What is the one thing that connects everyone irrespective of caste, creed, race, gender, or religion? What is the one thing that will always be in demand irrespective of the condition of the economy? The answer to both these questions is same and yes, you guessed it right, it is FOOD.
And if you are looking to start a business but are short on capital, this is exactly the kind of business you should be considering. Food businesses do not require a huge initial investment, but they do require a good amount of planning and license such as Shop Act and FSSAI. You need to do a feasibility study before you start and if the outcome is favourable, you need to do the appropriate registrations. You also need to market your business properly and keep track of the accounts.
The best thing about food-related business is that you can have a lot of variety of opportunities and ideas, and you never go out of business. Whatever you sell or make and sell, you will always have customers lined up in front of your shop (we assume that you sell delicious food items). Now, let us return to the ideas. You might have a rough picture of the business, maybe a restaurant or an ice-cream parlour or a vegetable shop.
Hey, doesn’t it sound too typical? Yes, it is typical. And hence, we have come up with some fantastic food-related business ideas that can help you seek inspiration and start your venture soon.
Food Business Ideas With Small Capital
Once you do decide to start a food-related business, the next step is to pin down the exact kind. Here are some food business ideas that require a small capital:
1. Homemade Snacks
This is one of the easiest businesses to start. You can make food items like namkeens, sweets eg shev, chaklis, chivda, laddus, barfis, etc, which are very famous in India . These are all things you would have made at home at some point or the other. You only need to make it in larger quantities.
You don’t even require any additional equipment to make them. All you need are some specific cooking utensils and some mixing bowls. You can make it, pack it, and store it . Further,you can sell it either directly to customers, or to another shop or even set up an online store.
2. Homemade Food Cooking and Delivery Service
Many people have very hectic schedules nowadays and find no time to cook a proper meal. This is why a homemade food delivery business has a huge potential especially in urban areas & metros. All you need to do is cook a wholesome meal and deliver it to the customers.
Since it involves cooking for a lot of people, you may need to buy some big utensils and extra gas cylinders. You would also need containers/tiffins for the food and a delivery system. These will cost you a maximum of INR 10,000. A two-wheeler with a box attached to the back side would also be needed for this task. Costs such as raw materials like vegetables, grains, spices & packaging required would add as recurring costs depending upon the level of turnover.
This is a perfect food business idea with a low investment for countries like South Africa, India, USA, UK and Canada that can be run from home and the whole family can participate.
3. Juice Shop
In a country like India where the climate is hot for the majority of the year, juice shops are like life-savers to people. Unlike the two business ideas mentioned above, this one will definitely need you to rent or buy a place for the shop.
You will require a good juicer, raw material such as fruits, a refrigerator box, glasses (that can be either use & through or for permanent use), and a counter to display the fruits for your juice shop. These will cost you around INR 65,000.
You can also get good quality fruits directly from the wholesale sellers at a reasonable price. The price of the shop space is another major cost and it will vary depending on the kind of space you get.
Running a juice shop all by yourself is a very difficult task, hence it is a good idea to get help. You can either get your family involved or hire one or two employees. With this business, you also have multiple options for locations – near schools, colleges, offices, or a crowded marketplace; basically, any place that attracts a lot of people.
4. Baked Goods Business
Who doesn’t love delicious cookies, brownies, and cakes? These items can brighten up anybody’s day.
This is another business you can run from your home. You can also supply to other shops/outlets or sell online. Quirky and fun baked items are in trend and anything Instagrammable will get you loads of customers. So, pay close attention to the looks of the product /items as well as the taste of your baked goodies.
A good oven and a mixer will be the backbone of your business and these can cost you around INR 40,000. You also need various baking trays, cake tins, cupcake moulds, etc. depending on what you want to bake. Then there is the cost of raw materials like flour, sugar, butter, cream, flavouring agents, colouring agents, chocolate chips, dry fruits and nuts, etc. Considering all these costs, approximately the total cost goes to INR50,000 to start a baked goods business.
5. Tea & Coffee Cafe
A hot cup of coffee or tea is the perfect pick-me-up to start a day and also to re-energise after a long day. Set-up a tea shop anywhere and it is likely to become a success. It is also a good idea to have some snacks to go along with it like samosas, bajjhis,pakodas, puffs, and even some biscuits.
This business will also require a proper store. Depending on the capital you have, you can either open a small stall or a tea centre for people to sit. Since the cost of the store space is a major expense, you will need to choose a location that will attract the maximum number of customers. For example, nearby any college, or office is ideal.
The main initial cost involved will be the cost of the gas cylinders, the utensils, raw materials like milk, tea leaves, coffee powder, etc., a stove, and a display case for the snacks. The cost of all these should come to around INR 15,000 (excluding the deposit required for the shop which depends upon the area) for a small stall.
6. Jams and Preserves
Jams are the perfect way to preserve fruits. Bread and jam are many a times preferred for breakfast. Most people realise that a good homemade jam is far better than the commercial ones, nutritionally and taste-wise. It is also not very difficult to prepare jams at home.
The initial investment for Jams & Preserves business includes cost of Sterilised Jars, Preserving Pans, Specific Utensils etc. approximately INR 15000
The cost of fruits, other raw materials, etc. are the recurring expenses and would depend upon the level of turnover.
You can easily sell these online or from your home. Pop-up markets such as exhibitions/melas, which are small markets that only exist for a few days and keep rotating from place to place.
7. Chocolate Making
Chocolates are always in demand and they are also easy to prepare. However, the quality of the end product depends on the quality of the raw materials used. Hence it is important that you use fine quality of cocoa nibs followed by other ingredients such as cocoa butter, sugar, etc. to get the desired output. You can also u nuts, dry fruits, crispies, etc. to make different types of chocolates. You can also use different moulds to make different shapes.
To make chocolate from scratch, there are two pieces of equipment that you can’t do without – a heavy-duty juicer and a melanger. The juicer will help you get cocoa liquor from the cocoa nibs. The melanger will blend the liquor with the cocoa butter, sugar, and other items to give you the smooth chocolate that will become your final product.
You can also offer special gift wrapping and packaging suited for various occasions such as birthdays, anniversaries, etc. Chocolate making is another business that doesn’t necessarily require a separate store. You can sell from home, or supply to different bakeries around the town, set-up stalls in pop-up markets or even sell online.
8. A Vegan Bakery
We all love bakeries. You could be in any part of the world; everyone needs bread and pastries. So, why not start a bakery exclusively for vegans? If you reside in a country where people are turning vegans but do not have inadequate sources, and you have also joined the vegan movement, why not turn it into a useful business venture? You can sell baked foods for vegans, for lactose-intolerants, or for those who prefer low sugar and white bread. Just get out of the usual comfort-bakery zone, and ideas will start pouring in.
However, you need to ensure that the stuff you sell is fresh and smells nice, as that will be the USP of your business.
9. Food Truck
A list of food-related businesses will always be incomplete without a food truck business. It is profitable, attractive and you can implement several ideas. It also requires less capital and more of your culinary skills. You can experiment with the dishes, utilize your special skills, and spread your food truck name in your neighbourhood. No doubt, you will have regular customers flocking to your truck. You can sell packaged food items at this truck, or healthy foods, or even prepare snacks and other food items and sell them.
However, ensure that you have a unique food item and not something that the next food truck in your lane sells.
10. A Meal Planning Service
When it comes to food-related business, why should it always be the food; why not help someone with which foods to eat? Yes, we are talking about meal planning services. If you are a qualified dietician and are interested in helping people plan their daily meals, you can be a meal planner. It sounds like a different term, but you can make it more customized for your clients. For example, you can work with people having different fitness goals, having dietary preferences, and those who want to simply start eating healthy this year.
Ensure that you have the requisite qualifications to start this business. You can even start a business of meal delivery with employees to provide more convenience to your customers.
11. A Personal Chef
Another business idea for those who have culinary skills and qualifications to become a personal chef. You won’t be simply cooking and sauteing in the kitchen but supervising cooks at a celebrity’s place. Several celebrities and business owners are concerned about their health issues and weight management. You can be their personal chef, provided you have the blend of cooking skills and nutrition.
Ensure that you represent yourself as a brand and not merely a random chef.
12. A Food Blogger or Vlogger
Have you ever tried a recipe given on the blog, and it turned out very well? Or you could be watching food vlogs for hours without getting tired? If you really like to get into these ideas, you can do it very well. However, ensure that you don’t do it just for making money; you need to be passionate about these opportunities.
In due course, you will earn a good number of followers and a steady income as well.
13. An Organic Store
Some people swear by organic foods and always are on the hunt for good organic retail or online stores. You can find many organic food stores, but some have poor customer service or less variety. You can optimize this opportunity by making it efficient and better as compared to other organic food stores in your area.
You need to work on your organizational strengths and overcome possible weaknesses to have a regular customer base.
14. A Tea or Coffee Service
Depending on the country you reside in and people’s tea and coffee preferences, you can start a tea or coffee selling business. These beverages are popular, and people never get tired of drinking them. You can provide this service in a corporate organization or start a shop at the corner of a street.
You can start this business with a little amount of money, but ensure you maintain the consistent quality of the beverages.
15. A Meal Delivery Service
Office employees are in dire need of healthy meals at the scheduled time of the day. If they don’t get meals delivered on time, it affects their health and is a big nuisance. You can tie up with corporate organizations and supply healthy tiffin to them. You will note that orders will increase as the word spreads in the organization.
Ensure that you deliver consistently and high-quality meals and at a specific timing.
16. A Farm Business
You don’t need acres of land and heavy machinery to start a farm business. We suggest you start something small and interesting such as an herb farm, fish farm, or mushroom farm. You will need a small space, extensive knowledge, and technical know-how to start the business.
You also need to be passionate about such business ideas. But if you have a deep interest in it, then we highly recommend you get into this venture.
17. A Cooking School
If you love cooking and food and are proficient in this art, you can share your knowledge with others. Start a cooking school, pursue your passion, earn money and let others learn skills from you. If you are also interested in teaching, there is no better idea than starting a cooking school.
You can start with a small online venture and then expand it to a cooking school.
18. A Noodle-Making Business
You can find packets of noodles in most of the houses in the world. But why do people have to buy processed noodles made out of unhealthy ingredients? If they can buy freshly prepared noodles made from healthy and organic ingredients, they will be more than happy to shop. So, if you like to make noodles and sell them, get into this business.
You can tie up with restaurants and grocery stores in your area for more sales. You can even sell them online.
19. A Home-Made Snack-Making Business
Snacks have a bad rep because of the highly processed content and unhealthy ingredients used in them. They contain high content of sodium, refined oil, white sugar, and refined flour. Why not make snacks at home with good quality and healthy ingredients and sell them to people? You can make your own snacks or the popular snacks in your country.
People will love and appreciate your efforts and will be willing to pay higher prices for home-made tasty and healthy snacks.
20. A Fast-Food Restaurant
Yes, we know a restaurant is a typical food-related business idea, but one selling fast food will certainly entice you. You can sell anything from French Fries or popular fast foods in your country. If you want to make it a bit healthy, try to add good quality ingredients to it, and you will be doing good.
Returns are pretty decent from this business as fast foods sell a lot.
21. Sell Food Online
You can sell anything from strawberry to cream or home-made potato chips, but you should take it online. You don’t need a physical shop or a truck to run the business. You can cook and sell foods online with a basic setup and capital. Tie up with food delivery partners and invest in your in-house delivery service.
This is a good business opportunity for all those who want to run a business from the comfort of their homes.
22. A Theme-Based Restaurant
You can start a restaurant based on a theme like the 80s, or Beatles, or a music band. Or you can choose a specific country’s cuisine and run your restaurant such as Italian, Chinese, etc. Of course, it will require heavy capital investment and space, but if you have this big idea in your mind, you need to get practical.
Ensure you have a solid business plan while setting up this restaurant into reality. Here is one more idea for you, what about an Indian restaurant in the USA?
23. A Smoothie Shop
Let us return to the healthy food-related business ideas. A smoothie shop is an amazing idea if you want to get into an interesting business. You can start a smoothie parlour just like a coffee shop but with healthy fruit juices and smoothies on your menu. You can try to add variety and uniqueness with exotic fruits and seasonal as well.
You need to create a good ambience because customers won’t be just sipping on smoothies but will have a chat with their loved ones too.
24. A Catering Service
Every country has a social culture, and that leads to several events such as festive seasons, weddings, birthdays, etc. You can start a catering service with a wide array of menus of your country and continental dishes as well. This is a huge business idea and requires planning and a significant amount of capital. But if you want to keep it small and restrict it to parties and small events only, you can do so.
Try to add eco-friendly cutlery to your catering service to attract more clients. It is the age of zero waste, and you should do something about it.
25. A Honey Production Business
If you have space in your house backyard or some spare land, you can start a bee farm and sell honey. People look out for pure honey, but they are fooled by the brands. They will be willing to pay you higher for the pure and organic honey you produce at your place. If you take this business idea seriously, you can start selling it online to other parts of the country.
You will need the technical knowledge to start a honey production business and learn how to make honey. So, first, be proficient in it and take it further.
26. Sell Energy and Fruit Bars
Organic energy bars made out of peanuts, honey, raisins, oats, and other healthy ingredients are in demand all the time and in all countries. People munch on them when they have hunger pangs or after workouts. Branded products are good but are full of fillers. If you know the art of making these energy and fruit bars, you can make them and sell them to people. Tie up with gyms and grocery stores, and you can see a fan following soon.
Ensure you use fresh ingredients and maintain the quality in the long run.
27. A Herb and Spice Store
Herbs and spices are popular in most of the countries. Some countries are even exporting to others. Spices are healthy and add a unique aroma and taste to the dishes. So do herbs. Hence, starting an herb and spice store in your area is a good decision. The grocery stores in your area must be selling herbs and spices, but you can focus on organically sourced herbs and spices and establish your brand identity.
You need to be careful about the freshness, delivery, and packaging of the products you sell. We hope the food-related business ideas are interesting enough to start with.
Start Your Food Business Today!
Starting a business, even a small one, is by no means a small task. You need to do market research, find funding, get licenses, and analyse the performance of your business from time to time. This is where deAsra will guide & help you. There is no excuse for not following your dreams and starting your own food business when someone is there to help you at every step.
There are many food related business ideas, such as catering, food delivery, food truck, food-based subscription boxes, meal prep services, food product development, meal kit delivery, restaurant, food blogging and YouTube channel, food-based apps, personal chef services, and food retail.
Starting a food business requires a lot of planning and thought. First, you should create a business plan, decide on a budget and the type of food business you want to establish, apply for licenses and permits, find the right suppliers and equipment, and make sure you have the necessary ingredients and space to prepare the food.
Before you get started, consider the type of food business you want to open, your target market, and the competition in the area. Additionally, think about the location and hours, staffing, food and equipment costs, and your pricing and advertising strategies.
The amount of money you will need to start a food business depends on the type of business you choose, the location, the equipment you need and the number of employees you will hire. Generally, you will need at least $5,000 to start a small food business and up to $150,000 for a full-service restaurant.
Opening a food business comes with a number of risks, including food spoilage, health and safety regulations, food recalls, foodborne illness, lawsuits, changing consumer tastes and demand, and competition from other businesses.
Depending on the type of food business you want to open, you may need to obtain a permit from the local health department, state regulators, and/or the FDA. You will likely have to provide detailed information about your food products, facility and operations, and you may need to take a food safety training course.
This depends on the type of business you are opening. Produce, dairy, packaged foods, prepared meals, beverages, sweets, and convenience items are all popular foods that can be sold.
Depending on the type of food business you plan to open, you may need refrigerators, freezers, ovens, microwaves, dishwashers, blenders, mixers, and other appliances. You may also need utensils, pans, and other kitchen supplies.
Successful food businesses depend on having a specific niche, offering great customer service, providing a quality product, and providing a competitive price point. Popular successful businesses include food trucks, meal delivery services, grocery delivery services, and specialty food products.
First, make sure you are passionate and knowledgeable about your food products. Additionally, focus on customer service, value, and convenience. Additionally, understand your local food regulations and keep up with changing trends in the food industry. Finally, make sure you promote your business through effective marketing and advertising.