11 Booming Business Ideas in Kerala You Must Know [Profitable]

11 Booming Business Ideas in Kerala You Must Know [Profitable]

Thinking of some business ideas in Kerala? God’s own country has a lot in store for you and is the perfect place for business opportunities.

Talking about business, there is something called management and this is what makes any business difficult to flourish. Click the blue button below and make a profitable start.

Known as God’s own country, Kerala is one of the most beautiful places in India. Attracting people from not just our own country but also internationally, Kerala has got many people intrigued with all its beauty and other things.

If you are from Kerala and are looking for some business ideas for Indians, then look no more. There are multiple things that one can do. Given the popularity of the state, people from all around the world are always on the lookout to find something authentic that brings them closer to this beautiful land.

Since Kerala is full of incredible products and experiences, one can find numerous ideas to start a business opportunity. So let us give you a detailed list of business ideas in Kerala for you to try.

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How To Start a Business In Kerala

To start a business in Kerala there are a few steps that you must take as they are mandatory for a successful business. Let us look at the way to start a business in this part of the land.

Deciding On The Niche

Whenever you plan to start your business, you must decide on a niche. Never hurry in starting a company and running behind an idea just for the sake of starting your own venture soon. The niche should be the one that you have an interest in. Something that you are passionate about and that you would decide to take forward with the same enthusiasm every single day.

Market Research

Do detailed market research on the business you are planning to start. Know about all the challenges that you might face. Learn all about your competitors, the customers, the demand of the customers, and much more.

Business Plan

Once you have decided on an idea for your business and are done with all the research, you must work on a good business plan. A plan that is very detailed and is for the coming five years for your business. Cover every aspect of the business like money, employees, service/product, production, employee, and everything else.


Make sure that the money aspect of the business is well taken care of. Starting a business requires a lot of cash. You can either ask the bank for a loan or ask your family and friends to help you with the finances.


Marketing of the business is very important. Today no business survives without marketing hence get some social media presence and start to connect with people by telling them about your business and what you offer.

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Why Running a Business in Kerala Would be Successful

Highest Digital Reach

If you are wondering about how successful the business is going to be then worry not. Kerala is one state with the highest digital reach which means that you will reach a wider audience. 

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Low Rentals

All small businesses that initially have a lot of money at stake have one less expense to worry about. The rentals in Kerala are low which means that one can rent a shop or property at a lower price as compared to any other state in the country.

Well Connected with the rest of the country

Thanks to Indian Railways, Kerala is well-connected with all of India. It allows people to travel extensively.

Along with this, the state also consists of airports and several other ports which can make the transfer of goods easy and convenient.

Low Operating Cost

The cost of operations is also low in Kerala, hence one can make use of that money someplace else to help make the business flourish.

11 Booming Business Ideas in Kerala

Now that we have understood how doing business in Kerala is a good idea, let’s look at some of these top business ideas in Kerala that you can opt for.


Agarbatti or Incense sticks are found in every household in India. Some use it for religious purposes while some may use it for its aroma which makes the entire room smell beautiful and also helps with aromatherapy.

With a low to medium level of investment, starting an Agarbatti business is one of the best business ideas in Kerala since raw materials like bamboo sticks, sawdust, and charcoal powder are easily available here. Hence this makes for a great business idea in Kerala.

Spice Business

Kerala is the hub for spices and is very popular for the same. People from all around the world come to visit Kerala and take back several bags of spices with them. With such an abundance of spices in the state, starting a spice business would be a great plan.

Kerala’s pepper, cardamom, turmeric, ginger, clove, cinnamon, and many other spices have already caught people’s fancy. The use of spices is not just in food but also in medicines, perfumery, and preservatives. 

Hence, one starts with one spice initially, and later as the business picks can add more spices.

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Tea & Coffee Business

Every person is either a tea or a coffee person and Kerala is home to several tea and coffee plantations.

If you too are passionate about these beverages then getting into this business is one of the best business ideas in Kerala.

From the many plantations that are found in the state, you can get connected and start selling these all over the country.

Banana Chips Business

Kerala is known for a lot of things and banana chips are certainly one of those things. This is definitely one of the most profitable business ideas in Kerala.

The fans of banana chips are everywhere whether they are adults or kids hence the market is also huge.

Ayurvedic Products

Kerala is a highly sought-after ayurvedic destination among all people in and out of the country. Every day people are becoming more and more aware and are learning about the numerous benefits of Ayurveda.

Apart from coming and visiting the Ayurveda destination, Kerala, offer people some amazing products and aroma oils that they can benefit from while dreaming of this beautiful place. This is one of the best small-scale business ideas in Kerala. 

Textile (Sarees)

As mentioned above, Kerala is known for several things but the top two are gold and textile. Balaramapuram sarees, known across the world as Kerala Kasavu sarees and named after the town where they are manufactured are made from the finest silk and natural dyes.

Set up an online store and sell beautiful traditional sarees all across India and maybe source some Banarsi, Leheriya, and other traditional sarees of other states to Kerala.

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Bed N Breakfast

Being a popular tourist destination, Kerala sees a large number of tourist footfalls. Whether it is for the scenic beauty or for the Ayurveda retreat, there are all kinds of tourists visiting this place.

Did you know that this industry provides around 13% of Kerala’s GDP?

Making the most of this, starting a bed n breakfast is another great opportunity for you. There are multiple companies today offering people authentic travel experiences and you can list yourself as a host and give people an amazing experience of staying at a traditional Kerala-style house.

Coconut Oil-Based Food

People all over the world love coconut and are well aware of its benefits. Since Kerala is a hub for coconuts it would be a great idea to start a business where you can produce coconut oil-based goods.

You can prepare all sorts of coconut oil-based snacks at home like jaggery, Sweet, Stuffed pancakes, Kerala spicy mixtures, pudding, chips, roasted cashews, and more and then sell them both online as well as offline to local shops. The initial investment is low and you would be making a lot of profit.


One of the best business ideas in Kerala is starting a tourism business. Kerala is popularly known as God’s own country and rightly so because it is a paradise in the south of India. The serenity of this place is unmatched and attracts both national and international tourists equally.

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There is so much to see and experience in this beautiful land that by the time you are done exploring, you would have fallen in love with the place.

From Tea and coffee plantations to blissful backwaters, Kerala is blessed with stunning views that would leave you speechless. The local traditions and culture would have you visit this place more often.

Hand Crafted Chocolate Business

Another thing that Kerala is famous for is its local handcrafted chocolates which are very popular among tourists. You can visit the places that do chocolate production where you can see the whole process of how chocolate is made.

Hand Crafted Chocolate Business

You can read and research all about how chocolate is made in these places and then start your own business. Tourists are big on exploring such industries and you can also open a shop in the same premises for the visitors to buy and take some back home with them.

All these are some of the top business ideas in Kerala that you can decide to invest in and start on your own.

Tour Guide

Since Kerala has so much to offer and the footfall in the state is massive. both from India as well as from people from around the world, becoming a tour guide or starting an agency that offers tour guides is a great business idea in Kerala. As a local, you obviously know all the must-visit places and hidden gems. You would also be able to prove the tourists with authentic experiences and tell them where to go, shop or eat.

You can also hire people with similar interests as guides for your business and plan tours for tourists. You can collaborate with cab drivers, mini buses, and others to expand your business.

Kerala govt schemes for new businesses

There are several schemes that the Kerala government offers for new businesses.

List of Departments providing Institutional Support to Startups. 

  • Department of Higher Education 
  • Department of Planning & Economic Affairs 
  • Kerala Police Department   
  • Department of Tourism
  • Department of Agriculture   
  •  Department of Industries
  • Department of Finance 
  • Directorate of Sports & Youth Affairs  
  • Department of Electronics & IT 
  • Energy Management Center 

To help and support new start-ups, the Kerala government offers several schemes. Let us look at some of them.

Soft Loan Scheme for Women Entrepreneurs

Kerala Startup Mission (KSUM) supports women startups with a soft loan scheme for a limited amount of Rs.15 Lakhs as working capital for implementing projects and works received from the Public Sector and Govt. departments undertakings in Kerala.

The loan amount is limited to 80% of the Purchase order. The soft loan will have 6% simple interest and must be paid back in 1 year or on completion of the project with the full settlement, whichever is earlier.

Marketing Support

To support startups in their marketing initiatives, KSUM offers a scheme to subsidize product video development. Those in the early revenue-making stage with good products shall be selected for the scheme. The support provided for the scheme is as follows:

  • Explainer Videos
  • Product videos
  • 70% of the actual cost with a ceiling of 1.5 lakh shall be provided by KSUM to each startup
  • The scheme shall be available for new projects and videos created by startups and the same should be done through the impaneled agency of KSUM.
  • Maximum 2 videos can be created through the scheme for the startup products

Support to Rural Innovators

To help convert ideas into full-fledged ventures, the scheme provides financial support to entrepreneurs and startups. Implemented through Kerala Startup Mission, which is the nodal agency of Govt. of Kerala for startup-related activities and schemes.

Innovation grants are not prized money for having an idea. The purpose of the grant is to help innovators develop prototypes or products and set up startups. The grant is only available for the ideas that are at the Grassroot Innovations and Rural Innovations.

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Rent Subsidy

Kerala Startup Mission (KSUM) supports startups that show great performance by providing rental support for their infrastructure built-up space in Government parks, Government agencies, or locations owned by them.

This is provided as a reimbursement of a portion of rent paid as a subsidy for a limited period. The government of Kerala vides G.O (Rt) No. 133/2018/ITD dated 21.05.2018 released an order for the above and accorded sanction to KSUM for implementing the rent subsidy scheme to startups based on predefined eligibility.

The subsidizing would be in terms of reimbursing part of the rent (a maximum of 50% or Rs.20/sq.ft), whichever is lower and this would be subjected to the growth shown by the startup.

Startup Communities Development and Partnership Programmes

Startups who have been engaged in promoting entrepreneurs, value-adding to the startup fraternity, and pursuing startup evangelization activities are invited from Startup communities.

The new community program aims to not just identify but also bring in more potential startups for KSUM. These are primarily the ones who are outside the radar of KSUM and identify value-adding stakeholders and out bounding activity.

Top Business Ideas Statewise


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How Lio Can Help With Business In Kerala

Thinking of starting a business in Kerala? Lio is here to help you. Lio is a useful platform that can help entrepreneurs. Lio is a mobile application that helps to organize business data and present them in an eye-catching manner. 

Lio is a great platform for small business owners and can track a wholesome record of employee information for better employee management, customer data, etc. You can handle those data with ease.

If you want to be a professional, then you must save your time, you need to learn to arrange all the business strategies in one place. In that case, Lio can be your partner.

Entrepreneurs can also allow multiple authorized users of their office to access the information from various locations within minutes.

Lio is definitely for the win and using it for your business is only going to make your journey smooth and easy to track.

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Step 2: Create your account using your Phone Number or Email Id.

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Verify the OTP and you are good to go.

Step 3: Select a template in which you want to add your data.

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Step 4: All Done? Share and Collaborate with your contacts.

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How Lio Automation Can Help You Business Process

Automation surely does make a difference in running a business whether small or large. It can be tricky and overwhelming at first to switch all the business processes to automation but not with Lio. 

Lio Automation gives you many amazing features that make your work super simple and effective. There are very many features that will help you and your business in various aspects. From connecting and staying in touch with your customers, to working together as a team, and everything in between, Lio Automation will truly make your business run smoothly and make it reach new heights of success.

If you are using Lio Automation for your business processes consider all your data safe and secure all the time. Not only is the data saved in the cloud, but it also offers a data versioning feature in which you can actually see the many changes the document or file has gone through and who has made those changes. You can save the version of the file as required by you. 

Lio Automation also makes working in teams very easy with their Task feature. you can not just assign tasks to your team efficiently. You can set the priority of each task along with the due date. Your team will get a notification about the task automatically, even on Whatsapp, they can see their assigned tasks in the app, mark them complete, and you will get a notification on Whatsapp! 

Not just this, Team management and work allocation are made super easy with Lio Automation. You can also work with teams in real time and see all the changes happening.

You can share invoices and receipts with your customers while also sharing the payment links with them to make the whole transaction process smoother and absolutely hassle-free for everyone. 

You can create dashboards for each file which would give you clear details of your company’s operations, marketing campaigns, sales, and other analytics. This is one useful feature that would truly make a difference to your business and help your see all the processes clearly so that you can make well-informed decisions.

There are several other amazing Lio automation features that are made so that you and your business can benefit from them. Excited to know more about it? Click here to start with your Lio automation process for your brand and start your journey to success. 


In this article, I have given a detailed account of some of the top business ideas for Kerala. There are many other business ideas in Kerala that one can take on.

What is important is that you find something that interests you and you have a passion for so that you can put all your hard work into it and become a successful venture.

Frequently Asked Questions (FAQs)

What are some of the most profitable business ideas in Kerala?

Some of the most profitable businesses in Kerala are as follows:

– Spice Business
– Tea & Coffee Plantation
– Dry Fruits
– Ayurveda Products
– Banana Chips

What are some of the most successful small business ideas in Kerala?

Successful small businesses in Kerala are:

– Business Consulting
– Courier Services
– Personal Chef
– Tutoring and more.

What is the main business in Kerala?

The main businesses in Kerala are IT, Shipping, Tea Manufacturing, Tourism, fishing etc.

What business can you start under INR 10000 in Kerala?

Some of the top businesses that you can start under INR 10000 are:

– Homemade Sweets and Snacks
– Online Bakery
– Social Media Strategist
– Breakfast Joint

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  • I’m from Kerala. I had no idea we could operate such a wide variety of enterprises. Your article is truly spectacular. I’m going to show this to my father and have plans to launch a business. Thank you very much

    • Hello Anandhi,

      Thank you so much for your warm words.
      It makes me so glad that you read this article and that it was helpful in helping you launch your business.
      I wish you well in your new endeavor.

  • Please recommend a few tools to me so I can conduct market research for my company.

    • Hello Revathy,

      Here are some of the top Resources & Tools for Market Research.
      Census Bureau, Typeform, Statista, Think With Google Research Tools, Tableau, and SurveyMonkey.
      I hope you find this information useful.

  • Please give me some advice on conducting market research.

    • Hello Raveena,

      Market research is the process of obtaining data on your target market and customers to confirm the success of a new product, assist your team in refining an existing product, or analyze brand perception to make sure your team is effectively expressing the value of your organization.

      Market research offers information on a wide range of topics, including where your target market and existing customers conduct their product or service research, which of your rivals they turn to for information, choices, or purchases, what’s popular in your industry and in the eyes of your target market, who makes up your market and what their challenges are, and what influences purchases and conversions among your target market.

  • Could you also help us peeps from Karnataka with the best village business ideas? Totally love your articles..

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