Small-batch food brand from a shared kitchen

Delis, cafes, independent grocers, farm shops, and customers buying online or at markets.

Wholesale sales in bulk to retailers at a lower price, plus direct sales at a higher price through markets and your own website.

• Recipe development and scaling up
• Food safety and traceability
• Costing and wholesale pricing
• Approaching shops and building relationships

• Food business registration with the relevant council, and any state food safety program requirements
• Labelling, allergen and shelf-life rules under the Food Standards Code, so check before you sell
• Public liability and product liability insurance, which stockists often ask to see
• Cash flow, as retailers may pay on 30-day terms while you buy ingredients up front
• Minimum order sizes and packaging costs eating into margins
• GST registration once turnover reaches the threshold

Startup costs are typically estimated at around $3,000 to $15,000, depending on kitchen hire hours, ingredients, packaging and branding. Minimum order sizes and packaging costs can eat into margins, so get quotes before you commit.

Monthly revenue is typically estimated at around $1,500 to $7,500, depending on how many shops, cafes and online customers you supply and your wholesale pricing. The estimate assumes about 15 or more hours a week.

Check food business registration with your council, any state food safety program requirements, and labelling, allergen and shelf-life rules under the Food Standards Code. Also check public liability and product liability insurance, which stockists often ask to see, and GST registration.