March 2, 2011

The Financials of Starting a Small Food Business

I woke up this morning thinking about money and wanted to add to the post I wrote yesterday.  Mega-brands that line supermarket shelves take millions – if not billions – to design and design, produce, and market.   Restaurants take thousands – if not millions – to start and keep running.   Small food businesses though – they can take what you give them.   Depending on what you want to achieve and how you plan to market and distribute your product, it is possible to get a small food business up and running for under $10,000 and, for some, even under $5,000.   And I’m  including all your business licenses, health food inspections, and commercial kitchen rent in that equation.

Don’t get me wrong, starting and running a small food business is no get-rich-quick scheme.  You can’t take that $5,000 and turn it into $500,000 overnight.   But you can take that $5,000 and with a little planning and careful controls on spending, use it to build a profitable food business that you love and are passionate about.