Introduction to best profitable food business ideas
So, you’ve decided to start a food business, but how do you differentiate yourself? If you are thinking of ideas to get into the food business in India, you should start by considering a few things like the time and effort it takes, the capital, and market dynamics.
Food is an important consumable item for the mass population. For the daily basis requirements, people need to buy food items regularly. Food business ideas never go out of style as everybody needs to eat, several times a day.
The best profitable food business ideas
Here’s a list of food business ideas that you should look at to pick the right one for you.
A bakery is one of the proven and most profitable food business ideas that can be initiated with proper planning. The bakery makes and sells flour-based baked food. The items include bread, cakes, pastries, and much more that are generally produced on an oven.
Fast food restaurant
Nowadays the demand for fast food is increasing. One of the most popular food business ideas in India is a fast-food restaurant. You can start this business either by buying a franchise of a reputed fast-food brand or start of your own. In this business, selecting the menu and tariff are the most crucial aspects that you must consider carefully.
Another profitable food product that is consumed all around the year is chocolate making. Apart from the children, adults and even seniors love chocolates. You can make homemade chocolates from home with minimal investment. If you have sufficient money to invest, you can also make a small scale unit and sell it to a wider market.
Catering service is a popular business in the food industry. For every small and big gathering and get together people always looking for a catering service. Additionally, you must have the skill of arranging every detail related to this business. Apart from that, you will get business through event planners also. With moderate capital investment and proper planning, any individual can initiate a catering service of his/her own.
Banana wafer making
The banana wafer is a very healthy and tasty snack item. Also, the lifetime of the product is higher when it comes to proper packing. The manufacturing process is simple. Also, you need some simple machinery and equipment.
Pasta making business
Pasta is a staple food in Italy. Although Italian pasta is the most well-known, your pasta businesses can specialize in different types of noodles. Your target customer for a pasta business can be foodies or owners of eateries who don’t want to make their pasta. Inventory management is a key to ensure you always have fresh pasta and your supply doesn’t go to waste.
Biscuit making business is a very lucrative business. Also, women can start this business on a small-scale basis. Biscuit making is a conventional activity. Also, the biscuit comes under the FMCG (Fast Moving Consumer Goods) segment. So, there is always a market for this type of product.
A coffee shop
Coffee shop business is one of the best ways to turn your love for coffee into a profit-making food business. If you are living in a metro city or towns, you can start this business. A lot of brands are operating successfully. Some of the most popular are Cafe Coffee Day, Barista, etc.
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Yes, pickle making business is definitely the best profitable food ideas in India. The other home-based small scale food business idea is pickle making. The business requires simple machinery and equipment. Start the business on the micro or small-scale. After getting a good response, scale-up the business. This business can be started with a small investment. Pickles are popular food items in India.
A grocery store is another profitable food business idea in our country. Initiating a grocery shop is an easy business. Generally, the grocery store sells food staples, bakery items, edible oils, spices, and other household items.
The overall profitability of a grocery store demands on the volume. So, the location of the store plays an important role in getting overall success in this business. However, you will need to craft a solid business plan to compete with other operators.
Dessert shop is a very popular and profitable food business idea from the early days. This business approach is simple and straightforward. Simply you will need to have a store location. Keep different items like cake, pastry, cookies, ice cream, pies, and any item that suits the locality food habits. Apart from initiating of your own, you can consider starting a franchise also.
Noodles have become hugely popular among Indians as it is very easy to cook and tasty to eat. Brands like Maggie are instrumental in making noodles a household food item in this part of the world. You can also sell the items locally by starting a noodle-making unit on a small scale.
The mobile food truck business is different from a normal restaurant in two major ways.
One is you are moving and you don’t have a retail location. Second is you are going to the customers. A person having minimum experience in the foodservice industry can initiate this venture in the city area.
Here, you will need a vehicle like a truck or a car to sell your food items. From food trucks, you can sell frozen and packaged items like ice cream, soft drinks, sweets, and snacks or you can go for cooked items with a specific menu including for breakfast, tiffin, lunch.
Ginger garlic paste making
This is one of the profitable food business ideas in India. This is another great business that you can start at a low cost. It requires some simple machinery and equipment. It comes under the FMCG (Fast Moving Consumer Goods) segment. The shelf life is higher when stored in the refrigerator. Ginger and garlic are two important spices for cooking many foods including non-vegetarian items.
Jam jelly making
The business allows you to experiment with different flavors from fruits to make a wide variety of jam and jelly. Jam and jelly are the most important food items in the food processing and FMCG industry. The products come under the preserves category. The manufacturing process is simple. Additionally, you can expand the business in several ways.
The key to success here is getting noticed. Offer samples to local networking meetings, grocery stores, and mixers to get your name out. Creating unique flavors is the key to differentiate yourself from the competitors.
Canned rasgulla production
Canned rasgulla is a famous sweet item in our country and also in the international market. You can start a canned rasgulla making business with moderate capital investment. But, the business is lucrative and highly profitable.
The availability of major raw materials like milk is most important. You will need to ensure the smooth delivery of milk at your processing zone daily.
Homemade cookie making
This is one of the best profitable food business ideas in India. The online homemade cookie making business eliminates the cost of renting a brick & mortar store. Additionally, you can start this business either of your own or with having one or two employees. As you are selling the cookies from your online store, you can attract a wide range of consumers. Additionally, an online operation allows you to promote your business online in numerous ways.
Ice cream stand
For a metro city starting an ice cream stand or kiosk is a very profitable idea to generate a handsome income. You can also run this business on a seasonal and part-time basis. A mobile ice cream stand is more profitable than a fixed location comparing the ROI.
Online organic retail store
The demand for organically grown items is increasing very fast. And organic retail store eliminates the costs of renting a brick and mortar shop. If you can properly procure the organic food items, then this is the best food business to start from home. However, fresh vegetables and fruits are highly perishable items. So you will need to be very careful about that.
Pani puri stall
Throughout the country, Pani puri is one of the most popular street food items. It is a low-cost street food business. The location of the stall and the taste of the product are the most important aspects of this business. You must put the stall in a high traffic zone.
Papad is another food item that is consumed by most households in the country and is very profitable in the food industry considering the investment of low start-up capital. Papad is often served as an appetizer. Generally, people consume it in all parts of India. It’s a thin wafer-like product.
Packaged drinking water supply
Packaged drinking water is one of the most profitable food business ideas one can initiate with substantial capital investment. The demand for packaged drinking water has grown hugely in recent years. If you have reasonable money to invest, consider starting a packaged drinking water unit on a small scale.
As the quality of normal water is decreasing very fast, people become heavily dependent on packaged drinking water. Now drinking packaged water is not a luxury, but essential.
Many celebrities and health cautious people generally like to keep personal chef to have a daily basis of healthy and hygienic food. If you enjoy becoming a personal chef and working for a celebrity you may initiate this business.
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The main thing about the pizza delivery business is choosing the right delivery boy. A lot of the people will likely to have meals at their doorsteps due to their ultra-busy work schedule. Pizza is now a well known, favorite, tasty dish all over the world. Starting a pizza delivery business could be a popular and enjoyable way of making profits. And consumers can order a pizza through the app or phone calls.
Herbs and spice store
Herbs and spices are costly items. However, these are very essential items for preparing food. You can start a niche online store focusing on the herbs and spices. You can start the business at home. Also, you can operate the business with two to three employees in the initial stage. You will need to be careful in good packaging and on-time delivery.
If you are a food lover and enjoy exploring new recipes, starting a food blog is good money-making business. You will find many successful food bloggers making a good income out of their blogs related to cooking and recipes.
Sauce and ketchup making
Specialty ketchup and sauce have a great market demand. And if you have the expertise of making different types of delicious sauce and ketchup, you can start this business. You can sell the products both offline and online.
The Cloud kitchen is slowly getting popular in this world. The concept is simple. Just find a base kitchen and you can serve food from online ordering platforms. You can create your own online food ordering website or through platforms like Swiggy, Zomato, Uber Eats, etc.
The average investment needed for a cloud kitchen would be around 5-10 lakhs. Cloud kitchens are low investment ventures – again a substantial amount of money would be parked for the marketing.
Another profitable street food business is opening a popcorn stall. Also, it needs a small startup investment. Apart from selling popcorn from the stall, you can avail of party orders too. You will need to invest in procuring the stall, popcorn making machine, and raw materials. Also, you need to consider packaging items.
Dry sweets and namkeen making
Dry sweets and namkeen have a larger shelf life compared to many other food items. Also, these are healthy snacks. If you enjoy cooking, you can turn your hobby into a profitable business today. Also, this is the perfect business for housewives, moms, and homemakers. Pay attention to the creative packaging of the items.
Once you have decided what kind of food business you wish to open, you should be keeping a close eye on all the basic next steps. Here is the quick list of legal requirements for starting a food business:
License from municipal authorities: You would need permission from the local bodies and get a license for space or area where you’ll set up your restaurant.
FSSAI: The Food Safety and Standards Authority of India (FSSAI) makes it mandatory for you to have a 14 digit FSSAI number. The typical cost of an FSSAI license is around Rs 5000 to 10000.
GST registration: Restaurants are required to register under GST and get their GSTIN Number for tax purposes
Liquor license: You would need a liquor license if you are planning to sell alcohol at your restaurant.
Business registration: Needless to say, you must officially register your business and file your ITRs.
Other licenses you might require depending upon the nature of your food business are liquor license, eating license, health trade license, licenses for playing music and videos, etc.
The conclusion for profitable food business ideas
In addition to this list, there are plenty more food business ideas that can be explored. The success of a food business largely depends on the local taste and demand. Hence, it is essential from your part to do extensive research of the local market, find the gap, and accordingly, plan your food business.
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