Small fruit and veg wholesale unit

Restaurants, caterers, schools and care home suppliers, greengrocers, market traders and small food manufacturers.

You buy in volume and sell at a mark-up in smaller lots. Margins per item are modest, so profit comes from regular orders, careful buying and keeping waste low.

• Buying and negotiating with suppliers
• Stock control for perishable goods
• Managing people and deliveries
• Credit control and bookkeeping

• Register the premises as a food business with your local council and expect an inspection
• A food safety management plan and staff hygiene training (check what is required locally)
• Employer's liability insurance once you hire, plus stock, public liability and vehicle cover
• Lease terms, business rates and whether the unit's planning use allows food storage and early deliveries
• Credit risk if customers pay late, and wastage if stock does not move
• If you import produce, check the paperwork and any rules that apply to you

Startup costs are typically around £25,000 to £80,000, depending on your unit, chilled storage, vehicles, stock and insurance. These are estimates, so get quotes on premises and equipment before committing.

Check that you must register the premises as a food business with your local council and expect an inspection. Also check what food safety management plan and staff hygiene training is required locally, and whether the unit's planning use allows food storage.

Monthly revenue is typically estimated at around £20,000 to £90,000, depending on your customers and volumes. Late payments and wastage of unsold stock can hit cash flow, so plan for both.