Granny flats are so called because they're often used as a place for elderly relatives to stay close to your home so you can be closer to them in case they need any help. Because of this, people tend to forget about the other possibilities they can open up.

If you could do with an extra stream of income or if you've always wanted to run your own business from home, a granny flat could be a huge help. Whether you've bought a property that has a granny flat on the grounds, or you've never previously considered having one built, here are some business ideas that a granny flat could help you get off the ground.

Guest house

With a granny flat, you have the perfect place to rent out to visitors. Wherever you live, whether rural or urban, there will be something that attracts tourism of one kind or another, and you could make a nice income providing somewhere for people to stay.

The rise of companies like Airbnb has made it easier than ever to advertise accommodation and find guests, but you can also do well by using more traditional means if you prefer. Set up your own website and social media accounts, and get listed in a directory of guest houses, and you should have no problem renting out your flat.


Since granny flats are full, self-contained homes, they have a kitchen that could be just what you need if you want to get into catering. Using it instead of your main house's kitchen means you can keep your work separate. This makes it easier to stay on top of the rigorous hygiene standards you're legally obliged to follow, and gives you space to work without distractions.

Online retail

E-commerce can be extremely profitable, but people often struggle with storage space once they begin buying wholesale stock to sell on. A granny flat gives you extra storage space, plus there's room to set up an office so you can do all your work from there. A bathroom and kitchen mean you won't have to keep going back to the main building and can concentrate on the tasks you need to complete.

Art studio and retreat

Granny flats are great for budding artists who want to work in peace. There's plenty of space to set up your equipment, and less opportunity for people to bother you while you're working. If your flat is set among picturesque surroundings, you could also rent it out to other artists or writers looking for somewhere to inspire them.