Small food production unit supplying shops and cafés

Grocery stores, cafés, restaurants, specialty food shops, and online customers through your website.

Wholesale sales in repeat orders, plus online direct sales at higher margins. Profit depends on controlling ingredient, labour and packaging costs per unit.

• Production planning
• Food safety and record keeping
• Wholesale sales and customer service

• Premises must meet food safety and zoning rules, and you may need inspection and permits from the local public health unit
• Federal licensing and food safety plans may apply if you sell across provinces or export, so check with the CFIA
• Fit-out for a compliant food unit (floors, drainage, ventilation, handwashing and cold storage) and commercial equipment can be costly, so get detailed quotes early
• Commercial general liability, product liability and recall insurance
• WCB or WSIB coverage once you hire staff, as rules vary by province
• Large start-up spending and slow retailer payment can strain cash flow

Startup costs are typically estimated at around $80,000 to $300,000 CAD, depending on the unit, fit-out and equipment. Fit-out for floors, drainage, ventilation, handwashing and cold storage can be costly, so get detailed quotes early.

Check that your premises meet food safety and zoning rules, and whether you need inspection and permits from your local public health unit. If you sell across provinces or export, check federal licensing and food safety plan requirements with the CFIA.

Monthly revenue is typically estimated at around $8,000 to $40,000 CAD, depending on your products, batch volumes and retailer customers. Plan on at least about 35 hours a week, and note slow retailer payment can strain cash flow.