3 Most Popular Types of Startups in California

3 Most Popular Types of Startups in California

California has a great climate, as far as weather, and one that’s just as conducive for doing business. From large corporations to entrepreneurs, businesses thrive here in many different capacities. The state has an estimated population of over 39.5 million, making it the largest state in the U.S.,1 and one where businesses have many customers to sell to. When you obtain a sales permit in California, the potential is nearly limitless—the challenge is to choose the best trade for your startup.

The most popular, revenue-generating, and safest startups here include:

Gas Stations

Given the popularity of cars in the state and rise in gas prices, owning a gas station in California is a profitable venture. There are around 8,000 gas stations in the state,2 making the competition quite stiff. Selling gasoline can be lucrative, but prices are mostly uniform and there are many regulations for new businesses and established gas stations.

However, high sales volume in places like Los Angeles County, San Diego County, and Orange County may mean your business venture can pay off. Gas station operators can also make use of resources provided by the state to help them get off the ground.


Compared to a brick-and-mortar store, an online shopping operation is affordable when starting a new business in California. Around 5,000 companies operate in this sector and, from 2007 to 2012, the number of employees grew 27%.3 In fact, any online platform for selling or renting goods is at an advantage.

The industry is worth tens of billions of dollars and is predicted to grow as more people turn to the internet for their purchases. New platforms, a booming tech industry, and growth in disposable personal income are helping fuel the fire as well (From 2015 to 2016, consumer expenditures rose 2.4% and, from 2014 to 2015, spending rose 4.6%, according to the Bureau of Labor Statistics).4

Online Shopping

Wholesale Electronics

You don’t need to sell goods directly to consumers to be successful. Even as a startup, you can purchase or sell electronics on behalf of companies that resell them. Most wholesale electronic trades don’t involve directly handling goods (these trades are made remotely). Many of California’s retailers depend on such services to manage their supply chain. In fact, this has quite a lucrative potential for startup businesses in a wholesale trade industry that supplies stores, chain retailers, military organizations, and cities.

There are many other possibilities when it comes to starting a business. Small businesses that sell appliances and electronics, shoes, or that sell secondhand items tend to be successful as well. A major step, however, is launching the business, which requires following state rules such as acquiring new business permits.

For information on how to go about obtaining a permit, and assistance getting one from a leading provider, check us out. Our experienced professionals understand everything about securing a sales permit in California and going from setting up your business to trading goods, serving your customers, and profiting.


  1. https://www.census.gov/quickfacts/CA
  2. https://www.nerdwallet.com/blog/small-business/california/
  3. https://www.nerdwallet.com/blog/small-business/california/
  4. https://www.bls.gov/news.release/cesan.nr0.htm

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