So, you’ve decided to start a home-based food business. That’s actually a great idea! You can start small, don’t need to pay rent, and manage your business on your own. But just like starting any type of business, starting a home-based food business needs preparation and planning.
To assist you in getting started with your food business, we have simplified the steps into 5 and added a few tips to improve your chances of success.
1. Choose your product
Maricar Reyes’ top advice in managing a food business is to develop a very good product. Think of something you’re very good at making and ask for the feedback of your friends and family. In Maricar’s case, she took a simple recipe for a chocolate cake and improved it to come up with her signature brand. Even without much marketing, your product’s quality will speak for itself.
2. Evaluate your kitchen & resources
While being ambitious is normal, you need to be realistic with your resources. Check your kitchen and resources on how many orders you can handle. If you have a budget, you can splurge on equipment. But if you’re still starting small, choose products that don’t need too many appliances or equipment to make. You should also have access to a reliable supplier of your ingredients, or else your food business won’t be stable.
3. Make a solid business plan
Making a business plan is one overlooked but important tool in business. This is where all your plans come together. Write down here the researches you made against competitors, in terms of pricing, marketing, suppliers, etc. Include here the finances and your projected profit. You will also streamline your marketing and how you plan to advertise your product. Serve this as the “bible” of your business.
4. Compute your capital & manage finances
Finances are a big part of a business. Be realistic with how much capital you have. If you plan to loan, compute how much earnings you need monthly to pay for the loan and still have profit. If you don’t have much capital, don’t fret because there are still other money sources you can check to get your business started. Be wise with your finances because you don’t want to drown in debt to keep your business afloat.
5. Start introducing your business
This is the exciting part, where you start marketing and introducing your business. If you can, you can offer samplers and small “taste parties” for your close friends and family to gather their feedback. Content is king! So Take high-quality photos and appealing captions to get people interested. Join food bazaars and promote wherever and whenever you can.
Starting a food business is really exciting, especially if it’s your passion. These are just a few steps you’ll take to get started. You’ll still learn many lessons along the way. Good luck!