The food market size was recorded at $3.4 trillion in 2018 globally. These numbers are estimated to reach $4.2 trillion by the end of 2024. These statistics are surely enough to make you start your own wholesale food business. However, the idea of starting your healthy food business may not be as simple as it seems. According to research, more than 90% of healthy food businesses fail within their startup’s first year.
That is why we have prepared a step-by-step guide to make it easy for you. If you follow these steps, then starting your healthy food business will be much easier for you.
So, without further ado, let’s dive in.
Steps to Start Your Healthy Food Business
The following is a step-by-step guide for you to start your healthy food business in 2021:
Make a Solid Business Plan
The first step to start your healthy food business requires you to conduct thorough research. Spend some weeks, even months, to gain all the information about the healthy food industry if needed.
Once you are satisfied with your research, you can start writing your business plan. A good business plan is about four C’s: customer, consumer, context, and channel. To have a strong business plan, you should do the following:
- Identify your target market.
- Define your Unique Selling Point (USP)
- Name your brand
- Select your food type
- Determine your budget
To know if your business plan is strong enough, you can test it by telling a bunch of people. You can go to your target customers and ask them for their thoughts and suggestions.
Secure Your Financing
Most healthy food business owners lack the required funding. So, if you do not have enough funds, then you do not need to worry. There are many ways to solve your financial problem, such as:
- You can get a business loan.
- You can find outside investors and partners.
- Friends and family are also a good option.
- You can also try using crowdfunding.
- Go for government aid if nothing else works.
You should remember that you will not start earning profit right after your business startup in the food business. It may take more than a couple of years to see your first profit.
Select Your Location
The next step is about selecting the location for your healthy food business. Your choice of location should be made after considering the following factors:
- The rental cost of the location.
- Restrictive ordinances.
- Convenience to your target customers.
- Proximity to other businesses.
- Future developmental plans.
Choose Your Supplier
A healthy food business owner may have to select multiple suppliers. You will need different suppliers for different business requirements such as furnishing, food, kitchen appliances, and POS system.
Let me tell you an easy way to select your suppliers below:
- Make a wish list of your requirements for a supplier for each department.
- Scope out your long term and short-term budget.
- Eliminate over-priced suppliers.
- Take suggestions from wholesale retailers, F&B conventions, and local farmer’s markets.
- Select the supplier with the best quality healthy food and low rates.
Get Your Licenses and Permits
Rules and regulations for starting a food business are different in every county and city. You should check the legal requirements and get the required licenses and permits. You should also make sure that you follow all of your local health and safety codes along with the food regulations.
Promote Your Business
The last step of your healthy food business startup includes the marketing and advertisement of your company. To get your brand’s name out there fast, you should go for an online wholesale business. Other ways to advertise your business are as follows:
- Create an attractive website with great graphics and simple UI.
- Use social media platforms to connect with your customers and promote your wholesale business.
- Host a soft opening of your healthy food business.
- Offer discounts to your new customers.
- Place an advertisement in the local newspaper.
Starting a healthy food business is a little different from establishing any other wholesale business. You need to carefully consider several factors before entering the market. We hope that the steps mentioned above will guide you in starting your healthy food business in 2021. Good Luck!