Global population growth, an increasing demand for animal products and scarcity of conventional feed ingredients drive the search for alternative protein sources for animal feed. Extensive research indicates that insects provide good opportunities as a sustainable, high quality and low-cost component of animal feed. Here, we discuss how insect farming can promote inclusive business for smallholder farmers in the agribusiness value chain. Inclusive business models involving insects as ingredients in feed may contribute to solving socio-economic and environmental problems in developing countries, aligning with the United Nations’ Sustainable Development Goals. With low initial capital investments, smallholder insect farmers have good opportunities to increase productivity, improve their livelihood and contribute to food security and a circular economy.