Local wholesale supplier with delivery route

Convenience stores, independent grocers, gas station shops, small restaurants and community stores that are too small to get good service from the big distributors.

You sell cases at a markup over your buying price. Income grows by adding shops to each route, widening your range and negotiating better prices as your volumes grow.

• Sales and account management
• Inventory and ordering systems
• Driving and route planning
• Negotiating with suppliers

• Food storage and distribution may need provincial or municipal permits and Canadian Food Inspection Agency licensing, so check what applies to your products and province
• Tobacco, vapour and alcohol are tightly regulated, so check the licensing rules before stocking them
• Commercial general liability, product liability, cargo and commercial auto insurance
• Workers' compensation (WCB or WSIB, depending on your province) once you hire a driver or warehouse help
• Large upfront stock costs and slow-paying customers can strain cash flow
• Winter driving and delivery delays, so plan your routes and stock levels for the cold months

Startup costs are estimated at typically around $25,000 to $100,000, depending on your unit, van and opening stock. Monthly revenue is estimated at around $15,000 to $70,000. Treat these as estimates and check them against your own supplier and rent quotes.

Check these points: provincial or municipal permits and Canadian Food Inspection Agency licensing for storing and distributing your products, tobacco, vapour and alcohol licensing rules, insurance (general liability, product liability, cargo and commercial auto), and WCB or WSIB once you hire a driver or warehouse help.

Helpful skills include sales and account management, inventory systems, route planning and negotiating with suppliers. Plan for at least about 35 hours a week. Large upfront stock costs and slow-paying customers can strain cash flow, and winter driving can cause delays.