Most Lucrative Industries for Small Businesses in Australia

Most Lucrative Industries for Small Businesses in Australia

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Most Lucrative Industries for Small Businesses in Australia

About 97% of businesses in Australia are small businesses. Unfortunately, more than half of these businesses fail during the first three years of operation. It is therefore imperative to research prospective industries and business environment before making an investment. A good entrepreneur, therefore, invests in a booming industry. Kimmorley CITATION Kim18 n t l 1033 (2018), in her article, lists the most lucrative industries in Australia for small businesses after analyzing the volume of invoices made by similar businesses on Invoice2Go application. On analyzing the information about the lucrative, I will decide which of the industries are most appealing to me and decide whether I would consider starting a business in Australia and how I would do it.

The article lists trade-based industries, auto repair industry, building and construction industry, and landscaping industry as the most lucrative industries for small businesses in Australia CITATION Kim18 l 1033 (Kimmorley, 2018). I find building and construction as the most appealing industry for startups. The demand for residential and commercial spaces is high. Accompanied with the ever changing technology in architecture which causes dynamic change in taste and preference of clients, means there is more business CITATION Glo20 l 1033 (Globe NewsWire, 2020). Building and construction goes hand-in-hand with plumbing, and heating, ventilation, and air conditioning (HVAC). More construction translates to high demand for plumbing and HVAC. Food industry also, has more potential for profit because the demand for food will never end. Although they are highly controlled and very competitive, having a strategic plan, differentiating products manufactured, and tapping into latent demand may give new players a competitive edge CITATION Del19 l 1033 (Delforce, Dickson, & Hogan, 2019).

According to Kimmorley, the food industry has one of the highest growing sales potential in Australia. I would, therefore, consider setting up a business in the industry. After an analysis of the industry and environmental factors that affect it, the decision to start trading is preceded by registering the business. Once I have been assigned an ABN, I would write a business plan that incorporates my source of finances, resources which include human resources and raw materials, and production planning. I would then appraise myself of the laws and regulations concerning the industry before starting any production. I would then roll out my strategic plan when starting manufacturing and selling.

In my opinion, the food industry, building and construction and plumbing and HVAC are the most appealing because products manufactured in these industries are highly demanded. I would consider investing in Australia, especially in food.

References

BIBLIOGRAPHY Delforce, R., Dickson, A., & Hogan, J. (2019, December). Flanders Investment & Trade MArket Survey. Retrieved from www.flandersinvestmentandtrade.com

Globe NewsWire. (2020, March 19). GlobeNewsWire. Retrieved from http://www.globenewswire.com

Kimmorley, S. (2018, April 24). BusinessInsider. Retrieved from http://businessinsider.com