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Wednesday, September 20, 2006

Turning Your Home Recipe Into a Business Venture

A bbq question I am asked about most is how to start selling bbq sauce.

To answer that question, I've done a little research this week. Here's a breakdown of the basic entry level expenses to develop a bbq sauce product and bring it to market.

Development of Test Batch with Co-Packing Company..$100
Minimum 45 case purchase.......................................$1,000
Product Labels*...........................................................$240
Nutrition Statement.....................................................$180
UPC Labels..................................................................$750

Total $2,270

*This does not count the artwork, design and printing for the label. The label cost might vary according the actual terms you negotiate with your printer.

Some of the typical minimum basic requirements to qualify for consideration with the co-packer company:

Articles of Incorporation
PH Level Testing
Liability Insurance Coverage
Tax I.D. #
Bank References
Food Industry References

...and a whole list of other minor requirements to be met before the co-packer will agree to bottle your sauce.

It's still pretty reasonable though when you consider the cost of starting some other types of businesses such a restaurant franchise or various retail establishements.

Purchase bbq rub

Copy Cat Recipes!

1 comment:

ThePurpleSeal said...

Hi there,

Just incase it is of any interest to you, a while back i managed to find a british labels company who do all my label printing for me for a really low cost.