Unexpected Business Ideas From Small Towns

How are you supposed to take a great business idea and become super successful when you live in a small town?

Aren’t the really profitable businesses and self-made millionaires found in big cities? 

So if the real money is made in the big cities, why would you even consider starting your own business in a small town? 

But what if I told you that some of the world’s most recognizable brands actually started as small businesses in small, unassuming towns?

In this article, we’re going to look at four surprising examples of major businesses that blossomed from small-town roots. 

I’ll show that location isn’t everything when it comes to business success.

We’ll take a look at what these business ideas were;

The secrets that allowed them to succeed in small towns;

But most importantly, what the success of these four unexpected business ideas means for your own small town business idea.

And if you read to the end, I’ll share with you a valuable tip from one of the most innovative and successful entrepreneurs in history that will help you along your own entrepreneurial journey.

But before we get to that, like many of you, I live in a small town myself and I’ve spent years running a small business. 

I’ve seen firsthand what works and what doesn’t. 

I’ve observed trends, talked to countless other small town entrepreneurs, and identified some seriously under-rated opportunities. 

The four examples of unexpected business ideas from small towns that we’ll look at today are of small town entrepreneurs who also saw opportunities and took their ideas to greatness.

Unexpected Business Ideas From The Farmland

We’ll start in Derry Church, Pennsylvania in the late 1800s.

It’s a time when chocolate was a luxury and only enjoyed by the wealthy. 

But one entrepreneur living in Derry Church had a vision.

He wanted to make delicious milk chocolate affordable and accessible to everyone. 

And he saw the small town he lived in as a massive asset to achieve his goals.

Milton Hershey ended up in rural Derry Church after business failures in New York City, Chicago and Philadelphia.

It was a quiet, agricultural town. 

Hersey loved the candy business and a big vision: mass-produced milk chocolate that anyone could buy and enjoy.

But his problem was that chocolate was a treat for the rich.

Regular people enjoying it was a radical idea at the time because it was so expensive. 

Many people, especially those in a rural setting like Derry Church, thought Hersey’s dreams were unrealistic. 

The prevailing wisdom was that the large-scale operation he envisioned couldn’t survive in a small town.

But despite this skepticism, Hershey went all in. 

He sold a successful caramel business he owned and invested everything into building a state-of-the-art chocolate factory in Derry Church.

He even built an entire town around the factory for his workers. 

This was a huge gamble.

But it paid off. 

His innovative production and focus on quality made his chocolate incredibly popular. 

Derry Church transformed into Hershey, Pennsylvania, a thriving community built around his chocolate empire. 

What was once considered an isolated, rural location became the center of the American chocolate industry.

Like Milton Hershey, you might have big entrepreneurial dreams that seem out of place given your current circumstances, especially if you live in a small town. 

But Hershey’s story proves that big dreams can come from the smallest places. 

Don’t let your location or limited resources discourage you. 

With vision, determination, and innovation, you can turn your small-town idea into big-time success. 

It’s not where you start, but how you start and the dedication you bring to your vision.

Unexpected Business Ideas From The Backwoods

So, we’ve seen how one man’s vision transformed a small Pennsylvania town. 

Now, let’s travel to the rugged backwoods of Maine, where another entrepreneur found inspiration in a very different kind of problem – one involving wet feet.

Dealing with wet feet is a common nuisance, especially for anyone who spends time outdoors.

When I was young, we called it ‘getting a soaker.’

But what if a common problem like a soaker had a simple solution?

And what if that solution could became the foundation of a multi-million dollar business, no matter where you live? 

The story of L.L. Bean proves that sometimes, the most successful ventures are born from solving everyday inconveniences. 

In fact, it’s often the most practical, down-to-earth solutions that win over customers and build lasting business empires.

Now picture the year 1912 in Freeport, Maine. 

Leon Bean was an avid outdoorsman and hunter.

But he was tired of one persistent problem: wet feet. 

The woods in Maine are well-known for being damp, and the boots in 1912 were just not cutting it.

Every time Bean went hunting, his feet would get soaked, leading to discomfort, cold, and even sickness. 

But this wasn’t just an inconvenience; it was a real obstacle to enjoying his passion. 

And it was a common problem for many other outdoorsmen at the time as well.

But Bean decided to take matters into his own hands.

He combined leather uppers with rubber bottoms, creating a new kind of boot—one that was truly waterproof. 

He initially sold these boots to other hunters through mail order, guaranteeing their satisfaction.

Bean’s simple solution was a hit. 

Word spread quickly about the reliable, dry footwear. 

Demand grew, and his small mail-order business blossomed into L.L. Bean, a now-iconic brand known for its quality outdoor gear and unwavering customer satisfaction. 

What started as a solution to a personal problem became a solution for countless others, building a lasting business empire.

And just like L.L. Bean, you might be facing a problem right now that, if solved in a smart way, could be the foundation of your own successful small business. 

Think about your everyday problems. 

We all have them. 

But what if one of those problems held the key to your business success?

Don’t dismiss everyday frustrations as insignificant. 

Instead, look at them as potential opportunities. 

A simple solution to a common problem, combined with a dedication to quality and customer service, can be the spark that ignites your entrepreneurial journey. 

Be like Bean and get good at recognizing a need and providing a valuable, practical solution.

Unexpected Business Ideas From Breakfast

Now we’ve seen how a simple solution for soggy socks could build a lasting outdoor brand. 

But let’s shift gears and explore how a different kind of everyday need led to the rise of another iconic small-town business, this time in the heart of Michigan.

You might assume that major food companies are born in major metropolitan centers, close to distribution networks and large consumer bases. 

But that wasn’t the case of Kellogg’s.

What is now a household name in breakfast cereals has its roots in a small town in Michigan called Battle Creek.

Battle Creek was a relatively small community at the turn of the 20th century and it was a hub for the growing health food industry.

It was also the birthplace of a breakfast revolution. 

But new healthy food inventions aside, what Kellogg’s story will really demonstrate for us is that innovative business ideas can spring from anywhere, regardless of location.

We’re now in the early 1900s. 

W.K. Kellogg is working with his brother at the Battle Creek Sanitarium. 

Battle Creek is a relatively small town.

It’s known at the time for its focus on health and wellness and attracts people seeking alternative therapies.

It wasn’t definitely not a major commercial hub like Chicago or New York.

At the time, the Kellogg brothers were trying to create easily digestible foods for the sanitarium’s patients. 

They were experimenting with grains, trying to find a tasty and nutritious breakfast meal. 

The challenge was creating something that was both healthy and appealing.

It wasn’t easy considering their limited resources and their small-town setting. 

They didn’t have access to the same distribution networks, variety of suppliers, or access to research expertise that a big-city location might have offered.

But, one day, a batch of cooked wheat was accidentally left out. 

When they tried to save it, they discovered that the wheat had become flaky. 

They decided to toast these flakes, creating what we now know as corn flakes (though initially they were made with wheat). 

The patients loved the toasted flakes. 

Word spread quickly.

Soon, demand for this new breakfast food extended beyond the sanitarium. 

Kellogg recognized the business potential of this discovery and decided to start his own company in Battle Creek. 

But despite its small size, the town became the epicenter of a breakfast revolution, with Kellogg’s becoming a household name.

And just like Kellogg, you might feel limited by your current location, especially if you live in a small town. 

You might think you need to move to a big city to achieve significant business success. 

But Kellogg’s story demonstrates that innovation and a strong product can overcome geographical limitations. 

Don’t underestimate the power of a good idea, even if it originates in a small town. 

Focus on creating value.

Build a strong local base.

And leverage the resources you do have available to you. 

Your small-town start doesn’t have to define your limits.

Like Kellogg’s, your small town business idea can be the foundation for something much, much bigger.

Unexpected Business Ideas in the Mountains

So, we’ve just heard how a small town kitchen accident and a health trend could change how everyone eats an entire meal. 

But now, let’s travel to the Ozark Mountains of Arkansas, where another entrepreneur had a vision to radically change retail.

And it all started with a simple idea in a small town.

Many people assume that small towns offer limited opportunities for business growth, especially in competitive industries like retail. 

Yet, Sam Walton defied this assumption by building a retail empire from a small-town base. 

This is the story of how a simple five-and-dime store in Rogers, Arkansas, became the foundation for Walmart, a global retail powerhouse. 

Walton’s journey demonstrates that even the smallest beginnings can lead to extraordinary success.

In your head, think about building something big, something that impacts millions of people. 

Now picture Rogers, Arkansas in 1962. There was nothing big about Rogers and it certainly didn’t have millions of people living there. 

Sam Walton had been running a successful variety store, but he had a bigger vision.

Rogers was a small town, with a population of around 5,000. 

It wasn’t exactly a major retail hub.

Rogers, Arkansas was just a typical small American town.

Walton recognized that small-town shoppers had three desires.

They wanted a wide selection of goods, at affordable prices, close to home.

But Big-city style department stores just weren’t easily accessible to them. 

The challenge was how to bring the selection and prices of a big-city store to small-town America.

So Walton opened his first Walmart store in Rogers.

He focused on offering lower prices than competitors and providing a wider variety of merchandise. 

He also focused on excellent customer service and building strong relationships with his customers. 

Critically, he began strategically opening more stores in other small towns, creating a network that served a vast rural population.

Walton’s approach was a massive success.

By focusing on small towns, he tapped into an underserved market. 

His emphasis on low prices and customer service created loyal customers. 

The Walmart chain grew rapidly, expanding from Rogers, Arkansas, to become the world’s largest retailer. 

What started as a single store in a small town revolutionized the retail industry.

But, like Sam Walton, you might feel limited by your current circumstances, especially if you’re wanting to grow a business in a rural community. 

You might think you need to be in a big city to achieve your business dreams. 

But Walton’s story demonstrates that focusing on a specific market’s needs, providing exceptional value, and strategically expanding can lead to extraordinary success, regardless of your starting point. 

Don’t underestimate the potential of your local community. 

By understanding its needs and providing a valuable solution, you can build something truly remarkable, even from the smallest beginnings. 

It’s about recognizing the opportunities where others don’t and executing your vision with determination.

Unexpected Business Idea Inspiration

Now at the beginning of the article, I said I would share with you a valuable tip from one of the most innovative entrepreneurs in history.

Here’s a quote from him that will absolutely help you on your own entrepreneurial journey.

Exceed your customers’ expectations.
If you do, they’ll come back over and over. 
Give them what they want—and a little more. 
Let them know you appreciate them. 
Make good on all your mistakes, and don’t make excuses—apologize. 
Stand behind everything you do. 
The two most important words I ever wrote were on that first Wal-Mart sign: “Satisfaction Guaranteed.” 
They’re still up there, and they have made all the difference.”

Sam Walton

That was from Sam Walton, the small town entrepreneur we just discussed in this video. 

He was also, at one point, the richest man in America.

Sam Walton’s emphasis on exceeding customer expectations is completely relevant for small-town businesses. 

Word-of-mouth travels fast in small communities, making customer satisfaction even more crucial. 

You need to consistently go the extra mile—offer personalized service, remember names, and truly value your customer relationship.

If you do these things “a little more” like Sam Walton did, your small businesses can build a loyal customer base that not only returns on a regular basis but also actively promotes your business to others in your community. 

In a small town personal connections matter deeply.

Exceeding expectations can create a powerful competitive advantage and foster long-term small business success.

We hope you found this article helpful. To keep you going on your entrepreneurial journey, we’ve created lots of other useful content for new and aspiring small business owners and side hustlers!

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