Small ice-making and bagging unit

Bars, restaurants, caterers, event companies, convenience stores, marinas, fishing and outfitting businesses, and local retailers who resell bags.

You sell bags and blocks at wholesale prices, with a delivery charge or minimum order for smaller customers. Making your own ice gives you a better margin per bag than reselling, once the equipment is paid off.

• Basic machine upkeep and strict cleanliness
• Organizing production, stock and deliveries
• Selling to businesses and managing accounts

• Ice sold for consumption is treated as food, so check permits, water testing and sanitation rules with your public health unit and the federal food regulator (CFIA) if you plan to sell across provinces
• Check packaging and labelling rules for bagged ice
• High electricity and water use, plus machine breakdowns, can cut into margins, so budget for repairs and a backup plan
• Commercial general liability and product liability insurance, plus WCB/WSIB coverage once you hire (rules vary by province)
• Demand is seasonal and peaks in summer, so plan for a quiet winter
• Check zoning for your unit with your municipality

Startup costs are typically estimated at around $70,000 to $200,000, depending on the machines, freezers, water filtration, bagging setup and unit you rent. Get quotes for equipment and rent before committing.

Monthly revenue is typically estimated at around $8,000 to $40,000, depending on how many bars, caterers, events and shops you supply. Demand is seasonal and peaks in summer, so plan for a quieter winter.

Ice sold for consumption is treated as food, so check permits, water testing and sanitation rules with your public health unit, and with the CFIA if selling across provinces. Also check packaging and labelling rules, and zoning for your unit with your municipality.