When someone looks to start a business they usually have quick returns in mind. In fact, so much is the obsession that most people cut corners and run businesses unethically just so they can get quick returns. You cannot always quick returns; not all businesses can make that happen. Some businesses are long term i.e. you will only begin to realize returns after a long term. Patience and discipline are vital and it is obvious these types of businesses are not for everyone. That is what I shall be discussing in this article, long term business ideas without quick returns.
Macadamia Nuts Farming
Macadamia nuts are considered the most expensive nuts in the world – fetching prices of over US$55 per kilogram. There are two broad cultivation approaches namely, grafting and not grafting. When grafting is used, the trees or plants will start producing after 2 or so years. When no grafting has used the yields only start getting realized after 7 or so years. This clearly shows you that macadamia nut farming is a long term venture. Substantial profits will only start to be seen 5 or so years from the point where yields start being realized. 5 or more tonnes can be realized per hectare per season. The yields (and the profits) will grow as more years elapse. It is long term but it will be well worth it.
The time it will take to start realizing yields depends on the approach you choose. If you start with young trees then it will take on average 4 years to start reaping. However, if you start with seeds, then you are looking at anything between 10 and 15 years to start reaping. Once they start producing you can be sure to get roughly 10 tonnes of avocados per hectare per season. It does depend on the type of tree; I would recommend growing varieties that produce annually. I say so because some varieties produce fruits perennially i.e. if they produce this year, the coming year they do not, and then they produce the year after.
Consider blueberries for example; they can start producing fruit after roughly 3 years. You can get around 24 tonnes per hectare per season. They will only reach peak production at around 6 years. Clearly, that shows you that this type of business is for the long haul. It depends on the type of berries you settle and even the variety. For example, with strawberries, you can start realizing yields from around 3 months – but commonly it is at around 1 year. 18 or so tonnes of strawberries can be realized per hectare per season.
Not many people are keen on entering this space because it is for the long haul. I do think that can be something to be leveraged on i.e. the little to no competition. This is a field worth exploring. Of particular interest is a tree called Paulownia – originating from Asia. The tree is said to thrive in any climate, any soil, and grows considerably faster. In about 3 years it can rise to at least 10 metres; at least 3 years is not that awfully long. Paulownia produces hardwood which can be used to make a variety of items from furniture to other artefacts. It has numerous superior qualities that make it a strategic hardwood tree to grow.
This is a common farming venture in the low veld areas of Zimbabwe – Chiredzi, Hippo Valley, and Triangle. It is a very lucrative business but it is generally long term. Sugar cane takes anything between 12 to 18 months to reach maturity.
Starting a construction company is capital intensive. This is because there is a need for a broad range of specialized and expensive machinery. Whether you are buying or renting the machinery it will be pricey. Then you will need several formally qualified employees for the different aspects involved in construction. Even when all that is in place it will take some time to build your name and regularly land clients. Thus it will take quite some time to get to a point where you have the consistent cash flow to just recoup your initial investment. Then from then, you will start realizing considerable profits. This all can take a couple of years so you need to be patient.
So these are some of the long term business ideas you can start. There are no quick returns but once profits start to set in you will enjoy a lifetime of returns. Do not always shun long term businesses thinking they are costly to do. The fact that they are long term can actually spread out the costs over several years. This will essentially make it more affordable since you will not need loads of money in a short space of time. It is also wise to set up a buffer when doing long term businesses. What I mean is you must pursue other short to medium term businesses – that will serve as a buffer. It might not be smart to pursue just one long term business that might take more than half a decade for profits to be realized.