So I have this urge like many of you to create my own salsas, hot sauces, and more, and sell them. But as we all know there is a LOT of red tape to go through. Someone once suggested to me to give it a way for free but accept donations that way its not technically "selling". Is this a way around a lot of the legal stuff and a way to keep my butt safe? Is there an "easy" way to getting your product out to the people? Is there an "idiots guide" to getting your product to people and understanding all the legal stuff? I know I am probably asking a lot but this is something that my friend and I would love very much to do. I know you need a certified kitchen and that there is a ph balance needed in the sauces and such so I do know some of the basics but a lot of some of the more technical stuff and legal stuff seems very overwhelming and intimidating. Any help on the questions would be greatly appreciated.
Selling food minus red tape
- Thread starter crazy8
- Start date
salsalady
Business Member
Yes a good market can bring in some cash, The first year I did the market here, I did not have salsa in the stores and I would routinely sell 80-100 pints of salsa on a Saturday. But $37 for 12 eggs?!? Sheesh! Unfortunateley there's only 1 market in our area, so the multi-market option isn't available.
Also, here's something interesting........the first year I sold salsa at the market, sales were GREAT. So in the fall, I got the salsa into the 2 local grocery stores and maintained good sales through the winter. Next spring...I'm back at the market and sales STUNK! People would come up and eat samples like crazy, and then say, "this is the BEST Salsa! I just bought some at the store!" So after 3 summers, I quit selling the salsa at the market. I miss that nice chunk of cash every week. It definitely helped with the groceries while the other business was getting going.
NJA, what you say confirms what I was saying also. The people are inspected and instructed on safe food preparation. Education is key. A person may have the best family secret recipe in the world, but if they don't do it safe, it's all for naught.
I consider my enterprise a cottage industry. For the first 10 years or so, I used other kitchens and just did the markets and a few stores. 4 years ago we were faced with the decision to either build our own kitchen or quit making salsa as the other kitchen was no longer available. And our other business was to the point where I really didn't have the time to deal with working out of someone else's kitchen. Fortunately, we had enough cash and I also had the opportunity to cater picnic lunches for a river rafting company for two summers. That chunk of change paid for the kitchen in 2 summers.
The point is, I worked out of other facilities for 10 years. Minimal cash outlay. The most expensive thing I paid for in the first 10 years was a used DittoDean continuous-feed food chopper. ($750 for a 20-year old used chopper...YIKES!) and I didn't need that for the first 5 years. The first kitchen I used had a chopper available, but after we moved to eastern Washington, the next kitchen did not have a chopper. My business is still a cottage industry. It's a part time interest and the refrigerated products are only in 2 local stores.
Also, here's something interesting........the first year I sold salsa at the market, sales were GREAT. So in the fall, I got the salsa into the 2 local grocery stores and maintained good sales through the winter. Next spring...I'm back at the market and sales STUNK! People would come up and eat samples like crazy, and then say, "this is the BEST Salsa! I just bought some at the store!" So after 3 summers, I quit selling the salsa at the market. I miss that nice chunk of cash every week. It definitely helped with the groceries while the other business was getting going.
NJA, what you say confirms what I was saying also. The people are inspected and instructed on safe food preparation. Education is key. A person may have the best family secret recipe in the world, but if they don't do it safe, it's all for naught.
I consider my enterprise a cottage industry. For the first 10 years or so, I used other kitchens and just did the markets and a few stores. 4 years ago we were faced with the decision to either build our own kitchen or quit making salsa as the other kitchen was no longer available. And our other business was to the point where I really didn't have the time to deal with working out of someone else's kitchen. Fortunately, we had enough cash and I also had the opportunity to cater picnic lunches for a river rafting company for two summers. That chunk of change paid for the kitchen in 2 summers.
The point is, I worked out of other facilities for 10 years. Minimal cash outlay. The most expensive thing I paid for in the first 10 years was a used DittoDean continuous-feed food chopper. ($750 for a 20-year old used chopper...YIKES!) and I didn't need that for the first 5 years. The first kitchen I used had a chopper available, but after we moved to eastern Washington, the next kitchen did not have a chopper. My business is still a cottage industry. It's a part time interest and the refrigerated products are only in 2 local stores.
SL,
Not to be nosy (but still being nosy!) how much income do you average per week? My goal is that by 2012 to be growing produce for a living. But at $37/dozen eggs, I may need to get into that arena - some people have too much cash on their hands!
I would do this 50 weeks a year. Tomatoes, green beans, whatever else sells good and is easy/quick to grow. Not that I would want to rob anyone, but I know I can get $3 per pound for real tomatoes in late fall through very early summer if I sell to the public. Do it - during the winter - inside using hydroponics. I think I could turn a 2'x15' space into 90 beans plants.
Mike
Not to be nosy (but still being nosy!) how much income do you average per week? My goal is that by 2012 to be growing produce for a living. But at $37/dozen eggs, I may need to get into that arena - some people have too much cash on their hands!
I would do this 50 weeks a year. Tomatoes, green beans, whatever else sells good and is easy/quick to grow. Not that I would want to rob anyone, but I know I can get $3 per pound for real tomatoes in late fall through very early summer if I sell to the public. Do it - during the winter - inside using hydroponics. I think I could turn a 2'x15' space into 90 beans plants.
Mike
SL,
Thanks for being so candid.
Don't you think that if govt. helped with a new cottage industry policy, it will help thousands of people directly and a million indirectly?
NJA
Thanks for being so candid.
Don't you think that if govt. helped with a new cottage industry policy, it will help thousands of people directly and a million indirectly?
NJA
salsalady
Business Member
wordwiz, I'm not sure we can compare industries as you are looking at being a grower and I am a processor. I guess all I can say is the salsa puts groceries on the table. The salsa is a small scale operation and it will never go out of the valley where we live because it is a fresh product that I have to control.
Talk about keeping the $$ local....Most times when I make a delivery to the local grocery store, they will give me a "paid out" from the till for the salsa. I get my cart, run around the store and when I'm done at the checkout counter, they have most of the money back. But that's OK! As I said, the fresh salsa pays for the groceries.
The hot sauces, spice mix and the glaze are the "Next Generation" of products that can go out of area are another story and that's just coming online. We'll be doing a sales run to semi-local stores for the shelf stable products next week.
NJA- I'm not sure if govt needs a dedicated Cottage Industry policy because as I've experienced, a cottage industry can be done on minimal budget. I feel like there is enough regulation, and in a specific case (mine) too much regulation.
Here's a Catch22 for you-
I am licensed by the state of Washington to make and sell (listed products) as a wholesale operation to anyone...anywhere. I have filed a FDA nutritional labeling exemption because my operation is so small. I have had our water tested and approved by the state of WA as approved for use in a a food operation. I have 5 sinks in the kitchen (hand wash, vegetable prep, wash, rinse, sanitize) I have a commercial refrigerator. Everything is above par for the state of WA for a food processing facility.
BUT- in order to sell my products at the local farmers market I have to have a COUNTY health permit! Which entails.......
$250 for a facility blueprint review, (they look at a sketch of the facility to make sure I have 5 sinks and a refer...)
$150 for a site visit (to make sure I really do have 5 sinks and a refer)
$80 farmers market food permit
$350 for a water system review (my water is OK for the state but not for the county???????????????)
This is a classic case of too much government!
My products are approved through the state of Washington but my local county has to get their fingers into the pie and get their cut of the money. They have this thing that if I am selling wholesale to stores, that is a state issue, but if I want to RETAIL directly to the customer.....like at a farmers market...........I have to have a COUNTY license! .....which I described above............
OK...sorry, rant over...........But I find it totally BS that my facility is good enough for the state but not good enough to sell at the farmers market. Anyway, I have a market rebellion in mind. Hopefully will post pics in a few weeks if it actually works out.
Talk about keeping the $$ local....Most times when I make a delivery to the local grocery store, they will give me a "paid out" from the till for the salsa. I get my cart, run around the store and when I'm done at the checkout counter, they have most of the money back. But that's OK! As I said, the fresh salsa pays for the groceries.
The hot sauces, spice mix and the glaze are the "Next Generation" of products that can go out of area are another story and that's just coming online. We'll be doing a sales run to semi-local stores for the shelf stable products next week.
NJA- I'm not sure if govt needs a dedicated Cottage Industry policy because as I've experienced, a cottage industry can be done on minimal budget. I feel like there is enough regulation, and in a specific case (mine) too much regulation.
Here's a Catch22 for you-
I am licensed by the state of Washington to make and sell (listed products) as a wholesale operation to anyone...anywhere. I have filed a FDA nutritional labeling exemption because my operation is so small. I have had our water tested and approved by the state of WA as approved for use in a a food operation. I have 5 sinks in the kitchen (hand wash, vegetable prep, wash, rinse, sanitize) I have a commercial refrigerator. Everything is above par for the state of WA for a food processing facility.
BUT- in order to sell my products at the local farmers market I have to have a COUNTY health permit! Which entails.......
$250 for a facility blueprint review, (they look at a sketch of the facility to make sure I have 5 sinks and a refer...)
$150 for a site visit (to make sure I really do have 5 sinks and a refer)
$80 farmers market food permit
$350 for a water system review (my water is OK for the state but not for the county???????????????)
This is a classic case of too much government!
My products are approved through the state of Washington but my local county has to get their fingers into the pie and get their cut of the money. They have this thing that if I am selling wholesale to stores, that is a state issue, but if I want to RETAIL directly to the customer.....like at a farmers market...........I have to have a COUNTY license! .....which I described above............
OK...sorry, rant over...........But I find it totally BS that my facility is good enough for the state but not good enough to sell at the farmers market. Anyway, I have a market rebellion in mind. Hopefully will post pics in a few weeks if it actually works out.
So the cottage industry is full of the same "Red tape"
If the sellers are licensed, inspected, they take safety/sanitary courses, and products are made in a clean, inspected kitchen then it would seem safe to me because it would have gone through most of the same needed "red-tape" that everyone else goes through to make products safe although in my opinion they should always be insured
I love eating at street vendors, but knowing that here their food and facilities are inspected for safety and cleanliness and they are also likely insured well in case someone gets sick
SL,
It is not a classic case of too much government in this case.
It is a classic case of organized sector influencing the government to discourage cottage industry.
I have seen this happening in food, medical sector so much that organised rackateers influence the government
to make it impossible for people to get cheap food and cheap health management.
Why should a simple IBUPRIOFANE tablet COST 5 Pennies in India or Lebnon or Pakistan and one thousand times in USA?
Why should Food cost so much when a housewife can cook the same food at a fraction?
Every thing is artificially inflated by Organized sector in cahoots with the government.
Unless people take it up on a nationwide manner, I don't see any salvation for them.
Most debt ridden citizens of world , we USA people are.
NJA
It is not a classic case of too much government in this case.
It is a classic case of organized sector influencing the government to discourage cottage industry.
I have seen this happening in food, medical sector so much that organised rackateers influence the government
to make it impossible for people to get cheap food and cheap health management.
Why should a simple IBUPRIOFANE tablet COST 5 Pennies in India or Lebnon or Pakistan and one thousand times in USA?
Why should Food cost so much when a housewife can cook the same food at a fraction?
Every thing is artificially inflated by Organized sector in cahoots with the government.
Unless people take it up on a nationwide manner, I don't see any salvation for them.
Most debt ridden citizens of world , we USA people are.
NJA
salsalady
Business Member
NJA- I agree that the FDA is not out to protect the Little Guys, and they are bought and paid for by BigBusiness. And BigBusiness is doing everything they can to keep us fat and unhealthy. I don't want to get too far out into left field in crazy8's post so I'll leave it at that.
Potawie, I think NJA was saying the street vendors in India are not regulated. I know in the US and Mexico ...and probably Canada...the street vendors are regulated and inspected. As much as any restaurant is anyway.
I saw a health report for a Seattle restaurant that said "The chef said that the chicken with the maggots in it was for personal use". True story! The restaurant was closed, I was there to pick up some restaurant equipment and the report was taped to a refer.
Potawie, I think NJA was saying the street vendors in India are not regulated. I know in the US and Mexico ...and probably Canada...the street vendors are regulated and inspected. As much as any restaurant is anyway.
I saw a health report for a Seattle restaurant that said "The chef said that the chicken with the maggots in it was for personal use". True story! The restaurant was closed, I was there to pick up some restaurant equipment and the report was taped to a refer.
SL,
Oh, I shop local. Mom and pop stores and not chain ones if at all possible. I bought a lawn mower from a local hardware store and my neighbor told me I should take it back and get one at Wally World instead - it would save me $40. I like the people at the store and know they have been struggling to keep all the employees working, given the current economy. That $40 was probably enough to pay one of them for a half-day, maybe more!
I'm sure that even if I have 56 great-producing tomato plants, I won't make enough to give up my day job! But... if I get to 560, I will! Maybe even 400.
Ohio has just changed its laws to allow more cottage industry type products to be sold at Farmers' Markets without a special permit. Still a long way from allowing anyone from anyplace showing up with a product but at least they realize blends of dehydrated/dried spices can be sold without a special permit and inspection.
Mike
Oh, I shop local. Mom and pop stores and not chain ones if at all possible. I bought a lawn mower from a local hardware store and my neighbor told me I should take it back and get one at Wally World instead - it would save me $40. I like the people at the store and know they have been struggling to keep all the employees working, given the current economy. That $40 was probably enough to pay one of them for a half-day, maybe more!
I'm sure that even if I have 56 great-producing tomato plants, I won't make enough to give up my day job! But... if I get to 560, I will! Maybe even 400.
Ohio has just changed its laws to allow more cottage industry type products to be sold at Farmers' Markets without a special permit. Still a long way from allowing anyone from anyplace showing up with a product but at least they realize blends of dehydrated/dried spices can be sold without a special permit and inspection.
Mike