The wave of small businesses is soaring high in Kerala 

Small businesses from sweet shops to freelancing to personal training have been thriving in Kerala lately. Establishing small businesses has various benefits such as producing meaningful job options, creating greater job satisfaction, complete job autonomy, innovation and growth impetus, etc. 

Kerala, part of the Malabar Coast, is known not only for its pristine beaches but also for its business opportunities. The state of Kerala has the highest literacy rate in India. Small business owners can hire equally qualified men and women. Kerala also has a bigger digital reach in comparison to other states. Advertising on a digital platform will increase your reach. 

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Kerala is well-connected topographically. Kerala also has 4 operational international airports and 17 ports along with an interconnected local transport network. Rent prices for shops, estates, properties, etc are comparatively cost-friendly. The cost of operations is low because of these factors. This will help you not only save and reinvest your money. Here are 5 new business ideas in Kerala that will help you generate more revenue. 

5 Best Business Ideas in Kerala

Sweet Shop

Kerala cuisine is flavourful and delectable, especially the desserts. The famous local sweets such as payasam, nei appam, Unni appam, etc. have never-ending demand. Despite the cut-throat competition, you can incur significant revenue with lower investments. Keep in mind to open your shop on busy streets, tourist attractions or temples. Remember to strategize marketing techniques during festivals. 

Home Decor Services

It is essential to surround your home with positivity and give it a personal touch. Home decor services help put forward the story and identity of your family. By investing around 5 lakhs, you can set up shop at a commercial centre along with selling products online. Keep in mind to include items ranging from antique statement pieces to wall art to rugs and throw pillows to flowers in vases, indoor plants or succulents. 

Bakery Business 

Opening a bakery requires less expenditure. If you are an aspiring baker, opening a small bakery equipped with personalization and customization is a smart business move. You can also experiment and create new baked goods by fusing the local flavours into confectionery items. 

Grocery Shop

Who doesn’t need a grocery store to buy your daily ration? Opening a small grocery store does not need many skill sets except an ability to research the demand of the locals and make contacts. If you invest in a shop, online and delivery services you have every possibility of making good money

Clothing Store

Be it a thrift shop or a boutique selling beachwear or couture pieces, travelers in Kerala look forward to shopping. A significant initial investment and hiring professionals is a must here. However, since fashion has become a big part of our daily lives, a clothing store is an excellent choice. 

If you want to know about these in detail or about more new business ideas in Kerala or other cities you can find all the information on this page.


With the community’s support and significant digital reach, small businesses have proved to incur impeccable results. The digital literacy, transport connection, cost-effectiveness kindles fire for new business ideas in Kerala.  Opportunities for all promising entrepreneurs are available in an investor-friendly state like Kerala. The cultural and economic allure of Kerala makes it a primary consideration for setting up small businesses.