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Starting a Small Business in Minnesota

Welcome to the Small Business Startup Minnesota Franchise Directory! Here, you'll find everything you need to begin your journey to business ownership in The Gopher State. If you're considering starting a small business in Minnesota, read on for an overview of the state economy. Afterward, explore business opportunities and franchises for sale with our Minnesota Franchise Search Tool.

Minnesota Industry Trends

If an industry is performing well, business opportunities within it are often worth exploring. Begin your market research with this list of the Minnesota economy's most significant industries in 2022. Afterward, take your research one step further by investigating niche markets and B2B opportunities within one of these top revenue-generating industries.

Health & Medical Insurance (Revenue: $62.6 billion)
Medical Supplies Wholesaling (Revenue: $34.3 billion)
Life Insurance & Annuities (Revenue: $33.6 billion)
Third-Party Administrators & Insurance Claims Adjusters (Revenue: $31.2 billion)
Commercial Banking (Revenue: $28.5 billion)
Hospitals (Revenue: $27.6 billion)
Automobile Wholesaling (Revenue: $23.0 billion)
New Car Dealers (Revenue: $21.0 billion)
Wholesale Trade Agents & Brokers (Revenue: $19.5 billion)
Corn, Wheat & Soybean Wholesaling (Revenue: $18.0 billion)

Minnesota Sector Statistics

When starting a small business in Minnesota, gross domestic product (GDP) is another tool entrepreneurs can use to make investment decisions. Generally, a steadily rising GDP means that people are spending more money and creating more jobs.

The three sectors contributing most to Minnesota's GDP in 2022 were Manufacturing; Real Estate, Rentals & Leasing; and Healthcare & Social Assistance. Combined, these three sectors represented 38.8% of the state's GDP. In 2022, the sectors that contributed most to Minnesota's GDP included:

Manufacturing (Value: $54.1 billion* | Annual growth: 4.3%)
Real Estate, Rentals & Leasing (Value: $38.1 billion* | Annual growth: 0.9%)
Healthcare & Social Assistance (Value: $34.4 billion* | Annual growth: 2.9%)
Finance & Insurance (Value: $29.4 billion* | Annual growth: 4.2%)
Professional, Scientific & Technical Services (Value: $26.2 billion* | Annual growth: 3.4%)
Wholesale Trade (Value: $25.1 billion* | Annual growth: 1.2%)
Management of Companies & Enterprises (Value: $18.3 billion* | Annual growth: 5.8%)
Retail Trade (Value: $18.0 billion* | Annual growth: -1.1%)
Information (Value: $15.3 billion* | Annual growth: 3.2%)
Construction (Value: $14.1 billion* | Annual growth: 3.7%)
Agriculture, Forestry, Fishing & Hunting (Value: $10.9 billion* | Annual growth: 12.1%)
Administration, Business Support & Waste Management Services (Value: $9.6 billion* | Annual growth: 6.8%)
Transportation & Warehousing (Value: $7.6 billion* | Annual growth: -5.4%)
Accommodation & Food Services (Value: $6.3 billion* | Annual growth: 2.2%)
Other Services (except Public Administration) (Value: $5.8 billion* | Annual growth: -1.7%)

*Approximately

Minnesota Population Statistics

A growing population often means greater demand and a steady flow of new customers. If you are undecided about the location of your new business, start by investigating population statistics. Afterward, take your research a step further by exploring population demographics. Doing so lets you decide whether a location is a good match for your target market.

In 2023, counties with the highest populations in Minnesota included:

Hennepin (Population: 1.3m | Annual growth rate*: 14.57%)
Ramsey (Population: 565,465 | Annual growth rate*: 11.17%)
Dakota (Population: 452,281 | Annual growth rate*: 13.48%)
Anoka (Population: 373,799 | Annual growth rate*: 12.98%)
Washington (Population: 276,397 | Annual growth rate*: 16.07%)
St. Louis (Population: 200,231 | Annual growth rate*: 0%)
Olmsted (Population: 168,427 | Annual growth rate*: 16.76%)
Stearns (Population: 160,587 | Annual growth rate*: 6.6%)
Scott (Population: 157,228 | Annual growth rate*: 21.01%)
Wright (Population: 146,329 | Annual growth rate*: 17.34%)
Carver (Population: 111,686 | Annual growth rate*: 22.68%)
Sherburne (Population: 99,787 | Annual growth rate*: 12.75%)
Blue Earth (Population: 70,642 | Annual growth rate*: 10.36%)
Rice (Population: 67,985 | Annual growth rate*: 5.99%)
Clay (Population: 9,200 | Annual growth rate*: 13.92%)

*From 2010 to 2023.

Minnesota Business Opportunities

We hope this snapshot of the Minnesota economy helps as you investigate business opportunities in The Gopher State! Starting a small business in Minnesota is an exciting journey, and we know you're probably eager to get started. But remember, take your time to explore all your options. While you'll always have the "opportunity" to start your own business, sometimes, it makes more sense to invest in an opportunity that already exists. These are called "Franchise Opportunities," and they offer several benefits, including the recognition of a well-established brand and a proven track record of success.

To learn more, start by exploring franchise opportunities in Minnesota below!

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Glass Doctor

Glass Doctor, a Neighborly company, is the nation's leading glass repair and replacement services franchise. With us, your path to business ownership is crystal clear

$50,000 Min Cash Required

Wealth Automators

Click the video below to learn how Wealth Automators eCommerce stores provide bi-weekly income for the store owner by selling only USA products on Amazon, Walmart, TikTok Shop, and Facebook Marketplace. We use the same business model as the largest stores on Amazon earning 110 Million monthly revenue. Individuals own their stores 100, while Wealth Automators handles all day-to-day operations in return for a profit split. Business owners achieve 3060 ROI monthly within 60 days.

$60,000 Min Cash Required

Minuteman Press

Own an Essential B2B Printing & Marketing Franchise with a proven business model, low inventory, work-life balance, great products & services that every business needs. No prior experience is needed. Be part of the modern printing industry.

$50,000 Min Cash Required

SiteSwan

Start your own web design business with SiteSwan. Create & sell websites to small businesses in your area with our easy-to-use, private label website builder. Set your own prices - keep 100 of the sales. Our turnkey platform is designed for anyone looking to sell websites to small businesses - no experience needed.

$199 Min Cash Required

My Business Venture

My Business Venture gives you the ability to start an online business from your home. We provide you access up to 1 million products & you chose up to 2,500 you want to feature on your website MBVs 10 Price Guarantee on all items on your website ensures you will always be profitable & NEVER be undersold Includes enrollment in MBV University training program.

$10,000 Min Cash Required

Ace Handyman Services

Since being acquired by Ace Hardware in September of 2019, we are pairing our deep experience in this booming industry with a recognizable home brand name. Now is the time to get in on the ground floor of this growing franchise opportunity and utilize your prior business experience with our own methods. We are offering a reasonable cost of entry in a segment that is booming, and is not just a fashionable trend, but a strong consumer need as essential as utilities for a home. With the DIY (Do It Yourself) market declining and the DIFM (Do It For Me) market increasing, now is the time to join a recognizable home brand in this 400 Billion Dollar industry. We have been tasked with bringing helpful handyman services to all of the Ace Hardware customers homes.

Starting a Small Business in Minnesota