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The 8 Businesses to Start with 100k in Canada

The 8 Businesses to Start with 100k in Canada

Canada’s stable economy and low corporate taxes make it a viable place to start a business. It has better financial security than other countries, making it a safe place to invest your money. 

Many people can start their own company with a small investment, even with a budget of $100,000!

The best business ideas in Canada with a $100,000 budget are in the automotive industry, cleaning services, homemade goods, virtual services, bookkeeping services, and pet services.

Aspiring entrepreneurs can do so much with a $100k budget, and in this article, we’ll discuss the best business ideas for those with limited funding.

It’s important to remember that this list is based on our team’s research and not our personal recommendations.

If you’re curious, keep on reading!

1. Car Wash

Car Wash's Homepage
Photo by Brad Starkey on Unsplash

One of Canada’s most profitable small businesses is a car wash service. It offers exterior and interior washing, cleaning, and waxing. 

With $100,000, you can start a car wash service, including the equipment and space lease. A limited budget also means a small-scale business, but you can invest in your car wash and expand it over time.

Some car wash companies offer franchise opportunities, which is a less stressful business option because all the necessary equipment is included in the initial cost.

Additionally, some car wash services only have an initial franchise fee of $35,000 to $75,000. So, depending on the services you want to offer, you can start one for under $100,000.

Furthermore, a larger car wash service needs more equipment, employees, and space. If you have an additional budget or investors, $350,000 can help you start a bigger business.

2. Automotive Repair

Automotive Repair's Homepage
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Another possible car-related service with a budget of $100,000 is an automotive repair shop. Canadians need cars and motorcycles to go places, so there’s a demand for car repair shops.

But there are important factors to consider when starting a car repair shop. It’s essential to check the location and demand in that area and if you have too many competitors if you live in a small town.

Knowledge and experience are also essential factors because automotive repairs can be complex. In this industry, customer service and earning the client’s trust are critical to ensure they will go to your shop again in the future.

Some car repair owners initially started with second-hand equipment. Although it can save you some money, it’s imperative that you know how the equipment works and if they’re still top quality.

Over time, you can invest in better and more expensive equipment and tools that will be more efficient and convenient,

Car Repair Shop Equipment

  • Vehicle lift
  • Jacks
  • Engine hoist
  • Air compressor
  • Complete toolbox
  • Battery charger and jumper
  • Air conditioning machine
  • Oil drain and oil caddy
  • Wheel alignment

Depending on the location, starting an automotive repair shop can cost more than $100,000. The initial investment can also increase depending on the range of services and if you intend to specialize in luxury vehicles.

With an initial budget of $50,000 to $100,000, you’ll likely start with a small team and limited repair and maintenance services. But the bright side of this is the chance for expansion over time, like including car detailing and cleaning.

3. Cleaning Service

Cleaning Service's Homepage
Photo by Nino Maghradze on Unsplash

Starting a cleaning service isn’t one of the popular business ideas that people initially think about. But in Canada, it’s a profitable business that you can start with a budget of $100,000, $50,000, or even under.

If you plan on starting a cleaning service, you need equipment and supplies. The most affordable products cost roughly $300 to $600.

EquipmentTools and Supplies
• Mop and bucket
• Vacuum cleaner
• Steam vacuum
• Car or truck
• Rags
• Dusters
• Broom and dustpan
• Toilet brushes
• Squeegees
• Disinfectants and cleaners
• Gloves and masks
• Garbage bags

The initial rates that cleaners usually charge start at $100 to $300. You also have the freedom of servicing residential, commercial, or office buildings (or even all of them).

In addition, you can have a more flexible schedule because most cleaning companies offer a weekly, bi-weekly, or monthly service.

It’s a profitable business as well because of Canada’s ageing population. Many families hire cleaning services for senior residences on a regular basis because of the convenience.

Moreover, it’s an affordable business in Canada because you can start one with a budget of $10,000. You can also choose to work on your own or hire employees.

Many cleaning companies in Canada offer franchises for under $50,000. Some even have an initial buy-in fee of less than $5,000, making it affordable!

4. Homemade or Handcrafted Goods

Homemade or Handcrafted Goods' Homepage
Photo by Andy Kelly on Unsplash

One of the advantages of starting a handcrafted or homemade goods business is becoming your own boss and working on your own time. It can be a side business for extra income if you prefer to keep your regular job.

If you’re a maker, you can start your own business with a budget of under $100,000. The platform for selling can be your own decision as well (think Etsy or eBay).

Many handcrafted goods are sold online nowadays. There’s also a tonne of public markets where you can rent a stall or join car boot sales as a weekend side hustle.

Finding your niche is one of the most important factors when starting a handcrafted goods shop. Businesses don’t begin just because you want to earn more money, but it’s integral for the owner to believe in it.

Furthermore, there are many products you can sell as handcrafted or homemade. Some examples are pottery, candles, perfumes, plushies, clothing, party invitations, cakes, and many more!

The advantage of starting your own shop is you make it on your own time and decide on your inventory. You can start with a small batch and consistently go from there.

Moreover, you can save money because many handcrafters sell on e-commerce websites, making it an affordable business that you can start with less than $100,000.

5. Bookkeeping Service

Bookkeeping Service's Homepage

If you have the technical skills for a bookkeeping service, it’s a promising business to start with $100,000. It also offers time independence because you can do it full-time or part-time.

The tricky part is establishing your reputation in the industry. Having prior experience will help earn the trust of your potential clients. 

Many bookkeepers save on their initial budget because they choose to work in their own homes. But leasing an office space may be necessary if you plan on hiring employees.

It’s also vital to establish a professional-looking service because you will track the financial records of your clients. Also, many bookkeepers in Canada work with small or medium-sized businesses from the local community.

A bookkeeping service’s finances include the internet, software, programs, website, and networking. Even so, you can have an initial budget of under $100,000 to start a bookkeeping company.

6. Pet Service

Pet Service's Homepage
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It’s raining cats and dogs because pet service is now a fun and profitable business. There are many things you can do in a pet business, from grooming, boarding, and even selling pet houses and clothes.

Many households in Canada own pets, and it’s on the rise! As a matter of fact, a 2022 survey from Statista showed that there are over 8.5 million cats in Canadian homes and over 7.9 million dogs.

In addition, a Canadian cat owner spends roughly $2,500 per year. The cost includes cat food, litter, toys, insurance, and checkups.

Further, the global growth rate of the pet care industry in 2022 was $261 billion. It’s even expected to jump to $350 billion in 2027!

Considering that many homes choose to have pets, pet-related services are on the rise. Dog walkers earn about $15 to $20 per hour, and it’s a convenient service for dog owners with busy schedules.

If you’re planning on starting a pet grooming business in Canada, you need to know where you want to establish it.

Some choose to do it out of their own homes, while others decide to lease a space or purchase a vehicle for a mobile grooming service. Just note that the budget you need for a grooming service will depend on where you want to establish it.

Small-scale pet grooming services can start with less than $100,000. Bigger ones will need almost $200,000.

Another pet service you can start that’s profitable in Canada is pet clothes and furniture. We can also consider these handcrafted goods because furniture makers now produce luxury cat condos and dog houses – imagine Paris Hilton’s dog mansion!

An advantage of pet furniture is you can sell it online and even ship it worldwide to reach more fur parents while maintaining an initial investment of under $100,000.

7. Digital Marketing

Digital Marketing's Homepage
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In a technology-ridden world, starting a digital marketing agency is a lucrative business. Many companies and public figures work with digital marketing professionals because they need to boost their brands.

It offers freedom for startups because it’s possible to do it at home. But if you plan to start a small or medium-sized agency, you will need to lease office space.

Digital marketing needs experience and knowledge in the industry. Although it’s possible to learn the basics on your own or through online courses, it does take a lot of perseverance, time, and effort.

It’s also important to note that it’s an ever-evolving industry, meaning you must continuously educate yourself to learn new trends. 

You can start a small-scale digital marketing agency with $100,000. Over time, you can grow the business by adding more services and employees.

But remember that building a digital marketing business needs a concrete strategy and the necessary software and tools depending on the services you will offer.

8. Coffee Shop

Coffee Shop's Homepage
Photo by Brooke Cagle on Unsplash

Coffee shops are one of the most profitable businesses that’s possible using a budget of $100,000. It’s even feasible to start one for under $100k.

Bigger cafes will need more equipment, supplies, and pricier rent. So with a $100k budget, you can put up a small coffee shop.

It’s safe to say that Canadians are coffee drinkers. Tim Hortons has captured our tastebuds and has more than 3,000 stores nationwide!

Maybe your cafe will even be the next Tim’s! Just make sure the coffee’s good!

According to Statista, coffee consumption has had a steady increase since 2010. In fact, coffee lovers (like us!) in Canada drink 2.7 cups of coffee per day.

People from different walks of life go to coffee shops to unwind, relax, and sip their favourite caffeinated drinks. Some go there to hang out with friends, while others get their work done at cafes.

These factors contribute to coffee shops being thriving businesses. And with $100,000, you can build one yourself.

Some things to consider when starting a coffee shop are the location and the theme. It needs to be unique and recognizable (like cat or cartoon themed), so your customers (and commuters) will always remember it.

You also need to check and compare your market and competitors. You won’t be unique if you sell the same stuff as the coffee shop down the street.

Once you’ve chosen your theme and location, you need to get the best coffee beans. If your coffee isn’t good, there’s a huge chance your customers might not return.

You can also sell other things like pastries or savoury food that taste good when paired with a cup of coffee.

Some coffee shops even sell their beans online. Meanwhile, others have added merchandise like mugs and shirts for their loyal customers (and it’s free promotion, too!).

But if you don’t have $100,000 to spend, you can opt for a smaller space like a kiosk. Cafe booths can cost about $60,000, depending on the province.

Tips When Starting a Small Business in Canada

1. Passion over profit

It’s important to start a business you believe in. If you focus too much on profit and don’t love what you’re doing, there’s a high chance that your business may tank. 

2. Do a lot of research
Research your business concept, market, and competitors. This part is where you can familiarize yourself and understand what your business needs and what your competitors need to improve on.


3. Build a strategy
Once you’ve done your market research, you can build a strategy, including all the necessary components for a successful business. This is also where you can look at the financial aspects and possibilities.


4. Talk to your mentor
…or someone in the same industry. You can ask about their experience to give you a better idea of the possible ups and downs when starting a small business in Canada.
In addition, they can give you an idea of what your limitations will be regarding your investment.


5. Familiarize yourself with your legal obligations
You don’t want to start a business and end up paying penalties to the government. You need to build a reputable business, so do the correct paperwork to avoid the headache (and legal ramifications).


Educate yourself on your tax obligations, too. It’s your responsibility to ensure you’re up-to-date with your taxes to avoid fines or the possibility of the government closing your business.


You can opt to hire a trusted accountant or bookkeeper to help you track your financial records.

FAQ about Businesses You Can Start With 100K in Canada

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