Fruit wholesale from a small cold-storage unit

Farmers' market vendors, independent grocers, ethnic food stores, caterers and small food processors such as jam makers, bakers and juice producers.

You buy larger volumes at lower prices and sell in smaller lots at a markup. Selling to processors and market vendors adds repeat volume, and seasonal fruit lets you vary your range.

• Buying and stock management
• Cold storage and handling of fresh produce
• Selling to trade customers
• Bookkeeping and cash flow planning

• Check licensing with your province and the Canadian Food Inspection Agency, including whether you need a Safe Food for Canadians licence (for example if you import or trade across provinces)
• Your local public health unit may inspect storage premises, so check requirements for food-handling and cold storage
• Budget for lease deposits, a walk-in cooler or refrigeration fit-out, racking, a pallet jack and a refrigerated or insulated delivery vehicle, which together make up most of the startup cost
• Commercial general liability and property insurance, plus cover for stock spoilage if available
• Fruit is perishable, so a refrigeration failure or poor demand forecasting can mean heavy losses
• Rent and power costs are fixed even in slow winter months
• Check municipal zoning and business licence rules for the unit

Estimates suggest startup costs are typically around $120,000 to $260,000, depending on lease deposits, refrigeration fit-out, racking, a pallet jack and a refrigerated or insulated delivery vehicle. Monthly revenue is estimated at roughly $8,000 to $40,000.

Check licensing with your province and the Canadian Food Inspection Agency, including whether you need a Safe Food for Canadians licence, for example if you import or trade across provinces. Also check local public health unit requirements for storage premises, and municipal zoning and business licence rules.

Fruit is perishable, so a refrigeration failure or poor demand forecasting can mean heavy losses. Rent and power costs are fixed even in slow winter months. The estimate suggests at least about 35 hours per week.