Small businesses are ruling, especially now. Chennai is one of South India’s fastest-growing economic hubs, blending traditional industries with new-age opportunities. It's also one of the safest cities in India. Hence, Chennai is one of the best places to start a business.
The people are educated, there’s a vast IT crowd, and starting a business right out of your home without much investment is feasible. As one of the centers for technology, architecture, art and much more, there is no dearth of small business ideas in Chennai.
Whether you’re an aspiring entrepreneur, a side hustler looking for extra income, or someone wanting to break free from the 9–5 grind, small business ideas in Chennai offer vibrant and scalable avenues to success. We’ll explore 24 practical business ideas, from food services and retail to tech startups and creative ventures, each tailored to Chennai’s unique market dynamics. You’ll also get actionable steps on how to start, what initial investments are typical, and how you can set yourself up for long-term success in 2026 and beyond.
Why is Chennai ideal for small businesses?
1. Chennai’s economic growth & consumer base
Besides being Tamil Nadu's capital, Chennai is also a major economic engine for South India. The city’s economy spans IT services, automobile manufacturing, retail, healthcare, education, tourism, and logistics, creating diverse demand across sectors. Its steady urban expansion and a growing middle class with disposable income make Chennai an attractive place for both traditional and modern businesses.
2. Ecosystem & connectivity
Chennai’s urban infrastructure, including strong transportation links and rising digital connectivity, supports entrepreneurs with accessible markets and growth opportunities. From bustling central markets to tech parks and suburban residential zones, a variety of settings exist where small businesses can flourish.
3. Cultural diversity and consumer behavior
The city’s unique blend of culture and modernity helps many business ideas thrive, from traditional food ventures and cultural services to online startups and tech consultancies. Understanding these consumer tastes is key when tailoring offerings for the local market.
With its expanding middle-class market, strong consumer demand, growing tech ecosystem, and rich cultural heritage, Chennai provides fertile ground for both low-investment startups and service-based ventures.
From the mami delivering linch to the IT crowd to the maavu selling household goods within apartment complexes, everyone is busy with a side hustle these days.
And even if it were not a survival tactic, Chennai is full of enterprising young and old business people who put their creative minds to earning money.
How to choose the right business idea in Chennai?
Before jumping into a business in Chennai, take some time to evaluate the following:
1. Assess your skills, interests, and resources
Match your strengths with business ideas that excite you, whether it’s cooking, tech, art, or services. Passion fuels consistency, which is essential for success.
2. Conduct local market research
Analyze existing competition, customer demand, pricing trends, and unmet needs in Chennai. Visit similar ventures and talk with potential customers to refine your business concept.
3. Budget and investment planning
Some ideas require minimal capital (₹10,000–₹50,000), while others may need significant investment (₹1 lakh+). Understand your financial limits and plan for expenses like licensing, equipment, and marketing.
For example, a home-based small business might not require much startup capital investment, except for raw materials needed. There are currently many micro businesses providing the whole world with:
- Customized and curated chocolates
- Eco-friendly toys
- Cloth diapers
- Napkins
- Cakes
- Custom-tailored clothes
So, if you are mulling over starting a business of your own, let's explore some small business ideas that will do great in Chennai. Here are 25+ profitable business ideas in Chennai across different categories, from low-cost side hustles to scalable ventures.
Editor’s note: Make your new venture look legit with a free tool that helps you create a logo for your business. If you want some business name ideas, use our free business name generator to get started.
1. IT, tech and app development services
What is it: Apart from the usual tech-driven backend management, there are numerous small business ideas that can help you get you started if you have the related expertise. Some of the in-demand IT-related services worth exploring are:
- A tech-savvy mutual funds management agent
- Security advisor
- Website development and management
- Social media management
- Risk mitigation advisor
Why this: With most modern businesses shifting towards online channels, there is high demand for web-designing and internet-related work. Startups and small companies are always looking for affordable app and web solutions. Chennai’s IT ecosystem supports continuous demand.
How to get started: This is a skills-based business idea, which means you need to first build expertise in mobile app development, SaaS, or web development.
Once you have that, you can start this with a good internet connection and a computer. However, if you want to run your business professionally, think of a smart name for your company and buy a domain. Work on a marketing plan to popularise your domain name and catch the attention of prospective clients. You should take advantage of our free domain offer and get started online in no time.
On an ongoing basis, take projects from startups, local businesses, or freelance platforms and offer monthly maintenance for recurring revenue.
Investment: ₹50,000–₹1 lakh (Software tools, laptop upgrades, marketing)
Related: Internet domain names for technology sector
2. Babysitting
What is it: Caring for young children while their parents or legal guardians may not be available. It involves looking after babies or children, and being a trustworthy role model for them.
Why this: Fast-paced metropolitan cities such as Chennai mean that there will always be a need for trustworthy babysitters. Babysitting rates usually paid by the hour and it can be quite lucrative. It is the perfect small business idea if you love spending time with children and want to be able to work from the comfort of your own home. The skills you may learn while babysitting are also extremely valuable for managing everyday life.
How to: Develop necessary skills such as patience, communication, first aid, responsibility, interpersonal skills and childcare management techniques.
Investment: Requires no investment! All you need is the willingness to invest time into developing your interpersonal skills.
3. Interior design
What is it: Decorating and designing homes and office spaces to fit the needs of the consumer.
Why this: As one of the most prominent cities in India, Chennai experiences a large influx of new visitors each year. Therefore, there could be a demand for homes and other new spaces. Interior design is a flexible, creative and artistic small business idea allowing you to unleash your inner artist. It’s the perfect option for those who want to begin working from home right away with little to no technical infrastructure.
How to: Online interior design courses can be extremely useful for helping you get your foot in the door. Develop your own aesthetic sense to be able to recommend and procure furniture, paintings and decor for clients based on their specific needs. Also understand how specific interior design choices can affect morale, productivity, comfort and confidence in different situations.
Investment: Interior design requires almost no financial investment, at least in the beginning. For now, a computer is all you need! Investing in a comprehensive aesthetic design course may help you understand client requirements and preferences better.
4. Vlogging
What is it: Creating videos of interesting things regularly.
Why this: YouTube is full of successful vloggers earning money. If you can find a niche that people in Chennai connect with, you will eventually amass many followers.
How to: All you need is a video cam or a smartphone with a good camera, along with a video editing application to help you establish a flow and refine your content.
You can vlog about anything. From handicrafts, cooking to interesting aspects of daily life, diet advice, travelling - the list is endless. Put some good thought into coming up with a unique, interesting topic to vlog about.
Investment: Zero if you already have a smartphone with a good camera and internet connection. Creating accounts on social media platforms is free. Most editing apps also have freemiums (start for free) pricing strategies that beginners can take advantage of.
Tip: Use a link in bio website to promote all your social media and vlogging accounts in one place.
5. Language training
What is it: Training students to become proficient in fundamental aspects of various languages such as Tamil, Hindi, English, Spanish, etc.
Why this: Chennai is one of the biggest tourist destinations in India. Therefore, it is a hub for people from various cultural origins who may be looking for opportunities to learn new languages. Language training can be an ideal small business idea for bilingual instructors and trainers and can even be done from your own home.
How to: Online certification courses can help you become an accredited language teacher. It can be the perfect way to leverage knowing multiple languages. Understand how learning programs can be customized for customer demographics across different age groups, preferences and learning criteria. You may also consider teaching at language institutes or schools by obtaining the appropriate qualifications.
Investment: You may need to invest in different online courses to strengthen your language proficiency and teaching ability. However, these courses are often free online.
6. Food truck
What is it: Preparing, serving and selling food from a large vehicle equipped with a kitchen. In other words, it is a portable restaurant that can be driven throughout the city.
Why this: Food trucks are becoming increasingly trendy in large cities across India, particularly with younger audiences. Since food trucks are mobile, they are extremely easy to relocate according to shifting demand. They are also an extremely cost-effective way to enter the restaurant industry without substantial startup costs.
How to: Decide which type of cuisine to sell at your food truck. Most food trucks in Chennai specialize in fast food that can be prepared and served quickly. Then, acquire the necessary regulatory licenses and permissions required. Lastly, determine which locations are ideal for setting up your food truck. Busy areas with a high level of visibility are typically ideal locations.
Investment: The average cost for establishing a food truck including expenditures such as renting or leasing a vehicle, equipment, utensils, raw material and insurance is typically between INR 8-10 lakhs.
7. Travel & tour agency
What is it: Providing tourists and new visitors with recommendations, insight and advice about accommodation, cuisine, tourist attractions and activities.
Why this: Chennai attracts a large number of tourists each year who may require guidance about the best places to eat, stay or visit. They are looking for temples, beaches, heritage tours, and food trails. There's also a growing demand for curated, personalized experiences.
Starting a tour guide business or travel agency is the perfect small business idea for those of you who have lived in Chennai for an extended period of time and know the biggest attractions and destinations.
How to: You can start by promoting your travel guide business in a cost-effective manner through social media or websites. If you are considering hiring more manpower as your business grows, you must ensure that your employees are well-versed with the most popular destinations in Chennai. Connecting and collaborating with representatives from landmarks that tourists may want to visit can make starting your business much easier.
Create comprehensive lists of tourist destinations and landmarks that tourists and visitors may want to visit. Then, develop potential itineraries based on different potential target audiences and preferences. You can then create a list of representatives from different hotels, restaurants and landmarks that you can collaborate with to get your business started.
Investment: ₹30,000–₹1 lakh (Website, marketing, permits) Apart from costs related to insurance and training, starting a tour guide business often requires minimal investment. As your business grows, you may consider investing in an office space and purchase a website domain name to advertise your services.
8. Local food & experience tours
If you are looking for a specific niche through your tour agency and small business as a tour guide, you can't go wrong with food!
Why this works: Travelers and even locals love unique food walks, Brahmin-style breakfast tours, filter coffee trails, and cultural experiences.
How to start: Design routes with iconic eateries and local legends. Collaborate with vloggers and food bloggers. If possible, you can also dffer private, small-group experiences for premium pricing.
Investment needed: ₹10,000–₹50,000 (Branding, scheduling tools, guide training)
9. Terracotta jewelry
What is it: You can create ethnic pieces of statement jewelry made from clay and other eco-friendly decorative materials.
Why this: Sales for terracotta jewelry are now on the rise with current evolving fashion trends. There are takers for good terracotta jewelry pieces even abroad.
How to: If you are creative and can design innovative jewelry pieces, you can go for this. There are courses available online on how this jewelry is made.
You need to:
- Get the raw materials
- Make a business strategy
- Decide on pricing
- Make jewelry to show
Instagram and other social media channels are great places to showcase and sell what you create.
Investment: Rs 1000-2000 for raw materials, and if you plan to market on social media, another Rs 5000. In all, less than Rs 10000.
10. Bharatanatyam classes
What is it: Teaching Bharatanatyam classical dance to interested customers.
Why this: As one of the widely recognised forms of Indian dance, Bharatanatyam originated in Tamil Nadu and is usually used to depict religious stories, devotion and spirituality. Bharatanatyam continues to be a passion that many follow to be able to live a life of discipline, passion and creativity.
How to: If skilled in Bharatanatyam classical dance, you may teach interested clients through online videos or tutorials.
Investment: Requires little to no financial investment. However, you may choose to purchase or rent a space to convert into a dance studio.
Related: How to create an online course
11. Curio shop
What is it: It is a shop of cute things that can be sold as collectibles or gifts.
Why this: People in Chennai are always looking for unique items to give as gifts for various occasions or just to collect.
How to: First, you need to rent a place to convert into a shop. It must be easily accessible, and if you are starting it at home, ensure it’s a place away from the rest of the household.
Then it would help if you had vendors willing to give you their creations for display in return for a part of the sale profit. Alternately, you can start the shop with your own and your friends’/family’s creations.
You need to be business-savvy and:
- Know how to market the products smartly
- Handle online delivery
- Have a returns policy
- Be market-friendly with pricing
Investment: With all overheads including rent, Rs 50000
12. Homemade food tiffin and meal delivery
What is it: Cooking food and delivering it to those who can’t do it themselves for various reasons.
Why this works: Chennai has a massive population of IT employees, students, and working professionals who prefer affordable, home-style food instead of daily restaurant meals. With long commutes and busy schedules, the demand for homemade tiffin services continues to rise. Also, Chennai has the second highest elderly population in India. These elderly may prefer simple home-cooked food, but are unable to do it themselves.
How to: Draw up a set weekly menu for three meals a day and finalize 2–3 meal plans (veg/non-veg, budget/standard). If you are able to offer unique meals (eg: vegetarian, diet menu etc), it may appeal to more people. Cook from your home kitchen or a rented space. Start talking about your venture in apartment WhatsApp groups, and create Facebook and Instagram pages and popularise your venture. Promote through food delivery apps, and office networks. Offer weekly/monthly subscription plans for steady income.
When you get orders, begin cooking and either deliver it through a delivery service or do it yourself. Just be sure you’re a good cook, though!
Investment: Ingredients needed to cook each meal, add to it overheads such as LPG used, etc. Rs 500-600. ₹20,000–₹50,000 (Ingredients, packaging, basic utensils, marketing)
Related: Start selling homemade food online this weekend
13. Specialty cuisine cloud kitchen
Looking for something other than providing regular meal deliveries? Here's another idea!
Why this works: Chennai’s young urban crowd loves specialty and fusion foods (millet bowls, biryani, sushi rolls, vegan foods). Cloud kitchens remove the cost of dine-in space, increasing profit margins.
How to start: Choose a high-demand niche (health bowls, Korean, continental, millet-based cuisine). Register with Swiggy, Zomato. Create a strong brand identity and customer packaging. Use optimized delivery timing to improve ratings.
Investment needed: ₹1–3 lakhs (Kitchen setup, equipment, branding, licenses)
14. Juice & snack bar
Not into cooking, but still want to explore a food related venture? Drinks and snacks are the way to go in this case!
Why this works: Chennai’s hot climate means high demand for fresh juices, mocktails, milkshakes, and light snacks year-round. Busy commercial areas and beaches attract constant footfall.
How to start: Find a location near schools, offices, metros, beaches, or markets. Offer seasonal specialty juices and health-focused options. Maintain hygiene and fast service. Upsell snacks like sandwiches, salads, or chaats.
Investment needed: ₹80,000–₹2 lakhs (Stall setup, juicer machines, raw materials, signage)
15. Teaching Yoga/exercise coach
What is it: If you are a yoga practitioner and know your asanas and poses, you can become a yoga teacher. Same for exercise coach. You will have to teach others yogasanas or exercises and tell them about the benefits of following a good workout regimen.
Why this: It’s become hugely popular, especially with people young and old trying to get some exercise within their homes.
Start advertising by setting up a social media account and inviting learners for a monthly fee.
Develop a free-to-fee strategy to attract people.
If you live in an apartment, put up notices on the common board. Once people show interest, you can form a Zoom or Hangout group and get started. You can start from your drawing room!
Create various time slots to suit all people. If you want a certification, apply for it in a good yoga institute, and you can pass the exam for a nominal fee.
Investment: Nothing. It would be best if you had a good internet connection and a smartphone or laptop.
16. Social media strategist
What is it: You can help companies and businesses make a mark in the online world and come up in top online searches in their respected categories – it can be a website, or social media platforms.
Why this: With everyone taking their business online, it has become a big thing to make their presence felt online. From multinational to small hyper-local businesses, everyone wants to be seen and heard online.
How to: You can master the skill with umpteen free online courses and by reading internet articles by experts. You can then offer your services to startups and corporates or market your own business.
Investment: Zero if starting as is, but if you plan to open a digital agency and create a website and promote it, Rs 20000.
17. Digital marketing & web services
Why this works: Small businesses in Chennai are rapidly moving online. They need SEO, social media ads, website design, and branding but can’t afford big agencies.
How to start: Build a small portfolio (sample posts, demo website designs). Offer starter packages to local shops, boutiques, fitness studios, etc. Specialize in Tamil-language digital content for local businesses. Scale into a team as demand grows.
Investment needed: ₹0–₹50,000 (Software tools, laptop, branding)
18. Candle-making business
What is it: As it sounds, it’s about custom-making different types of decorative and utility candles.
Why this: Gifting candles on occasions such as birthdays, anniversaries, housewarming, and health and wellness is the thing in Chennai these days. It’s a home business, and with a little creativity, you can find your niche clientele quickly.
How to: Decide on what type of candle you want to make. It can be tealight, scented, decorative, etc. Think of a luxe brand name. Zero in on packaging, and where all you can sell your candles. You can register on many register-and-sell platforms like Amazon and Flipkart at no cost.
Investment: You’ll need different types of wax, scents, colors, moulds, wick, etc. You’ll also need a packaging and marketing budget. As a home business, the investment would be ₹10,000–₹40,000, but if you go for a candle-making machine, it may go up to ₹2.5 lakh. You can also sell candles online, create an online store and reach a much wider audience.
19. Pregnancy and child photography
What is it: This involves clicking aesthetically beautiful pics of pregnant women, alone and with their families, as memorable keepsakes. Clicking cute pics of kids at various locations.
Why this: Pregnancy photography (which includes baby shower parties) is a rising trend in Chennai, with many new-age couples opting for it. Children’s photography has always been in vogue in the south of India; these days, it has become more upscale.
How to: You’ll need photography expertise, an eye for good locations and angles, and basic photography equipment like a DSLR camera with usual filters and lens (if you buy a new one, it will cost you anything from Rs 75,000 to a lakh, including filters).
You will need a website or Instagram handle to flaunt the amazing pics you click (be sure to respect client privacy and seek their permission before sharing online) and a website to solicit and canvass your business.
A good computer with software like Adobe Photoshop and knowledge of how to use them is also necessary.
Investment: If you will buy a camera, anywhere between Rs 1-2 lakh, including website creation. Else, Rs 25,000.
20. Regional dry cuisine items
What is it: Making podis (like gunpowder, sambar powder, health mixes, etc.) and dry health-food items such as various herbal teas.
Why this: It’s the business of the moment. Everyone is looking at healthy alternatives to supermarket packaged items. It’s easy to make, and with some research, you can make and sell dry food items everywhere, including on Amazon.
How to: Research, experiment, and discover healthy dry items that make dishes tastier. You can even find a unique angle like making ancient grains upma mixes, millet dosa mix, chukkukapi (herbal black coffee), etc.
Investment: Actuals for raw materials, buying a strong mixer-grinder, sieve, packaging materials, etc. Rs 5000.
21. Freelance remote services
Why this works: Remote work is widely accepted, allowing you to serve global clients. However, it requires consistent learning and the initial client acquisition takes time
How to start: Create strong profiles on Upwork, Fiverr. Build portfolio samples. Specialize in writing, designing, coding, analytics or support.
Investment: ₹0–₹30,000
Target Customers: Global companies, Startups, Agencies
22. Start an e-Commerce store (online shop)
Why this works: Chennai artisans, wholesalers, and creators can easily sell products nationwide through online stores. Logistics in the city are strong and affordable.
How to start: Choose a category: fashion, home decor, handicrafts, food items. Sell via Amazon, Flipkart, Meesho, or your own stores. Use Instagram to drive organic traffic. Offer COD and fast shipping to boost conversions.
Investment needed: ₹20,000–₹1 lakh (Inventory, packaging, website setup)
23. Tuition & coaching classes
Why this works: Chennai is an educational hub with high demand for CBSE, ICSE, JEE, NEET, and spoken English coaching. Parents value reliable tutors who deliver results.
How to start: Choose a niche subject (Mathematics, Science, coding, languages). Teach from home, online, or rent a small classroom. Offer weekend batches and exam-crash courses. Build credibility through results and testimonials.
Investment needed: ₹5,000–₹50,000 (Whiteboards, marketing, basic materials)
24. Personalized gift curation
Why this works: People love custom, thoughtful gifts, especially for weddings, birthdays, baby showers, and corporate events. Chennai’s celebration culture is strong.
How to start: Offer custom boxes with chocolates, cards, skincare, candles, etc. Work with local artisans for unique items. Sell online with curated catalogues and high-quality photos.
Investment needed: ₹15,000–₹1 lakh (Inventory, packaging, photography)
Chennai’s best small business ideas
It’s never too late to become an entrepreneur with your small business idea in Chennai. If you have a one-of-a-kind idea and the expertise to execute it, Chennaiites will likely be game to buy and experiment.
If you are dedicated, committed, and fanatically quality conscious, you will soon stand out among the crowd of sellers and begin to make a profit. And for some motivation: There are many small businesses that started just as an idea and became big in Chennai. Netmeds, the online pharmacy, is just one of those names.
The information contained in this blog post is provided for informational purposes only, and should not be construed as an endorsement or advice from GoDaddy on any subject matter.
Frequently Asked Questions (FAQs) about small business ideas in Chennai
1. Which small business idea is best in Chennai?
Business ideas that evolve according to rising trends such as vlogging, food trucks, IT services and more are extremely valuable opportunities to use your creativity and imagination. More established business ideas and services such as franchises, babysitting, language training and tour guides are likely to generate demand and hence translate to success.
2. What are the most profitable small business ideas?
Small business ideas such as cafes, travel and tour agencies, event management, local food businesses, photography and vacation rentals for tourists and visitors are typically the most profitable.
3. What small business can I start with INR 20,000?
Small business ideas such as vlogging, babysitting, interior design, language training and exercise training typically involve little to no financial investment and can be done with just a computer and a secure internet connection. Alternatively, businesses such as IT services, photography, preparing regional dry cuisine items and candle-making businesses usually do not require significant financial investments.
Related: 9 startup business ideas within Rs. 10,000
4. How do I start a business in Chennai?
Starting a small business in Chennai is almost as simple as deciding on an idea and starting from the comfort of your own home. For businesses that involve the preparation of food or manufacturing processes, you may require specific licenses and permits from relevant regulatory bodies. Once you have decided which small businesses to move forward with, you should ideally create a business plan, identify ideal customer demographics, select a name and establish an online presence through websites and social media.
Related: 5 manufacturing business ideas with low investment
5. What are the best franchises to start with?
Some of the most profitable yet low-investment franchising opportunities in India include brands such as Khadims, Career Launcher, Kidzee, Jawed Habib and Firstcry. Franchises can provide you with an opportunity to learn from others’ success, enjoy the support of franchise owners and learn the key areas to focus on to drive long-term, sustainable success.
6. Why choose Chennai for investment and business?
Chennai is one of the most lucrative cities in India to start a business. Chennai is equipped with large infrastructure, an untapped talent pool, a high literacy rate and specialized policies designed to support small business owners in terms of investment, taxation and labor regulations.
7. What are some small businesses that can be started with low investment?
Small businesses such as freelance website development, language translation, daycare and babysitting facilities, coffee shops or kiosks, event planning and management, tutorials and clothing boutiques can be started with very minimal financial investment.
Editor's Note: This article was first published on 31 January 2022 and updated on 18 November 2025.
