organic food

Organic Food: How to Start an Organic Food Shop

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Organic food shop is for health conscious people looking for highly nutritious food. They are willing to pay premium price for quality food items. An organic food shop owner needs to find supplier, secure additional license and fix reasonable prices. Make sure the shop is able to transact business either cash or POS for sales.

What is organic food?

Organic food are edibles produced under strict compliance to standardization for organic produce. The method promotes ecological balance, biodiversity and cycle resources.

Organic Food Shop

Write a plan

Write a business plan, carry out research, define goals, source products, licensing and labor. Other parameters are funding, marketing, target market, location. Next is to fill paperwork, stock shelves, manage daily activity in store.

Learn the trade

It is important to carry out research or learn the trade before starting the venture. Next determine your customer base, find a good location, source quality organic food, and consider startup cost implications. Finally register the business, buy equipment, hiring a shop attendant, bookkeeper or run the business yourself.

Determine the products

Organic food products cover a wide range of edibles that include fresh fruits, vegetables, canned foods, general grocers, farmed animals. More products to consider are bakery products, processed food, cereals.

It is important to determine the organic food local residents want. There are two ways to determine the market base either sell general items or focus on a niche.

Types of organic products

  • fresh fruits
  • vegetables
  • canned foods
  • general grocers
  • farmed animals
  • bakery products
  • processed food
  • cereals

Licensing

Register the business as a sole proprietorship or one man business. Choose an interesting business name place an attractive signboard in-front of the store. Fill for license to handle organic products from local health department.

The choice of location should be in a heavily trafficked area with lots of human movement. Make sure the location complies with zoning requirement and local government laws.

It is important to join organic food association or related associations. Make sure the processed food has GST registration including trademark, food and drug administration number, batch number.

Licensing for organic food shop

  1. Register a sole proprietorship
  2. Select a business name
  3. license to handle organic products
  4. local health department
  5. Comply with zoning requirement
  6. Abide by local government laws.
  7. join organic food association
  8. get GST registration
  9. get a trademark
  10. food and drug administration number

Funding

To source funds show your business plan to potential investors. Organic products don’t come cheap therefore startup is high. Source funding through target savings or borrow from family and friends. Seek long term low interest loans from microfinance banks or trade banks. You might decide to involve a partner for ore financial assistant.

Sourcing products

There are set standards for organic products therefore follow the guidelines and rules. Organic products have certification of mode of production, farm, labeling. To ensure regular supply of goods sign long term contracts with suppliers that meet your standards. Make sure to research suppliers, check their reputation and government certification to handle organic products.

Costing

Everyone knows organically produced products attract higher prices therefore make sure the prices are competitive and fair. An overpriced store will drive away customers as surely as a mismanaged one.

Marketing

Network with organic food producers/consumers through trade shows, organic produce markets. There are many seminars, workshops to increase your knowledge base and network.

Advertise the store through print media like flyers, billboards, signboard, and business cards. Use local television networks, radio and online advertisement. Use social media like Facebook, twitter, Instagram to reach customers.

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