Start & Run a Home-Based Food Business 2/e

Notice xiiiAcknowledgments xvIntroduction xvii1 Location and Space 31. Start Your Business in Your Kitchen 31.1 Storage and work space in your home 32. Finding a Kitchen Outside Your Home 42.1 Kitchen incubators and shared kitchens 52.2 Places that accommodate large gatherings 52.3 Renting a commercial space 53. Get the Rental Agreement in Writing 62 Finding Your Product Niche 111. Foods Made without Heat 112. Stovetop, Hot Plate, and Microwave Foods 123. Baked Foods 124. Specialized Niches 124.1 Convenience foods and meal parts 134.2 Ethnic foods 134.3 Health-oriented, allergy specifi c, and other special diets 13iv Start & run a home-based food business4.4 The seasons 134.5 Fashionable foods 144.6 Gift packages 145. The ""New"" Catering 146. Things to Consider before You Decide on a Product Niche 166.1 Foods that are labor intensive 166.2 Consider the shelf life 166.3 Copyright issues on character cake pans 166.4 Limit your products in the beginning 177. Create a Signature Product 177.1 Develop a few specialties 178. Researching the Market 183 Preparing a Business Plan 211. Executive Summary 222. Statement of Purpose 223. History and Background 224. Description of the Business and Products 225. Company Values 226. Operations and Employees 237. Market Research 238. Promotional Strategies 239. Financing and Start-up Expenses 2310. Projections and Forecasts 2411. Personal Business Plan 2412. Business Planning Help 244 Making Your Business Legal 291. Your Business Structure 291.1 Sole proprietorship 301.2 Partnership 302. Choose a Business Name 312.1 Register your business name 313. Employer Identifi cation Number or Business Number 314. Business License and Seller's Permit 32Contents v5. Food Production License 325.1 Food production license and legal issues 326. Insurance 337. Zoning Laws 345 Financial Management 371. Start-up Capital 371.1 Minimalist approach 371.2 Moderate approach 381.3 Flush-with-capital approach 392. Bookkeeping: Keep Track of Your Business 402.1 Business expenses and deductions 402.2 Business income 432.3 Separating business fi nances from personal fi nances 463. Hiring a Professional to Help with the Bookkeeping 464. Paying Yourself 464.1 Retirement savings 475. Setting up Your Home Offi ce 476 Purchasing Cooking Equipment, Utensils, and Supplies 511. Cooking Equipment 511.1 Worktable and counter space 521.2 Refrigerator 521.3 Freezers 521.4 Ovens 531.5 Stovetop cooking or frying equipment 531.6 Sinks 531.7 Cooling rack 541.8 Proof box 541.9 Microwave 541.10 Mixers 541.11 Food processor 541.12 Bread machine 542. Cooking Utensils and Other Kitchen Necessities 552.1 Saucepans and stockpots 55vi Start & run a home-based food business2.2 Baking sheets, trays, and pans 552.3 Rolling pins 552.4 Measuring utensils 562.5 Timers 562.6 Miscellaneous small hand tools 562.7 Aprons and towels 562.8 Pan holders and pot holders 562.9 Ingredient scale 572.10 Certifi ed scale 572.11 Ingredient bins and tubs 572.12 Shelving and racks 572.13 Cleaning tools and supplies 573. Purchasing Supplies 573.1 Food supplies 583.2 Holiday supplies 583.3 Packaging supplies 597 How to Name, Package, and Label Your Products 631. Product Names 632. Packaging 632.1 The basics of packaging 642.2 Trays and platters 652.3 Gift packaging, bags, and baskets 652.4 Outer packaging and transporting 652.5 Shipping 652.6 Eco-friendly 663. Labeling Your Products 663.1 Ingredient list 673.2 Nutrition facts label 683.3 Health claims 683.4 Universal Product Code (UPC) 698 Pricing Products 731. Calculating the Costs 732. Adjusting for Change in Cost of Goods 76Contents vii3. Wholesale, Retail, and Courtesy Discount Prices 764. Wedding Cakes and Other Exceptions to the Rule 774.1 Contracts for wedding cakes and other special orders 789 Where to Find Your Customers 831. Wholesale: Finding Businesses that Will Sell Your Products 831.1 Restaurants, diners, delis, and coffee shops 851.2 Stores and markets 851.3 Caterers and party planners 861.4 Online merchants and catalogs 861.5 Florists, gift shops, and specialty boutiques 862. Retail: Finding Your Customers 862.1 Street fairs and markets 862.2 Mobile carts 892.3 Offi ce delivery route 892.4 Wedding cakes and other specialty products 922.5 Residential neighborhood sales 922.6 Kitchen sales 932.7 Mail order 932.8 Holiday sales 932.9 Celebrating year-round 952.10 The custom gift business 9510 Promoting Your Products 1011. Create a Logo 1012. Advertising 1013. Marketing 1024. Publicity 1024.1 Press releases 1025. Public Relations 1035.1 Brochures 1035.2 Flyers 1035.3 Business cards 1035.4 Websites 1065.5 Portfolio 106viii Start & run a home-based food business5.6 Coupons 1065.7 Write your own ads 1065.8 Point-of-purchase promotional materials 1065.9 Promotional products 1075.10 Newsletters 10711 Using and Measuring Ingredients 1111. Availability and Substitutions 1112. Use Natural Ingredients to Extend Shelf Life 1123. Use Fresh Ingredients 1124. Find a Multifunctional Recipe 1125. Increasing the Ingredients 1136. Formatting Recipes 1137. Tweaking a Recipe 1148. Testing Product Shelf Life 1148.1 Freezing your products or ingredients 1159. Measuring Ingredients 11510. Utilizing the Leftovers and Excess Products 11611. Ingredient Equivalencies 11712 Recipe Advice and Tips 1251. Ongoing Problem Recipes or Products 1251.1 Occasionally good recipes go bad 1262. General Tips for Recipes 1263. Muffi ns and Quick Breads 1284. Cookies 1295. Bars and Brownies 1306. Coffee, Bundt, and Pound Cakes 1317. Other Cakes 1318. Cake Frostings 1329. Pies, Pastries, and Sweet Crusts 13310. Breads, Buns, and Breakfast Pastries 13311. Fruit Sweetened, No-Sugar Added Products 134Contents ix13 Production and Business Tips 1391. Production Tips 1391.1 Seasonal production 1391.2 Scheduling production 1401.3 Assembly line method 1401.4 Being organized 1412. Food Safety Tips 1413. Kitchen Safety Tips 1424. Business Tips 1424.1 Look professional 1434.2 Your food should look professional too 1434.3 Organize your home offi ce 1434.4 Be timely 1434.5 Be consistent 1434.6 Be a thinker 1444.7 Problem solve 1444.8 Know your competition 1444.9 Donations 1454.10 Don't give away recipes 1455. Customer Service Tips 1455.1 Put on a happy face 1455.2 Keep in contact 1465.3 Dealing with pushy people 1465.4 Observing your customers 1465.5 Hire good employees 1466. Taking Care of Yourself 1476.1 Prioritize to reduce stress 1476.2 Manage your time 1476.3 Avoid isolation 1486.4 Occupational hazards 14814 Expanding Your Business 1511. Keeping Your Business at Home 1511.1 Increase production capability 152x Start & run a home-based food business1.2 Upgrade equipment 1521.3 Renovation 1521.4 Increase your outlets 1521.5 Extend your product varieties 1521.6 Profi t from emerging trends 1521.7 Continue to advertise 1522. Opening a Retail Shop 1533. Wholesale Space 1544. Co-Packers 1555. Making Decisions 155Recipes1 Basic Buttermilk Muffi n Batter 12 Pumpkin Loaf 93 Apple Crumb Cake 194 Sour Cream Coffee Cake 275 Almond Chocolate Chip Cookies 356 Bakery Sugar Cookies 497 Gingerbread Cookies 618 Cappuccino Blondies 719 Chocolate Overdose Brownies 8110 Chocolate Cake 9911 Red Velvet Cake 10912 Poppy Seed Cake 12313 Harvest Cake Muffi ns 13714 Grand Marnier Fruitcake 149Table1 Ingredient Equivalencies 117Samples1 Sublet Agreement 82 Simplifi ed Business Plan 26Contents xi3 Repayment Contract 384 Investor Coupon 395 Monthly Expense Ledger 426 Monthly Income Record 457 Product Label 678 Ingredient Label 689 Ingredient Cost Caculator 7410 Recipe Cost Calculator 7511 Wedding Cake Contract 7912 Retail Market Venue Supply Checklist 9013 Offi ce Delivery Route Flyer 9114 Neighborhood Flyer 9415 Holiday Flyer 9616 Holiday Letter 9717 Press Release 10418 Retail Flyer 10519 Recipe Format 115