Local dairy distributor with a refrigerated van

Restaurants, cafes, independent grocers, delis and food shops that want local or specialty dairy without ordering from many small producers.

You buy at wholesale and add a margin, or earn an agreed commission from producers. Larger orders and a wider range from each drop help your income per delivery.

• Sales and relationship building
• Route and order planning
• Food handling and cold-chain care
• Basic bookkeeping

• Check with your provincial regulator what licence or permit a dairy or food distributor needs, and whether you need approved storage space
• Local cheese and dairy products may carry labelling and inspection requirements, so check with your producers and your public health unit
• Refrigeration breakdowns can lose a whole load, so check cover and have a backup plan
• Commercial general liability, product liability and commercial vehicle insurance
• WCB or WSIB coverage if you hire a driver (rules vary by province)
• Check whether provincial dairy marketing rules affect what you can buy and resell
• Some customers pay slowly, which can strain cash flow

Startup costs are typically estimated at around $25,000 to $90,000, depending on your refrigerated van, storage, insurance and initial stock. Check cover for refrigeration breakdowns, since a failure can lose a whole load.

Monthly revenue is typically estimated at around $8,000 to $40,000, depending on how many customers and producers you work with. Plan for at least about 25 hours a week. Some customers pay slowly, which can strain cash flow.

Check with your provincial regulator what licence or permit you need and whether storage space must be approved. Also check labelling and inspection requirements with producers and your public health unit, provincial dairy marketing rules, insurance, and WCB/WSIB if you hire.