This blog, the frozen food business is part of Small business ideas by candlelight guide. You can start your business today anywhere in the world with very low investment and better returns.
The majority of us are not born with a silver spoon or huge bank balances. We strive to make our lifestyle better by taping on opportunities that yield better.
Anyone can have chains of a retail shop, countrywide distribution network, International brand, or big growing company but the stepping stone is to start working on your plans today.
Start small and start locally, this helps you in understanding the needs and requirements of your business from microlens. Also, this saves you from any unwanted risk, as investing all your hard-earned money without properly identifying what you want to do? Where you want to sell your product and service and who is your customer may land you in a very risky situation.
Small businesses cost very little to start but your initial homework before doing anything can make a big difference.
Your homework includes some basic research i.e.
- How much you can invest?
It must be a calculated risk – do not put on stakes all your money at once. Step by step pour money and assess the growth and progress of your business accordingly.
- Where do you want to invest?
For any business type, the need assessment of products and services you are planning to invest is very crucial. This determines the ‘WHY’ behind your selection of a particular product and service.
- Where you have planned to place your product/services?
The positioning is important, either you make and package from your home or sell it to retail shops or rent a shop for this purpose. The ease of accessibility is the main concern i.e. if a customer who needs your product can avail with ease that means you have positioned your product/services smartly.
Also Read: Business Idea And Opportunities
- What is the value addition?
Sometimes you find an opportunity which is untapped in your area or region and you can solely skim the benefits but if you are facing competition then you should identify the value addition in your product. Value addition can be anything like delivery time, quality, cost, variety, customer interaction, etc. Often small businesses pitch their idea so well and adapt to the changing needs of customers that in a short period of time they turn into big businesses. It is not always necessary to search for a novel idea, you can start a business similar to others but your approach should be novel.
Frozen Food Business
(Manageable and low-risk business with good returns)
In this blog, we have identified Frozen Food Business (FFB) as the potential idea for those with limited investment.
Frozen Foods can be started at a very small scale with very little investment. This type of business comes under fast-moving consumer goods (FMCGs) with high demand. The readymade meal that just needs to be cooked is the blessing when you have no time to cook, prepare, or arrange ingredients by yourself.
You can find frozen food items across all the big retail stores with lots of varieties.
Step 1: Small survey
For Frozen foods, you have to run a small survey in your area, what we call research. Just roam around, visit some retail shops, shopping marts, talk to friends in neighbors and gather some insight as to what frozen food items are most in demand. Also, discuss with them the variety of frozen foods that you can supply to them.
Make a list of frozen foods that you can supply and those in demand.
Figure out what is the price range of the frozen foods offered in the market and accordingly set the price of your product, as the too high or low price can affect the sale of your products.
Step 2: Setup your business
Once you have identified the product that you want to supply, now you must arrange the basic setup i.e. you will need a deep freezer, utensils to prepare your frozen foods, items for freezing, and preserving your food items and a good recipe.
During your research phase, maybe you land on a contract with a retail shop or bakery or caterers in your surrounding and get your first frozen food order but that happens when you thoroughly search your surrounding for business opportunities.
The small setup of frozen foods at your home won’t cost you more than PKR.100000 (1 lac) or $500-700.
Remember you don’t have to buy a very advanced deep freezer, just a normal range that helps you start your setup. If your business grows you can replace it with a bigger advanced deep freezer. As mentioned earlier you have to play safe with calculated risk. You can also find used deep freezer that will cost less.
For frozen food business you must have an idea about:
- What type of Frozen Food do you want to sell?
There are varieties of frozen foods items available you must identify what products are demanded in your locality or surrounding. They have a high shelf life and not perishable immediately which means you can freeze them in bulk for a longer period of time.
- Who will be your buyer?
You have to decide where to sell your products. You can sell to retail shops, bakeries, caterers, school/university canteens, canteens in hospitals, railways, airports, etc. also you may approach food service companies that provide food to these canteens and you can take orders from them.
In Pakistan, co-packing facilities are not available but people living outside Pakistan can also avail of the services of co-packing. You simply provide them your recipe and them handover the final product to you. They have good logistics which means in the long run if your business grows you can cater to a large number of customers with their help. Also, with the progress in your business, you can set up a commercial kitchen for your business which is highly equipped with the latest technology to prepare food instantly and store accordingly.
Another approach that can be adopted is to seek the services of food brokers. Food brokers help you with sales of your product by representing them in their network. Also, many are specialized and offer services in their area of expertise.
It is always goods to start small and set up a manageable business. Once you have catered the needs of your region you can expand into other regions and gradually with success make your brand international.
In the food industry, quality and hygiene are the most crucial factors and you must lay the foundation of your business from day first to provide better quality with utmost care for hygiene.
Similarly, if you can create a Facebook page and Instagram account to promote your business that proves to be very helpful in the promotion of your business. Also, with the progress, you can maintain a proper website with blogs to attract traffic and market your products.
Also, you can print leaflets and brochures of your business once things get streamlined. You can also arrange a small gathering of neighbors and friends and treat them with your frozen food items as this can be a great idea for instant marketing as word of mouth plays a vital role.
Tips for freezing your Food
- Allow foods to cool down to room temperature before freezing, otherwise, it won’t freeze properly also avoid trapping air while freezing it, as air can spoil your food. Wrap your food as tight as possible in a plastic wrap or freezer bag.
- Label foods with items and dates.
- Freeze loose food by laying them flat on a baking sheet, freeze them and take them out. Then put them in a freezer bag as it will stop clumping of food.
- Freeze your sauces/ herbs in an ice cube tray. Apply the same procedure i.e. freeze them and again take them out and put them in a freezer bag.
- Keep the doors of the freezer shut if the light goes off. Do not open often as it can spoil your food
Tips for Defrosting
- Use refrigerator
- Defrost in microwave
- Or cover it in water and shake after 30 minutes until it defrosts
- Use an aluminum tray to defrost as it has remarkable results. Just leave your frozen food on a tray for some time.