13 Best Business Ideas in Bihar for 2024
Bihar is one of the growing states with a rich business prospect on India’s map for the new generation of entrepreneurs. This virtue of the state has indeed positioned Bihar with a buffering cultural endowment and growing market base as the ideal incubator for new business ideas in Bihar to germinate.
Why Start a Small Business in Bihar?
Before diving into specific business ideas in Bihar, let’s consider why Bihar is an attractive destination for entrepreneurs:
- Rapidly growing economy: The economic growth rate of Bihar has been on a rising trend in the last few years, and there is great potential for the establishment of new ventures in the state and their growth.
- Large consumer base: As there are over 100 million people in Bihar, the state is perfect for developing new business ideas in Bihar.
- Government support for small businesses: Currently, Bihar has put in place measures and policies that have made the state a hub for startups for small businesses.
- Abundance of natural resources: It is also blessed with arable land and minerals which are suitable for any business in Bihar in agricultural business, mining business, and the rest.
- Improving infrastructure: The state has also been investing a lot of capital in infrastructure such as road networks, electricity and communication networks, internet hence enabling easy and efficient business.
Top 13 New Business Ideas in Bihar for 2024
Now, let’s discuss the top 14 new business ideas in Bihar through which you can harness the economic power of Bihar.
1. Silk Cloth Store
A cloth shop in Bihar is using the history of the state as having been associated with silk, especially from the Bhagalpur region. This business in Bihar is about the purchase of quality silk fabrics from local suppliers and selling various products like sarees, dress materials, and other accessories.
This way, the real Bihar silk products can be made affordable to the local people; and to the tourists and bankers who may want to have original Bihar silk products.
Investment:
₹3 lakhs to ₹5 lakhs
Set-Up Requirements:
- The registration of the store account can be done in the following steps
- Obtain trading license
- Rent a suitable location
- Obtain real silk fabric
- Hire reliable staff
Benefits:
- Sufficient availability of raw silk in Bihar and at a relatively lower cost
- The demand increases day by day in the global market for silk products
Market Potential:
The sericulture market of India for the period of 2023-2028 is projected at ₹1,194.5 billion with a compound annual growth rate of 17.7%.
Profit Margin:
50% – 80%
2. Coaching Centre
One of the most viable new business ideas in Bihar is to establish a coaching center for competitive tests because the state is currently known for producing excellent results in competitive tests. This venture involves offering a specific type of tutoring service namely JEE, NEET, and UPSC among other competitive examinations.
The players in this industry can set their coaching centers apart through standard packages to offer to the students, online teaching, and well-compiled study materials to guide learners to their desired fields of specialization.
Investment:
₹70,000 to ₹1 lakh
Set-Up Requirements:
- Rent a suitable location
- Hire qualified teaching staff
- Purchase study materials of the concerned subject.
- We buy any teaching equipment that may be required.
Benefits:
- Online Coaching is one of the options (The overhead cost is lower)
- The shared plans with other educators
Market Potential:
The global online coaching market is expected to grow USD 4,567.44 million by 2030 at a compound annual growth rate of 13.4%.
Profit Margin:
10% – 30%
Explore More: How to Start a School in India
3. Milk Dairy Business
Since Bihar has a very robust agricultural sector, the idea of a milk-dairy business is a good business proposition. This business includes the establishment of a dairy firm, purchase of milk from producers, and supplying it.
There are several other dairy products they can develop as products in the country these are ghee, paneer, and flavored milk. Therefore, quality and reliable supply chain management can help a milk dairy business meet the increasing demand for dairy products in Bihar and other states.
Investment:
₹10 lakhs to ₹20 lakhs
Set-Up Requirements:
- The SSD service registration process be fully completed
- Obtain FSSAI license
- Choose the proper breeds of cattle to buy
- Acquire land for accommodation of animals
- Source quality fodder
Benefits:
- New channel through which other dairy products can be introduced into the market
- Extra income can be obtained through the sales of cow dung for biogas production.
Market Potential:
The Indian dairy market has been estimated to grow at a CAGR of 13.2% between the years 2023-2028.
Profit Margin:
15% – 20%
4. Tailoring Business
If you have tailoring skills, then a tailoring business is one of the easiest new business ideas in Bihar. This venture focuses on providing quality services of fashion and design for traditional apparel, formal wear as well as casual wear.
There are several ways in which the entrepreneurs in this industry can make their services stand out, by focusing on certain types of clothing, by offering alterations services, or by using traditional Bihar embroidery in their products. Since more and more people are chicks of well-fitting clothes, the tailoring business can find a place in Bihar’s fashion market.
Investment:
₹12,000 to ₹1.5 lakhs
Set-Up Requirements:
- Submit all relevant registration formalities
- Buy sewing machines and equipment
- Acquire necessary training
- Recruiting experienced employees occasionally
- Hire an appropriate space (optional)
Benefits:
- Low initial investment
- Opportunity to expand to sewing classes
Market Potential:
The Indian tailoring industry is currently valued at ₹27,000 crores and growing at a rate of 12% annually.
Profit Margin:
10% – 20%
5. Beekeeping Business
Beekeeping is a new business model in Bihar which relates to agriculture and entrepreneurial development. Products under this type of venture include the management of body beehives, honey collection, and possibly selling other honey products such as beeswax and royal jelly.
Local businessmen can sell their honey as an organic and local product that will fit modern society’s requirement for healthy products. On the same note, services of beekeeping can also be provided to farmers to enhance crop pollination thus enhancing another source of income.
Investment:
₹1 lakh to ₹3.50 lakhs
Set-Up Requirements:
- Buy honey bees with a nucleus colony
- Hire qualified staff
- Secure essential bee hive and management gadgets
- Buy protective items, especially for bees (bee veils, suits, gloves ).
Benefits:
- Helps to pollinate crops thereby improving productivity in the farms as a whole.
- Requires minimal investment
- Potential for rapid growth
Market Potential:
The Indian beekeeping market is projected to rise at a CAGR of 11.65% during 2023-2028.
Profit Margin:
50% – 80%
6. Litti Chokha Restaurant
Litti Chokha’s restaurant business idea in Bihar is innovative since it aims to represent Bihar’s cuisine. This venture aims at starting a restaurant that focuses on this Bihari delicacy, and other related delicacies. Businesspeople can make the environment friendly and present Bihar’s theme, additionally, they should serve both eat-in and delivery services.
Because of the concentration on the traditional taste and quality products, a Litti Chokha restaurant will be popular among the population and tourists as they will get a chance to taste the real Bihar cuisine.
Investment:
₹1 lakh to ₹2 lakhs
Set-Up Requirements:
- Obtain FSSAI license
- Complete GST registration
- Rent a suitable location
- Purchase necessary equipment
- Hire efficient kitchen staff
Benefits:
- The recipe does not require a high cost of ingredients and equipment to prepare the meals.
- Opportunity to expand in the catering services line.
Market Potential:
The food services industry of India is expected to grow at a composite annual growth rate of 11.19%.
Profit Margin:
35% – 50%
7. Bakery Shop
A bakery shop is one of the most innovative businesses to start in Bihar, which will help satisfy the need for fresh baked products. This venture entails establishing a groundbreaking bakery that would sell bread, pastries, cakes, and traditional sweet meals.
One way that an entrepreneur can make his bakery unique is to offer bakery products that have the taste of Bihari style mixed with the Western style of baking. By maintaining the quality and diversifying its product offering, a bakery shop may become a landmark in a certain locality and even grow a chain of bakery shops in Bihar.
Investment:
₹80,000 to ₹3 lakhs
Set-Up Requirements:
- The final process of store registration
- Obtain FSSAI license
- Source quality ingredients
- Purchase baking equipment
- Invest in marketing
Benefits:
- Low cost of raw materials
- Possibility to continue the creative work
- Sustainable market demand
Market Potential:
The investment in the Indian bakery business is estimated to reach a CAGR of 10.8% in the years 2023-2028.
Profit Margin:
20% – 40%
Explore More: How to Start a Cafe in India
8. Fish Supply Business
Another successful business opportunity for Bihar is the Fish Supply Business; Bihar ranks among the 4th largest fish-producing state in India. This business entails the purchase of fresh fish from local producers, and then selling to consumers in the market, restaurants, and supermarkets.
Business persons can thus concentrate on the cold chain to enable the products to be fresh. It means that a fish supply business that delivers different types of fish and maintains the quality can become a well-known brand in Bihar’s developing seafood market.
Investment:
₹25,000 to ₹1 lakh
Set-Up Requirements:
- Obtain required permits from the government
- Select a suitable location
- Purchase packaging materials
- Choose fish breeds to supply
- To avoid being a victim of such diseases give support to disease prevention activities.
Benefits:
- Fish in India is also in high demand across the country.
- Low labor costs
- Opportunity to develop into fish farming
Market Potential:
According to the market, the fish market in India is going to grow with a Compound Annual Growth Rate (CAGR) of 8.81% between 2023 and 2028.
Profit Margin:
15% – 20%
9. Organic Fertilizer Business
The organic fertilizer business is an environmentally friendly new business venture opportunity situated in Bihar that is helpful to the state’s agricultural industry. This venture aims at manufacturing and selling organic fertilizers that include compost, animal manure, and plant residues.
They may inform farmers of the importance of organic farming and supply a combination of fertilizers for various crops. An organic fertilizer business can help Bihar’s agriculture boom as there is an emerging craze for organic products and by encouraging sustainable agriculture practices.
Investment:
₹1.5 lakhs to ₹2 lakhs
Set-Up Requirements:
- Register the firm
- Obtain a trading license
- Secure a suitable location
- Source raw materials
- Coordinate distribution channels
Benefits:
- The other reason is the growing appreciation of organic farming.
- Opportunity to develop long-standing business with customers
Market Potential:
The Indian fertilizer industry is projected to grow at a 5.7% compound annual growth rate by 2029.
Profit Margin:
5% – 10%
10. Wheat Processing
A wheat processing business is a good business opportunity in Bihar because the company will benefit from the advantage of having a ready market for the wheat produced in the state. This business includes the establishment of a wheat mill plant to mill raw wheat into flour and other wheat products.
Basic flours that an entrepreneur can sell include whole wheat flour, refined flour, and special flours. Due to the proper quality control and the proper relations with local farmers and retailers a business processing wheat can be considered an important link in the food chain in Bihar.
Investment:
₹7 lakhs to ₹9 lakhs
Set-Up Requirements:
- Obtain trading license
- Complete company registration
- Buy Wheat Milling Machines
- Hire skilled operators
- It is important to develop certain relationships with the suppliers of wheat.
Benefits:
- Favorable availability of wheat grains in Bihar
- Although wheat is consumed in very high quantities across the globe, there is a high demand for processed wheat products.
- Opportunity to achieve high rates of business development
Market Potential:
The domestic wheat processing industry of India is on a growth trajectory of 5% CAGR.
Profit Margin:
15% – 20%
11. Jute Bag Business
A jute bag business is a new venture idea of Bihar that may suit the current shift towards green products. This business entails the production and marketing of jute bags of different sizes and styles for shopping, gifts, and packing.
To design Bihar-specific symbols, jewelry entrepreneurs may engage local craftsmen who will make the designs by hand. Being able to sell jute bags as a product that comes into direct conflict with plastic bags means that this business can market its products as environmentally friendly products for consumers and businesses that are showing an interest in doing their part to preserve the environment.
Investment:
₹50,000 to ₹1.5 lakhs
Set-Up Requirements:
- Source quality jute fabric
- Hire skilled workers
- Acquire necessary tools (sewing machines dyes and many others)
Benefits:
- Bihar is the third largest producer of jute in India.
- Higher demand as they are environmentally friendly
- Minimal staff requirements
Market Potential:
The current and future analysis of jute bags in India is projected to reflect a CAGR of 4.9% during the period between 2022 and 2032.
Profit Margin:
50% – 80%
12. Candle Making Business
Candle-making business is a unique business idea in Bihar which is related to art as well as business. This venture aims at manufacturing and marketing candles including scented candles, decorative candles as well and candles for occasions. There are fragrances that can be considered local, which are based on the flowers of Bihar, and the candles can be produced with the motives of the local culture.
It can be proposed that a candle-making business should focus on the customization of its products by providing an option of customization and concentrating on both retail and corporate sales to successfully enter the developing Bihar marketplace of home decor and gifts.
Investment:
₹25,000 to ₹2.5 lakhs
Set-Up Requirements:
- Develop required competencies (it is advisable to get a master’s degree in the craft).
- Source raw materials
- As for human resources, recruit competent personnel (if the organization does not already have such staff).
Benefits:
- The products are easy to learn and to be customized in the market.
- Can be operated from home
- Low-cost raw materials
Market Potential:
The candle-making business in India is expected to grow at a CAGR of 4.81% from 2023-2027.
Profit Margin: 30% – 45%
13. Pickle Making Business
Pickle-making business is one of the unique business ideas for Bihar that will help in reestablishing the lost taste of Bihar’s cuisine. This business includes the preparation of different kinds of pickles which will be made from locally available raw materials and the traditional method of preparation.
It will enable the entrepreneurs to develop new products such as pickles that have blends that can diversely represent Bihar and adapt to different regions. In this way, engaging different kinds of natural preservation techniques and nice-looking packaging, a pickle-making business can attract customers, who prefer healthy meals — and tasty, homemade-like pickles.
Investment:
₹80,000 to ₹1 lakh
Set-Up Requirements:
- Full trademark registration
- Purchase good quality raw materials mostly vegetables, fruits, spices or oil.
- Buy required tools (cutting and mixing apparatuses)
- Acquire storage containers
Benefits:
- Can be operated from home
- Flexible pricing strategies
- Low-cost raw materials
Market Potential:
The market for pickle-making business in India is expected to have a growth rate of 4.1 % in the period of 2022-2027.
Profit Margin:
50% – 80%
Conclusion
Bihar has had a fairly rich experience in creating a favorable climate for doing business and has great prospects for the development of its economy, which will attract young people to create their own companies. The 14 business ideas presented in this guide offer a vast potential for the development of various forms of businesses in different fields starting from artful crafts and ending with service provision.
Thus, the business ideas in Bihar lie in the unexplored sectors of culture, agro-based industries, and an increasing number of middle class which can be easily tapped along with the development of Bihar. Whether you have an interest in culinary arts sustainable agriculture, or personal care services, there is a specific area of entrepreneurship that can be developed in Bihar today.
It’s important to understand that success is not limited to having a great idea but only in its proper implementation, its flexibility, and the ability to address the new challenges of the Bihar market.
Frequently Asked Questions
1. What is the current position of Bihar about the availability of government grants or subsidies for startups?
For instance, the Bihar government has not been highlighted to provide any incentives for startups; however, it has some policies that it offers to support new and small businesses. Some of these may be in the form of cash support, tax incentives or sponsorships, and guidance and coaching. Future business venturers should contact the Bihar Industrial Promotion Board or the state’s Department of Industries for the most recent updates on incentives.
2. What are the legal formalities that one has to fulfill to register a Business in Bihar?
It would be impossible to explain all the steps in this article, but, in general, companies in Bihar must register at the Registrar of Companies, get a GST registration number, and obey local municipal rules. The peculiarities may also depend on the field of business and business scale.
3. How does Bihar’s infrastructure facilitate these new business concepts?
Despite the fact that the article discusses the role of innovation in economic growth, it only briefly speaks about infrastructure upgrades. In the recent past, Bihar has been putting a great deal of effort in the areas of road connectivity, the power sector, and telecommunication. However, the entrepreneurs need to study the structural requirements of the selected business and the available structures in the desired area.
4. Is there any business incubator or startup village for new start-ups in Bihar?
The article omits this, but Bihar does have a number of incubators and startup centers, especially in places like Patna. Such organizations normally offer physical space, training, and contacts for such start-up ventures. New venture owners should consider exploring what is available such as the Bihar Entrepreneurs Association or incubation centers affiliated with universities.
5. In what ways does the seasonality of the businesses of Bihar especially focusing on the agriculture sector?
Even though this aspect is not highlighted in the article, several businesses in Bihar, particularly those in agriculture such as the organic fertilizer or the wheat processing business, can be influenced by seasonal changes. Large numbers of people are affected by monsoons, harvest seasons, and festivals and the effects on operations should be taken into consideration by the entrepreneurs.
