Neighborhood organic grocery store

Health-conscious households, young families, people with dietary needs and shoppers who prefer local or organic products.

You buy from wholesalers, distributors and local farms and sell at a markup. Extra income can come from a small deli counter, gift baskets or a loyalty program.

• Buying and stock control
• Knowing organic products and labels
• Customer service
• Basic bookkeeping

• Health department permit and inspections for selling food, check with your county
• Only use the word 'organic' on products that are properly certified; check USDA National Organic Program rules, especially if you repackage or prepare food yourself
• Spoilage of fresh produce can eat into thin margins
• Sales tax registration with your state, and whether groceries are taxed locally
• General liability and product liability insurance, plus workers' compensation once you hire
• Lease costs and competition from large chains and online grocery delivery

Startup costs are typically around $40,000 to $200,000, depending on the size and location of the shop, fit-out, equipment and opening stock. These are estimates, so build a detailed budget including lease costs before you commit.

Monthly revenue is typically around $15,000 to $75,000, depending on your location, range and customer base. These are estimates, not guarantees, and spoilage of fresh produce can eat into thin margins, so watch profit as well as sales.

Check health department permits and inspections with your county. Only use the word "organic" on properly certified products and review USDA National Organic Program rules. Also check state sales tax registration, insurance needs and lease costs.