How to Launch a Food product

Posted by Damian Robert on

Fodies are everywhere, and where there are foodies there will be food ( guess that makes sense). So if you have an idea for a food product but not sure where to start let's start with some basics on "How to Launch a Food Product". 

1.) the Recipe. Well DAH! your probably thinking but many want to be food entrepreneurs are always looking in the wrong place when they start. A recipe I would say for something you can make, and make well. When you have a great recipe one that all your friends are always saying you should sell that, or man you could make money with this! ( that is a great place to start).


5 steps to start a food business

2.) Where are you going to make it when you start? This is a crucial step because all the remaining "things to do" will be based on where you plan to start. 

3.) If you start from home than your selling venues are limited by your state's Cottage Food laws and Licensing for Cottage food business. Many states ( but not all) have laws on the books that will allow you to make certain food products from home and sell them locally. 

4.) Incorporate your new business, yes you need to separate this from just a hobby and make it legal ( for liability reasons). Make sure you create a legal entity. I would recommend an LLC because this limits your liability, but talk with your accountant, and see what's best for your situation ( by the way I am NO accountant). 

5.) Get insurance yes food business insurance. Why? well let's say little johnny eats your product and he gets a reaction because hw did not read the label and he is allergic to wheat....LAWSUIT. Insurance is that safeguard from you personally being sued. 

6.) Start selling locally. Where? you can sell at Farmer's Markets, festivals, local events, Concerts, Sporting Events, and well..... you get the idea. 

7.) Then see if your state allows direct sales to retail stores from home. Believe it or not, some states allow sales to retail! This is HUGE because you make money faster and in a bigger way when you do this. Stores buy more!

So there you have it a few tips ( not all ) but a few tips to get started.

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