How much does it cost to start a water bottle company?

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How much does it cost to start a water bottle company

 First, draft a business plan.
For an entrepreneur to be successful, they must have a clear plan. You can use it to map out your company's specifics and identify some unknowns. A few crucial subjects to think about are:
Fortunately, we did most of the research for you.

How much does it cost to start a bottled water business?
Storage tanks, filling equipment, water treatment equipment, filters, conveyors, sealers, water sterilizers, water dispensers, bottle loaders, trucks, and labor expenditures are all part of the startup costs for a water treatment plant.
For a "bare bones" facility, startup expenses can range from $400,000 to $750,000. Nevertheless, depending on the scale of your company, some plants can need more funding—up to $1 million or more.
A license from the US Food and Drug Administration is additionally required (FDA). Additionally, a permission from the state health department is required.
To run your plant, you will also require workers, a water source, and a specialized bottle supplier. This task requires a lot of labor.

How much does it cost to start a water bottle company
What recurring costs are there for a bottled water company?
The ongoing costs are high. For a small facility, maintenance can cost tens of thousands of dollars annually, and for a medium- to large-scale bottled water plant, maintenance can cost as much as (or more) every month.
The process of cleaning and bottling water might result in substantial utility expenses.
The majority of employees demand a full-time pay plus benefits, which drives up labor costs. It can cost tens of thousands of dollars each month to pay for liability insurance, health insurance, unemployment insurance, 401(k) matching and administrative services, and worker's compensation insurance.

How much does it cost to start a water bottle company

Who is the intended audience?
Customers are typically business entities like neighborhood supermarkets. Some small firms do, however, sell directly to customers or to businesses.
How does a company that sells bottled water earn money?
Customers pay a fee for the processing and bottling of potable water, which is how bottled water businesses make their money.

How much are clients allowed to pay?
The cost of bottled water is high. If you are selling to grocery shops, you might be allowed to charge a flat amount per truckload or pallet in addition to $1 to $2 per bottle. To become "anchor clients," the majority of businesses set up routine shipments. To secure these bargains, you might or might not sell your things for less, but you'll usually make more money as a result.
How much money can a company that sells bottled water make?
Profits may be anything from 100% to 500% or more.

How can you increase the profitability of your company?
By tapping into specialty markets like flavored bottled water, sparkling water, spring water, and mineral water, your company can grow even more profitable. Specialty water lines are offered by some businesses, and these include sports drinks, flavored sparkling water, and flavored mineral water.
Finally, think about providing flavored drink, club soda, designer waters, and seltzer waters.

What will the name of your company be?
Choosing the ideal name is difficult and crucial. If you don't have have a name in mind, check out our How to Name a Business guide or use our Bottled Water Business Name Generator for help coming up with ideas.
You might choose to use a business name other than your own name if you run a sole proprietorship. To find out more, see our DBA guide.
We advise conducting the following checks before registering a business name:

Business registers for your state
records for federal and state trademarks
Social media channels
Availability of a web domain.

Securing your domain name before someone else does is crucial.

STEP 2: Create a legal organization
The four main types of business structures are the corporation, partnership, limited liability company (LLC), and sole proprietorship.
If you form a legitimate business entity, such as an LLC or corporation, you won't be held personally liable if your bottled water company is sued.

Make Your Own LLC

You can use one of the best LLC providers for a tiny additional fee, or you can form an LLC yourself and only pay the minimal state LLC fees.

How much does it cost to start a water bottle company
File your taxes in Step 3
Before starting a business, you must register for a number of state and federal taxes.
You must apply for an EIN before you can file your taxes. Really simple and cost-free!

You can obtain your EIN without charge by mail, fax, or on the IRS website. Read our post What is an EIN? to find out more about EINs and how they can help your LLC.


Find out what an EIN is and how to get one in our What is an EIN guide, or use our EIN lookup guide to locate your current EIN.
Taxes for small businesses
Your options for how your firm will be taxed may vary depending on the business form you select. For instance, some LLCs might benefit from S company tax treatment (S corporations).

Create a company credit card and bank account in STEP 4.
For the protection of personal assets, it is crucial to use special business banking and credit accounts.
Your personal assets—your home, vehicle, and other valuables—are at danger if your firm is sued if your personal and business accounts are combined. This is known as "piercing your corporation veil" in business law.
Additionally, understanding how to establish corporate credit can help you secure loans, credit cards, and other funding under your company's name rather of your own, as well as get better terms and credit limits.
Open a bank account for your company.
Opening a business bank account is necessary for several reasons, including:

For personal asset protection, it isolates your personal assets from those of your business.
makes tax filing and bookkeeping simpler.

Make a net 30-day account.
Net 30 accounts are used to create and maintain business credit and to boost cash flow. Businesses use a net 30 account to purchase items and pay off the entire balance within a 30-day period.
The big business credit agencies receive reports from a lot of net 30 credit vendors (Dun & Bradstreet, Experian Business, and Equifax Business Credit). In order to be eligible for credit cards and other lines of credit, firms must first establish their company credit.

Recommended: Start developing business credit by reading our article on the "Best of Net 30 Vendors.""


Purchase a business credit card.
Having a company credit card is beneficial since it:

Put all of your business's expenses in one location to help you distinguish between personal and business spending.
Create a credit history for your business, which will be helpful if you ever need to acquire capital.



STEP 5: Implement a business accounting system
Understanding your business's financial performance depends on keeping track of all of your expenses and revenue sources. Maintaining precise and thorough records also makes submitting your yearly taxes much simpler.
With the help of our LLC Expenses Cheat Sheet, simplify LLC bookkeeping.

STEP 6: Obtain all necessary licenses and permits
Heavy fines and even the closure of your business may come from failing to obtain the required permissions and licenses.
Requirements for Federal Business Licenses
Bottled water is subject to Food and Drug Administration (FDA) regulation. Good Manufacturing Practices (GMPs), standards of identification, and labeling requirements are all covered by FDA rules for bottled water.
Here is a thorough explanation of the laws, license requirements, and labeling specifications.
Requirements for State and Local Business Licensing
Operating a bottled water business may require obtaining specific state permits and licenses. To learn more about the license requirements in your state, visit the SBA's guide to state licenses and permits.

The majority of enterprises must remit sales tax on the products and services they offer.
Read our article, Sales Tax for Small Businesses, to find out more about how sales tax will impact your company.
For details on local permissions and licensing,
Check with the clerk's office in your town, city, or county.
Consult one of the regional organizations in the listing of local business resources maintained by the US Small Business Associations.

How much does it cost to start a water bottle company

Step 7 is to secure business insurance.
Similar to how a business needs licenses and permits to function legally and safely, insurance is also necessary.
The financial stability of your business is safeguarded by business insurance in the case of a covered loss.
For various business kinds with various risks, there are many insurance policy types. If you're not sure what hazards your company might encounter, start with general liability insurance. It's a wonderful place to start for your company because this is the coverage that small businesses require the most frequently.
Find out more information about general liability insurance.
Workers' Compensation Insurance is a prominent insurance program that many businesses require. There's a significant likelihood that your state will require you to carry workers' compensation coverage if your business employs people.

Establish your brand in Step 8
Your firm's brand is what it stands for and how the public views your organization. Your company will be able to stand out from the competition with a powerful brand.
Check out our Design Guides for Beginners if you don't feel confident developing your small business logo. You can use our assistance to design the most distinctive logo possible for your company.


Using our free QR Code Generator, you can also use your existing logo in a QR code. To make a QR code for your flyers, publications, or to promote your new website, choose from 13 different varieties.
How to market and advertise a bottled water company.
In this industry, distribution and marketing are crucial. Grocery stores, vending machine firms and operators, stadiums, event locations, and other significant businesses that require a lot of bottled water should be your target market.
How to get new clients?
Make sure you follow through on your commitments, and keep your prices fair. This sector of the economy is very commoditized. The company that fulfills deadlines and offers the lowest (or at least competitive) pricing frequently prevails.

Still unclear of the type of company you want to launch? To get some ideas, look at the most recent trends in small business.



Create the website for your business in step 9.
The next stage is to build a website for your company after defining your brand and designing your logo.
Although developing a website is a crucial first step, some people might worry that they can't do it since they have no prior website-building knowledge. Although this would have been a valid concern in 2015, online technology has advanced significantly in recent years, greatly simplifying the lives of small business owners.
The following are the major justifications for not delaying the creation of your website:

Without exception, every reputable business has a website. When it comes to putting your business online, it makes no difference what size it is or what industry it is in.
Social media profiles for businesses on sites like Facebook or LinkedIn are not a substitute for a website that you own for your company.
Making a simple website is now quite easy thanks to website builder tools like the GoDaddy Website Builder.
To build a website you're pleased of, you don't need to pay a web developer or designer.

The process will be easy and painless if you follow our website construction recommendations, and shouldn't take you more than two to three hours to finish.

Use our suggested website builder to get started right away, or read our evaluation of the top website builders.


WordPress, WIX, Weebly, Squarespace, and Shopify are additional well-liked website builders.
How much does it cost to start a water bottle company