5 Startup Ideas for a Business in Russia
Russia offers plenty of business opportunities. The competition in Russia is much lower compared to the US and the EU, the same is true about salaries, rental and utility fees. Vast domestic market and export-oriented infrastructure ensure businesses won't have problems with selling their goods and services.
Below we chose 5 good ideas for a startup in Russia.
1. Farming. It may seem that Russia with its cold winters is not the best place for farming, but it is not correct. Firstly, most of Russia's European regions have quite mild winters and warm summers, and in some regions (like Crimea or Krasnodar) you can easily grow subtropical cultures. Secondly, in Russia you can buy large and cheap land plots ideal for farming. Thirdly, many territories have not been affected by human activities and allow to grow truly organic products. Finally, farmers in Russia enjoy state support and reduced taxes.
2. Teaching. Over 50 million of Russians are below 30. Most of them are eager to learn to broaden their horizons and get new career opportunities. Language courses from a native speaker are always in demand, especially courses in English, German, Spanish, Chinese and Arab. Language courses do not require much investments, and you can always support your teaching business by offering translation services.
3. IT Services. Russia is a perfect place for establishing an IT company. You can easily find talented programmers and IT engineers (by the way, Russian hackers are among the best in the world) offering a monthly salary of just $1000-2000. Many Russian companies are looking to improving their IT solutions, or you may offer your services to European, American or Chinese customers.
4. Timber Processing. 45 per cent of Russian territory is covered with forests making it about ¼ of the world's wood reserves. Forests available for harvesting and processing are officially sold at auctions, and any company can buy them. Many businesses sell logs without further processing, but those few of them who produce beams or, for example, plywood, enjoy substantial benefits. Producing wooden houses is another promising activity in this area.
5. A Gastropub. It may seem strange, but many Russian cities lack good bars and restaurants. Even in Moscow and St. Petersburg there are not many of them in residential areas. Opening a cosy gastropub with good menu and fashionable design for the middle class is almost always a win-win option.
Ready to start? Check our Business in Russia page to find out more details on registering and running a business in Russia.