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Starting a Small Business in Iowa

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

Iowa 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 Iowa 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.

Life Insurance & Annuities (Revenue: $49.0 billion)
Corn, Wheat & Soybean Wholesaling (Revenue: $28.2 billion)
Meat, Beef & Poultry Processing (Revenue: $20.7 billion)
Property, Casualty & Direct Insurance (Revenue: $14.9 billion)
Gas Stations with Convenience Stores (Revenue: $14.4 billion)
Hospitals (Revenue: $13.8 billion)
Commercial Banking (Revenue: $12.7 billion)
New Car Dealers (Revenue: $11.9 billion)
Margarine & Cooking Oil Processing (Revenue: $11.7 billion)
Farm Supplies Wholesaling (Revenue: $9.9 billion)

Iowa Sector Statistics

When starting a small business in Iowa, 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 Iowa’s GDP in 2022 were Manufacturing; Finance & Insurance; and Real Estate and Rental and Leasing. Combined, these three sectors represented 43.9% of the state’s GDP. In 2022, the sectors that contributed most to Iowa’s GDP included:

Manufacturing (Value: $31.8 billion* | Annual growth: 2.4%)
Finance & Insurance (Value: $26.9 billion* | Annual growth: 5.8%)
Real Estate, Rentals & Leasing (Value: $16.3 billion* | Annual growth: -0.0%)
Agriculture, Forestry, Fishing & Hunting (Value: $13.0 billion* | Annual growth: -33.8%)
Healthcare & Social Assistance (Value: $11.3 billion* | Annual growth: 0.7%)
Wholesale Trade (Value: $10.1 billion* | Annual growth: -0.0%)
Retail Trade (Value: $9.2 billion* | Annual growth: -1.0%)
Professional, Scientific & Technical Services (Value: $6.6 billion* | Annual growth: 3.2%)
Construction (Value: $6.0 billion* | Annual growth: -1.8%)
Information (Value: $5.4 billion* | Annual growth: 2.0%)
Transportation & Warehousing (Value: $5.0 billion* | Annual growth: -0.5%)
Administration, Business Support & Waste Management Services (Value: $4.0 billion* | Annual growth: 6.6%)
Management of Companies & Enterprises (Value: $3.7 billion* | Annual growth: 11.6%)
Accommodation & Food Services (Value: $3.3 billion* | Annual growth: 2.6%)
Other Services (except Public Administration) (Value: $2.9 billion* | Annual growth: -2.5%)

*Approximately

Iowa 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 2022, counties with the highest populations in Iowa included:

Polk (Population: 502,800 | Annual growth rate*: 0.9%)
Linn (Population: 229,900 | Annual growth rate*: 0.4%)
Scott (Population: 173,400 | Annual growth rate*: N/A)
Johnson (Population: 156,600 | Annual growth rate*:0.9%)
Black Hawk (Population: 129,900 | Annual growth rate*: -0.3%)
Dallas (Population: 104,000 | Annual growth rate*: 3.6%)
Woodbury (Population: 103,500 | Annual growth rate*: 0.2%)
Story (Population: 99,300 | Annual growth rate*: 0.5%)
Dubuque (Population: 98,000 | Annual growth rate*: 0.2%)
Pottawattamie (Population: 93,200 | Annual growth rate*: -0.1%)
Warren (Population: 53,700 | Annual growth rate*: 1.3%)
Clinton (Population: 46,100 | Annual growth rate*: -0.3%)
Muscatine (Population: 42,100 | Annual growth rate*: -0.4%)
Cerro Gordo (Population: 41,500 | Annual growth rate*: -0.7%)
Marshall (Population: 39,200 | Annual growth rate*: -0.3%)

*From 2017 to 2022.

Iowa Business Opportunities

We hope this snapshot of the Iowa economy helps as you investigate business opportunities in The Hawkeye State! Starting a small business in Iowa 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 Iowa below!

Explore Opportunities and Insights

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Lawn Pride

Lawn Pride, a Neighborly company, is a rapidly growing lawn care services franchise. With us, your path to business ownership can experience greener pastures

$50,000 Min Cash Required

Wings Etc

Wings Etc. is a sports-themed, family-friendly restaurant and pub with over 30 years of industry-leading experience. With a diverse menu featuring Award-Winning Jumbo Wings, Premium Burgers, Wraps, Salads, Cold Beers, and more, Wings Etc. is the neighborhood favorite in every community. Startup costs are low, and franchisees are supported from initial training through Grand Opening and beyond. Wings Etc. Grill & Pub is the Lower Startup Cost, Lower Breakeven, Full Service Bar & Grill Franchise

$350,000 Min Cash Required

The UPS Store

Here at The UPS Store franchise, we know first-hand how important a healthy work-life balance is. When you become an owner of a The UPS Store, you are assisted with finding the right balance as you pursue your entrepreneurial aspirations and unique personal and financial goals.

$100,000 Min Cash Required

PostalAnnex

Today's busy lifestyles demand the services PostalAnnex offers. Capitalize on this demand and open your own business After retiring from the printing business PostalAnnex founder Jack Lentz began working out of his home as a business consultant. He soon realized the need for mailing faxing copying shipping and other services to belong under one roof. As a result he created the first PostalAnnex store business franchise located next door to a post office in the University City neighborhood of San Diego CA. Our franchises serve a growing customer base of small and home-based businesses that lacks the resources our stores offer. Today's hectic lifestyle requires a one-stop service center for businesses that don't have an administrative assistant to take care of those daily errands. Saving our consumers time is what keeps them coming back. By being a local neighborhood business

$70,000 Min Cash Required

Proper Ecom

We build and manage Amazon stores for you. You bring the startup capital. We set up your store, add high-demand products, and handle everythinglistings, shipping, customer support, and growth. You own the store and keep the profits. We run the business behind the scenes for you.

$100,000 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.

Starting a Small Business in Iowa