a social media consultant takes time and training, but no formal education or certification is required.
- Copywriting. Copywriters create written content for paying companies who need material for their advertisements, website, blog posts, email marketing campaigns, and technical manuals.
- Search engine optimization.SEO is a marketing strategy focused on improving the rankings of websites on search engine results pages (SERPs). SEO experts offer their experience to paying clients who need help with SEO techniques like keyword optimization, link building strategies, meta tags, image optimization, and website speed. You can take free online courses, start an affiliate site to practice SEO, then sell consulting services for as much as $5,000 per month.
- Market research. Marketing consultants can offer market research services to companies who want to learn more about the demand and viability of a particular product or service within a certain geographic area, demographic, or marketplace.
Online consulting services
Consultants get paid to share their advice and expertise in a particular area.
For example, if you’re a marketing expert, you could start a consulting business that walks small business owners through how to use social media or optimize a website without actually doing the work yourself.
Other online service business ideas you can start in this category include:
- Virtual business coaching. New entrepreneurs often seek the help of a business mentor who has accomplishments in the same field, so they can avoid common mistakes people make when starting a company. If you have this type of experience, package it into a consulting business.
- Online coaching. From career development to big life decisions, you can help people achieve their goals by becoming an online coach. You’ll deliver your services virtually—for example, through Zoom or Google Meet—and chat with your clients on a regular basis to check in on their progress.
Personal and wellness services
The demand for personal services remains steady as busy professionals need help to live productive and healthy lives. Some personal services require training, while others require no specialized skills.
Here are some personal service business ideas to consider:
- Personal fitness training. If you love working out and learning about fitness, personal training helps clients move toward their health goals. The certification process for becoming a personal trainer depends on where you work, costs between $500 and $1,000, and typically requires at least three months of training.
- Pet sitting. A pet sitting service involves getting paid to watch pets like dogs and cats while the pet owners are away from their home or otherwise busy. There are no previous skills necessary to become a pet sitter, though previous experience with pets can make it easier to build up a client base.
- Mobile pet grooming. Offer to wash and trim your client’s pets. If you specialize in a particular animal—for example, long-haired cats or nervous dogs—you can charge premium rates to make money through your service business.
- Personal shopping. A personal shopper helps their clients by picking up items for them like groceries or clothes. Some personal shoppers offer styling services to help their clients find a new look. There is no formal training process or previous experience requirements when becoming a personal shopper, although a background in fashion can serve as a jumping-off point for finding clients.
- Life coaching. A life coach is someone who offers personal advice and encouragement to their clients about how to improve their lives and careers. Although there are no formal training requirements for becoming a life coach, several private companies offer life coaching certification that can help enhance your reputation with clients.
- Personal chef. Personal chef service businesses can be lucrative, but they require years of experience. While no official certifications or requirements are necessary to become a personal chef, it is a competitive market, and experience is required. A diploma from culinary school and several years of experience in kitchen environments can help.
Health and wellness services
McKinsey estimates that globally, consumers spend $2 trillion on health and wellness. This includes the following service-based businesses:
- Massage therapy. With a massage certification and the appropriate insurance, you can offer your services in a salon or work as a mobile massage therapist that visits your clients’ homes.
- Yoga instruction. If you have a passion for yoga and can commit the required 200 hours to become a qualified teacher, you can run your own yoga classes. Offer private classes in your client homes or a public space (such as a park). You may need a permit for the latter, depending on your state.
- Nutrition consulting. Whether you’re helping clients to lose weight or find alternatives to avoid allergies, a nutritionist offers personalized advice, meal plans, and recipes to their clients.
Cleaning and maintenance services
Cleaning and maintenance are popular types of service-based business. According to Grand View Research, the global cleaning services market alone is expected to exceed $616 billion by 2030.
Individuals and companies can offer their time, tools, and knowledge to clean or repair anything from home appliances and office buildings to clocks and automobiles. These types of services can have high demand.
Here are a few small business ideas in this industry:
- Auto repair services. If you have an interest in how vehicles work, start an auto repair service. You can also specialize your practice and start a windshield repair business or a tire repair service.
- Car washing services. Start a car washing business in your local area and offer your services to car owners and dealerships. Specialized services can accompany basic car washing services as well; for example, you could offer car detailing or waxing services.
- Cleaning services. Start a cleaning service focused on cleaning homes or local businesses. Specialize your company even more by running a window washing business or vacuum cleaning service.
- Carpet cleaning. Not everyone has a professional-grade carpet cleaner to use in their own home. Buy one and offer cleaning services to people in the local area, or rent out the machine to people who’d rather do it themselves at a lower price.
- Pressure washing. From cars to external windows and doors, buy a jet wash to sell pressure-washing services to people in the local community.
Home and property maintenance services
Managing a home is time consuming. Help busy parents, working professionals, or people in need ease the burden of running their household with a service business that offers:
- Landscaping. Offer different services throughout the year as the seasons change. For example, you could offer lawn maintenance and pruning in the summer and snow removal in the winter. Startup costs depend on the services you’re offering. You’ll generally need the basics—a lawn mower, trimmer, leaf blower, and pruning shears—to get up and running.
- Junk removal. From old furniture and appliances to garden waste, junk removal is a low-cost service business idea. All you’ll need is a vehicle to transport the junk, insurance, safety gear, and the relevant waste permits.
- Mobile car detailing. If you have a passion for cars and enough cash to buy cleaning supplies, start a mobile car detailing service. Clients will pay to have their vehicles cleaned at home or work on a regular basis, meaning just a handful of paying customers make this a great side hustle idea.
- Gutter cleaning. Homeowners need their gutters cleaned to remove debris and prevent water damage, but it’s not the most fun task to do themselves. Get a sturdy ladder, gloves, a bucket, safety equipment, and cleaning supplies, then offer this service to homes in your local area.
- Home organizing. Do you have a keen eye for detail and enjoy organizing? Consider starting a home organizing service. You could specialize in a particular type of organization—for example, pantries or wardrobes—to stand out from other service providers in your local area. You won’t need any expensive equipment to start.
- Home staging services. Real estate agents hire people to stage a home with furniture with the goal of selling a property faster, at a higher price. You don’t always need to buy or store the furniture while it’s unused, either. Rent furniture instead of buying it outright to cut down startup costs.
- Interior decorating. Help people moving or renovating with a design service that turns their home into a functional and aesthetically pleasing space. You could also offer interior design services to commercial clients who want to refresh their offices, retail stores, or showrooms.
Family and education services
Family services focus on marketing to potential customers who need help with their family needs, from basic child care to counseling.
Examples of family service business ideas include:
- Doula and birth coaching. A doula is a trained professional who offers educational, emotional, and physical support before and during childbirth.
- Academic tutoring. If you have a comprehensive knowledge base around a particular topic and can communicate effectively about it, start a tutoring service. You could tutor in popular subjects like math or science, specialized subjects like standardized test preparation or English as a second language (ESL), or even skills like software programming, video editing, and music production. Most of these subjects can be taught through an online platform if you want to work remotely.
- Homeschool curriculum planning. If you have educational experience, help your clients create their own curriculum—one they’re able to teach at home while leaning into the child’s skills and interests.
Administrative and professional services
Individuals with organizational skills can offer their professional services to companies who need help with administrative tasks like communications, scheduling, preparing documents, and maintaining electronic databases.
This sector is one of the largest within the service industry, meaning plenty of opportunity to make money. Per one report, the professional services market will be worth $91.1 billion by 2030.
Here are some online business ideas to consider if you have administrative skills:
- Virtual assistant services. Start a virtual assistant business to work remotely and help companies and executives perform tasks such as scheduling meetings, managing emails, organizing files, and making travel arrangements.
- Bookkeeping. If you have a knack for numbers, offer bookkeeping services to local businesses or online companies providing services in areas in which you have expertise or interest. Larger clients might require bookkeeping services from certified public accountants (CPAs) with a license earned through an exam process.
- Translation services. There’s plenty of opportunity to make money as a translator if you speak a second language. Whether you’re translating a business’s marketing materials or helping people navigate a new country as they learn the language, virtual translation services present an opportunity to make money online.
- Technical writing. Businesses hire technical writers to turn complex information into an easy-to-read format. This can include manuals, product documentation, training materials, and help guides. It’s a great service business idea if you have strong writing and communication skills.
- Résumé writing. Jobseekers hire writers to fine-tune their résumés, cover letters, and LinkedIn profiles. It’s a flexible business idea that allows you to work from home. You can interview clients to learn about their job history, and turn your findings into a résumé with the goal of landing an interview.
Technology and IT services
The global technology and IT services industry will be worth $2.59 trillion by 2030. Claim your share by offering the following services to your clients:
- IT support. Help people solve tech problems, install software, and keep their devices safe by starting an IT support business. Startup costs are minimal, provided you already have technical knowledge you can sell to clients.
- Website maintenance. Help businesses keep their online shop running smoothly with a website maintenance service. You’ll need knowledge of website platforms like Shopify or WordPress to sell services like web development, software updates, security fixes, backups, website optimization, and content management.
- App development consulting. Entrepreneurs pay consultants to help them plan, design, or launch a mobile app if they don’t have the expertise themselves. This can be a lucrative service business idea if you have technical skills and experience creating apps. The cost to develop a basic application can be upward of $50,000.
- Cybersecurity consulting. Every business must follow data protection and financial regulations that safeguard sensitive information—but these rules can be complex. Help them understand their responsibilities and put measures in place to maintain compliance with a cybersecurity consulting service that helps with security audits, risk assessments, penetration testing, and employee cybersecurity training.
- Data analysis services. We have access to more data than ever before, but making sense of it isn’t always an easy task. If you understand how to clean data, retrieve insights, and present them in a way that’s easy to understand, you could earn money as a freelance data analyst. The Bureau of Labor Statistics found data scientists are one of the fastest growing occupations.
- AI prompt engineering consulting. Some 78% of businesses use AI in at least one function. Help them use these tools more effectively by teaching them how to write AI prompts.
Fashion and beauty services
Fashion and beauty-based services are another area to consider. The market size of the beauty sector will reach $590 billion by 2028, according to McKinsey, with an annual growth rate of 6%.
If you enjoy working with clothing or beauty products, learn how to develop your skills and offer your services to paying clients in the following areas:
- Hair stylist. Hair stylists make money from their skills cutting, coloring, and styling hair. This doesn’t have to be from a fixed location, such as a salon. You can become a mobile beautician and travel to your client’s home to reduce overhead. All you’ll need is your kit and relevant insurance.
- Makeup artist. Makeup artists specialize in using cosmetic products to enhance or change their client’s appearance. Some makeup artists focus on special effects makeup while others hone their techniques for events like weddings or photo shoots. Again, you can be a mobile makeup artist to reduce overhead.
- Wardrobe stylist. Wardrobe stylists consult with their clients to offer guidance about fashion trends and which clothing items work best for a particular person’s style.
Event and hospitality services
Events is a segment of the service industry in which individuals and companies hire professionals with experience in planning, setting up, and managing special events.
By 2028, the global event industry will be worth $2.1 trillion—up from just $887 billion in 2020. This includes corporate team-building events, product launches, award ceremonies, and family reunions.
Here’s more information about event service business ideas:
- Event planning. Event planners handle big-picture creative tasks like developing themes and party layouts, as well as more administrative tasks like negotiating rates and hiring staff. Event planners can focus their companies on specific kinds of events like weddings or musical performances.
- Virtual event planning. If a business has a distributed audience, they might hire a virtual event planner to take their conference online. It’d be your job to arrange speakers, prepare the tech setup, and invite attendees.
- Hybrid event management. Some businesses combine both in-person and virtual events with a hybrid conference. You’d need to know how to livestream and encourage in-person attendees to post about the event online (and vice versa).
- Catering services. If you have a passion for making food, start a catering service that prepares and serves food during events.
Creative and content services
If you enjoy being creative, use your skills to start a service business that gives you the freedom to leverage your talents. There are many types of creative service businesses, including writing consulting services, video production services, and video game design services.
Other examples of creative services include:
- Graphic design services. Graphic designers create visual elements that companies can use for printed materials, brand logos, and company websites. If you have skills with visual art and know how to work well with certain computer software, start a graphic design business.
- Photography services. Start your own photography business to offer your services to clients with personal or business needs like family portraits, professional headshots, or product shoots.
- Music composing. If you have an ear for music and talent in the musical arts, offer your services as a music composer. Start by exploring different types of free music software like GarageBand, Audacity, or SoundBridge.
- Podcast editing. There’s a podcast for almost every topic you can think of. But creators often have a passion for the thing they’re talking about—not the production of the show itself. Learn how to navigate podcast editing tools like Descript or Riverside, then have creators hire you to edit each episode for them.
- YouTube channel management. There’s a lot that goes into running a successful YouTube channel, from brainstorming video ideas to editing content and engaging with the community. Help creators who don’t have time to do all of these tasks themselves with your own YouTube channel management service.
- User-generated content (UGC) creation. If you have a knack for creating product videos, sell to businesses who are looking for them. Create a portfolio of videos to show potential clients.
How to choose the right service business
If you’ve read through this list and felt overwhelmed by how many online service business ideas there are to choose from, here’s a simple framework to help:
- Skills. What skills do you already have to package into a service? These can be both hard skills (like coding, foreign language fluency, or market research) and soft skills (like problem solving and communication).
- Demand. Do people need or want your service? Conduct market research using surveys, competitor analysis, or market trends to validate your idea. For example, there may be other power washing businesses in your area, but not many that specialize in gutter cleaning—despite residents searching for that service in online local community groups.
- Startup costs. How much do you have to spend launching your business? Services in a regulated industry like health care usually have higher costs, while skills you can learn for free online (such as marketing and SEO) have a lower financial barrier to entry.
Service business ideas FAQ
What services are most in demand?
The most in-demand services come from unique service business ideas that fill a specific need in the marketplace. Some popular types of service businesses include social media management companies, cleaning companies, child care services, and online fitness training services.
What is the difference between a service-based business and a product-based business?
Product-based businesses create physical products for sale, while service-based businesses offer intangible value through time, knowledge, and skillful labor. For example, small business owners selling hair products are running product-based businesses, while companies offering hair styling are service-based businesses.
What service business is most profitable?
The most profitable business ideas are service offerings with low startup costs and high rates. Examples include marketing, consulting, and coaching—all of which you can do from a laptop.
How much does it cost to start a service business?
The cost to start a service business depends on the service you’re offering. For example, you could start a freelance marketing business for less than $100 by just paying business registration costs and insurance fees. On the other hand, a cleaning service would be more expensive, as you’d need to pay for supplies on top of those startup costs.
How is service business income taxed?
In the US, income from a service business is typically taxed the same as any other income, depending on your business structure.





