Food Business Ideas: 16 Ways To Be the Boss (2025)


Have you ever had a food business idea but weren’t sure if it would catch on? Well, one thing’s for certain. Tastes may differ from person to person, but everyone needs to eat. 

With so many potential customers and such a wide variety of product offerings, no matter how many food retailers enter the market, there’s always room for one more. 

If you’ve decided to get into the food business as a first-time merchant, download this startup checklist (click to download), or check out the ideas below. 

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13 food business ideas to launch today

  1. Food truck
  2. Ice cream shop
  3. Cooking classes
  4. Personal chef
  5. Coffee shop
  6. Meal kits
  7. Baked goods
  8. Sauces
  9. Prepackaged snacks
  10. Baby food
  11. Homemade jams and jellies
  12. Organic foods
  13. Wine, beer, and spirits

Every food business has pros and cons, so consider your level of commitment and choose the food business idea best for you. 

To get started, here are 13 ideas for products and services to inspire you.

1. Food truck

A fish and chips food truck with a customer against city background
Food trucks continue to grow in popularity for events and in busy foot traffic areas.

Food trucks are a popular way to get into the food business. Right now, the global market for food trucks is growing by an estimated 6.3% per year, and it’s not hard to see why. 

A food truck business gives an entrepreneur mobility and the same opportunity as a restaurant to develop a unique menu without the responsibilities of real estate.

Getting customers through the door can be one of the biggest challenges for a restaurant, so why not bring the restaurant to your customers?

Benefits 

  • Mobility: With a food truck business, startup entrepreneurs can go where their customers are. You can park in a popular area downtown, by the beach, by the park—anywhere. Show up at the weekly farmers market or the hometown football game. Time and place is flexible!
  • Creative control: For aspiring chefs, a food truck provides an opportunity to create a one-of-a-kind menu at a much lower cost than owning a restaurant.

Challenges

  • Legal learning curve: Most cities and towns have unique zoning laws that outline where and when you’re able to sell your product, so you’ll need to familiarize yourself with the laws in any jurisdiction in which you’ll be selling. There’s also compliance with local health department codes, so research them for the areas where you plan to sell. For events, you may need to secure permission from the organizers, especially if they contracted with other vendors. 

Tips to get started

  • Budget accordingly: Expect your total startup costs to range from $50,000 to more than $175,000. The biggest variable is the truck itself. A used, ready-to-operate vehicle is much cheaper than a new, custom-built mobile unit.
  • Map your timeline: Plan to launch between two and four months. The main phases include sourcing your truck (three to eight weeks), navigating the permits and inspections process (two to six weeks, which can overlap), and finalizing your menu.
  • Get your permits in order: You’ll need a variety of licenses for your business, vehicle, and sales. Focus on the most critical approvals first, as they often take the longest. This includes a Mobile Food Facility permit from your local government and a signed Commissary Agreement, which is a requirement in many cities for daily servicing.

2. Ice cream shop

Ice cream is one of the world’s most beloved desserts and an excellent food business idea. In fact, experts expect the ice cream industry to be worth $112 billion worldwide by 2030, meaning the industry is set to become increasingly profitable over the next few years. 

Ice cream works alongside just about any other dessert and has several variations, including frozen yogurt, sorbet, gelato, and frozen custard. With endless recipe ideas, ice cream has great potential.

Benefits 

  • Creative control: Ice cream lends itself to endless flavor combinations, making it great for innovative entrepreneurs.

Challenges

  • Seasonal downtime: While it’s hugely popular in the summer, sales slow down in the winter for this food business. Luckily, ice cream lends itself to a wide array of seasonal varieties⁠—like pumpkin in the fall or peppermint during the winter holidays.

Plus, sometimes, it’s less about the ice cream (or food item) and more about what you do with it. When University of Washington graduates Ivana Orlovic and William Hubbell developed an edible, egg-free version of cookie dough, they knew they were on to something. Sugar + Spoon creates rich, creamy treats by combining cookie dough and ice cream with a number of toppings and flavors.

Sugar + Spoon maintains a strong online following and sells out of its storefront in Seattle, as well as at pop-up shops, food truck events, and online. It even offers DIY ice cream packs, letting customers combine their favorite flavors into a single purchase.

Tips to get started

  • Anticipate major costs: Your biggest investments will be a batch freezer ($8,000 to $30,000) and your store build-out ($10,000 to $50,000 or more). If making your own base, consult the health department before buying equipment, as their dairy processing rules will dictate your equipment needs.
  • Plan for year-round revenue: Combat the slow season by adding warm menu items like affogatos and baked goods. Drive consistent sales by also offering packaged goods like take-home pints and ice cream cakes.
  • Grow with partnerships: Sustain your growth with a local partnership network. Collaborate with coffee shops or bakeries on co-branded flavors, become a dessert vendor for event planners, or host fundraiser nights for local schools.

Get inspired: How These 4 Pop-Up Shops Went Viral (And How Yours Can Too)

3. Cooking classes

Two people standing at a kitchen island learning how to cook with le creuset kitchenware nearby
Iconic cookware retailer Le Creuset offers demonstrations in stores and classes with partners.

If you’re into a more hands-on personal approach for your food business, then cooking classes and demonstrations may be the missing ingredient. Teaching can be an extremely rewarding experience, and there are many ways to do it. 

You could offer online courses or in-person classes. You might pre-record your courses and allow students to watch at their convenience, or livestream one-night-only events for an online audience. If you don’t have an appropriate facility yet, partner with a complementary business or a distributor of your product.

No matter your skill level, teaching others is a great way to hone your cooking skills and build personal relationships with your audience. 

Benefits 

  • Scalability: What starts as a single cooking class can become a franchised brand or digital platform. Selling products or services in addition to your classes is also a great way to increase revenue from your students. Encourage referrals with incentives or participate in affiliate marketing programs.

Challenges

  • Exposure: You’ll need to be front and center if you’re promoting yourself as a cooking teacher. So, more introverted business owners might prefer a business idea that provides more distance between their brand and their personal lives. 

Before her passing in January 2023, 84-year-old Nonna Nerina welcomed an audience into her kitchen in a small village in Italy via online video conferencing. When viewers tune in to Nonna Live, they’re transported directly to an authentic Italian kitchen and taught recipes passed down for generations by a staff of Nonnas.

Nonna Live homepage offering cooking classes
Nonna Live creates connections between authentic cooks and cooking enthusiasts.

On Nonna Live’s website, customers select a date and time and reserve their spot in a number of online classes. They’re provided a list of ingredients and supplies, and when the time comes, all of the Nonna’s students gather for a live hands-on cooking lesson.

Tips to get started

  • Choose your teaching platforms: For live classes, use a reliable platform like Zoom or Facebook Live, and manage ticketing through Eventbrite. To sell on-demand courses, build a branded site with Shopify or reach a larger audience on a marketplace like Udemy.
  • Structure your pricing tiers: Price live, small-group classes in the $60 to $100 range. Offer three-class bundles with a 10% or 15% discount, and sell access to class recordings for an additional $10 to $20. For pre-recorded courses, aim for 50% to 70% of your equivalent live rate.
  • Assemble your tech and equipment: Start with a 1080p webcam, a clear USB microphone, and a two-light setup to reduce shadows. Ensure your internet upload speed is at least five megabits per second (Mbps) for smooth streaming.

Get inspired: This 84-Year-Old Grandmother Serves Comfort and Community Through Livestreamed Cooking Classes

4. Personal chef

If you’ve ever been in sales, you know the skills needed to build a personal relationship with your clients. If you’re looking for one food business idea with that dynamic, then becoming a personal chef might be for you.

Personal chefs are trained cooks hired to provide at-home meals for their clients, who often may have special dietary needs or preferences. They can be employed by individuals, families, or caterers, or for special events. 

Benefits 

  • Relationship building: Being a personal chef is a great option for entrepreneurs with sales experience who understand the importance of maintaining client relationships. 

Challenges

  • High barrier of entry: Being a personal chef typically requires more skill and experience than other food businesses, because these things will be your primary selling points.
  • Unpredictable hours: Your hours may be less flexible than other types of food businesses, as you will need to work around customers’ schedules. 

Tips to get started

  • Get your credentials and insurance. Start with a required food safety credential and check local health department rules, especially if using a home kitchen. Before your first client, secure general and product liability insurance to cover illness or property damage.
  • Build a client acquisition strategy. Get listed on directories like HireAChef to find leads. Attract an audience on social media with day-in-the-life videos, and partner with local nutritionists or event planners for referrals.
  • Package and price your services. Define clear packages, like weekly meal prep or small event catering, with set per-visit pricing and minimums. Protect your profit margins by offering paid add-ons like grocery shopping or special dietary customizations.

5. Coffee shop

Coffee is a vital part of many people’s morning routine, so it’s no surprise that industry experts expect to see revenues of $174 billion by 2030. Coffee beans are widely available from dropshippers, meaning overhead costs can be kept low. 

There’s also a small-business advantage for first-time merchants who decide to sell coffee. Because it’s a widely available product, customers tend to value exclusivity when it comes to coffee, meaning they’re more receptive to new brands. 

Benefits 

  • Small-brand advantage: The high volume of customers puts an emphasis on branding, giving the advantage to smaller brands. 
  • Low barrier of entry: With plenty of dropshipping options available, startup costs can be kept low. And because your product is coming from a third party, you can focus on branding your product rather than developing it.

Challenges

  • Harder to market: Coffee is widely available, which puts more importance on a brand’s ability to carve out a niche and set itself apart from competitors. If brand development isn’t your strongest attribute, selling coffee could be more of a challenge. 

Steeltown Garage is a Hamilton, Ontario–based retailer of premium apparel and specialty coffee. At the start, Steeltown Garage sold graphic tees built around its freewheeling lifestyle brand. As the brand grew, so did its products.

Steeltown Garage online store product page featuring gloves, sunglasses, and a helmet
Steeltown Garage offers a variety of products aligned with its brand.

Steeltown Garage now sells a wide range of premium motorcycle-riding gear, grooming products, vintage art, posters, and, of course, coffee. Branding is vital when selling coffee, and Steeltown Garage understands this. Despite all of the products it sells, Steeltown Garage’s collections are harmonized around a brand that resonates with its audience.

Tips to get started

  • Create a sourcing strategy: Start with a reputable importer for stable access or a dropship partner to launch quickly. Vet suppliers by checking for Specialty Coffee Association (SCA) scores of 80+, and get terms like order minimums and price protections in writing.
  • Manage upfront costs with leasing: Lower initial capital needs by leasing essential equipment like commercial espresso machines and grinders through distributor financing plans. Many providers offer two- to four-year lease terms with buyout options.
  • Differentiate your brand and product: Tell a sourcing story about your coffee products, like the farms or regions they’re from. Diversify revenue with a mix of subscriptions, seasonal micro-lots, and co-branded retail placements.

☕ Success story: A beverage brand’s humble roots

Hannah Mendoza spent a year in her own kitchen honing her recipe for Clevr Blends, a brand of superfood plant milk lattes.

Read Hannah’s Story

6. Meal kits

Meal kits are a type of food delivery business offering pre-portioned ingredients and recipes for creating high-quality dishes at home. They’ve grown increasingly popular over the past couple of years, aiming to combine the convenience of fast food with the quality of at-home cooking.

Meal kits can be sold on a subscription-based model, wherein retailers provide customers with a new meal on a recurring basis. Or you might create a collection of meal kits and sell them à la carte. 

Benefits 

  • Niching opportunities: Meal kits are a relatively young business, so there’s plenty of room for new brands and a lot of niches for specific untapped foods.

Challenges

  • Shipping perishables: Spoilage might be a bigger concern when it comes to meal kits, as fresh foods can only be stored for a limited time and it might be harder to keep items refrigerated during shipping.

The Dough Bros is a wood-fired pizza restaurant operating out of Galway, Ireland. For customers that can’t make it to the restaurant, The Dough Bros offers ready-made pizza kits that come with all the toppings and sauce to make the brand’s signature slices at home.

The Dough Bros pizza kit page featuring close ups of the margherita and pepperoni pizza kits
The Dough Bros’ pizza kits set fans up for success when cooking at home.

When it comes to meal kits, large brands may have more name recognition, but what they don’t have is a specialty. The Dough Bros’ branding works because it takes a beloved pizza, enhances it with the meal-kit model, and immediately sets itself apart from larger brands.

Tips to get started 

  • Get your cold chain packaging right: Use an insulated shipper validated to ISTA standards to ensure it holds temperature. Choose the right coolant—gel packs for refrigerated items and dry ice for frozen—and keep products at or below 40°F in transit.
  • Navigate shipping and safety compliance: Before scaling, run a small test of your packaging on your intended shipping lanes. If using dry ice, for example, you must label the package “Dry Ice/UN 1845” and include the net weight.
  • Build a subscription model: Use Shopify Subscriptions to earn more sales from your meal kits. Customers can easily sign-up for a plan at checkout and earn you recurring revenue every month. 

🥩 Success story: How a meat business thrives on a subscription model

In this episode of Shopify Masters, ButcherBox founder Mike Salguero explains how his meat and seafood business started as a side hustle and bloomed to a nine-figure brand using a subscription revenue model.

Hear his story

7. Baked goods

Bakeries are one of the oldest types of food businesses. Baked goods have become a staple of holidays and special events, making them popular year round. Perhaps that’s why the baking industry generates more than $100 billion annually

Selling baked goods can open a lot of other doors for your brand. You could sell baked goods for certain dietary restrictions, or specialize in something more specific, like bread, cookies, cakes, pastries, or pies⁠.

Benefits 

  • High-demand for specialty bakeries: Finding baked goods that cater to specific dietary needs is still a challenge for a lot of customers, meaning there’s a high demand for them and plenty of room for newer brands.

Challenges

  • Time-consuming: Baking can take longer than other types of cooking and on a retail-scale, is often a job for more than one person. You may need to hire more staff than you would for other food businesses. 
  • Higher-costs when scaling: Renting commercial baking space and running high-energy ovens can become costly very quickly, so it might take some time before you’re able to scale your business.

Katz Gluten Free specializes in baked goods for a wide range of allergies and dietary restrictions often hard to find in a grocery store. Katz’s variety is extensive⁠—selling items such as whole wheat bread, cream-filled cupcakes, and apple fritters.

Despite the selection of products, Katz is laser focused when it comes to its branding. Dietary restrictions can make shopping hard, but Katz stands out as a brand because it does everything in its power to make it easy. Katz’s website even has a special “Filter By Allergy” option that lets visitors quickly and easily filter out any products with their allergens.

Katz Gluten Free Shop All page with allergen filter
Katz Gluten Free designed their site to be intuitive for customers with food restrictions and allergies.

Tips to get started 

  • Create your legal kitchen and a safety plan: Produce your goods in a licensed commercial or shared-use kitchen. Develop a basic food-safety plan consistent with FSMA guidance, and ensure your package labels clearly disclose any major allergens.
  • Map your strategy for scaling production: Use a shared kitchen to standardize your formulas and processes before investing in your own facility. As demand grows, consider using a co-packer, but vet their minimums and quality assurance capabilities first.
  • Obtain dietary certifications for niche markets: Implement strong allergen and gluten controls, such as separate storage and documented cleaning procedures. To claim gluten-free, you have to meet the less than 20 ppm standard, and for vegan or kosher status, you’ll need to work with a certifying agency to review ingredients and inspect your facility.

Get inspired: How to Write a Bakery Business Plan in 9 Steps

8. Sauces

Sauces can be a great product to sell for first-time merchants. Food aficionados are always looking for new tastes to try, so they tend to be more receptive to less familiar sauce brands.

On top of this, sauces have a tendency to grow cult followings⁠—think of the popularity of sriracha sauce or the communities built around hot hot sauces. Sauce is versatile. That means if customers grow a taste for yours, they’ll want to try it on everything. 

Sauces are a feature of nearly every cuisine. They’re relatively easy to adapt to any dietary restrictions. They can be savory, sweet, spicy, or all three. 

And sauces don’t just have to be a feature of dinnertime. Dessert sauces like custard, butterscotch, hot fudge, and fruit-flavored sauces are equally popular.

Benefits 

  • Customer loyalty: When food-lovers find a taste they like, they tend to stick with it. Repeat purchasers are more common when it comes to sauces, because the product’s versatility makes it adaptable to many dishes.
  • Adventurous clientele: New customers are more receptive to unfamiliar brands when it comes to sauces, especially if they have creative branding.

Challenges

  • Getting the right taste: The appeal of sauces is in their uniqueness, but people also tend to be drawn to familiarity when it comes to taste. Striking the right balance of flavors can sometimes be challenging.

Based in Thunder Bay, Ontario, Heartbeat Hot Sauce develops, cooks, bottles, and distributes its own signature line of hot sauces. Heartbeat Hot Sauce offers staples like piri piri and Louisiana-style hot sauce, alongside more unique flavor combinations like pineapple and blueberry habanero. 

The flavors in Heartbeat’s line of hot sauces hit all the right notes, blending familiarity with novelty. The brand also maintains a strong online relationship with its community on Instagram.

Tips to get started 

  • Protect your recipes. Because copyright rarely covers recipes, use trade secret practices like NDAs to keep your formula confidential. The most important step is to file a trademark to protect your brand name and logo
  • Choose the right co-packer. When you’re ready to scale, find a co-packer to manufacture and bottle your sauce to your specifications. Vet them for experience with acidified foods by asking about their Process Authority support and their thermal or hot-fill-hold processes.

Get inspired: How Heatonist Became the World’s Top Hot Sauce Website

9. Prepackaged snacks

Chips, nuts, pretzels, popcorn, granola bars, or maybe a mixture of all of them⁠—prepackaged snack products come in limitless varieties. Prepackaged snacks are a staple of both adventurous outdoor excursions and late-night cravings⁠—and nearly everyone has a fondness for them.

The market for snacks is expected to reach $686 billion in 2033, meaning there’s a lot of room for new merchants with a unique product. With a little bit of grit and luck, you could even sell your snacks in grocery stores.

Benefits 

  • Wide product variety: A large selection of food and flavor possibilities, combined with a uniquely labeled package, make it easier to differentiate your brand from the competition when it comes to prepackaged snacks. 

Challenges

  • Competing with large brands: The snack-food industry does have a lot of established brands, so your biggest challenge will be differentiating your products from your competitors. 

Based in the United Kingdom, The Snaffling Pig sells all kinds of prepackaged snacks, but its signature is its pork crackling⁠—a crispy snack made from dried pork meat and seasonings. The brand also sells nuts, pork rinds, chorizo bites, and even beers and ciders, flavored to compliment its snacks.

Snack board with beer and Snaffling Pig snacks like fried pork skin, peanuts, and apple sauce.
Clever branding and packaging help The Snaffling Pig stand out.

What brings these elements together is The Snaffling Pig’s branding, which aims to recreate the flavors of casual pub food, drawing on its own nostalgic memories to create a sense of camaraderie with the brand. 

Tips to get started 

  • Guarantee your packaging is compliant: Most snacks require a Nutrition Facts panel, though some small businesses may be exempt. You also have to declare any major allergens in plain English (which now includes sesame), and your GS1 UPC barcode has to be printed to specification to ensure it scans.
  • Develop a strategy to win shelf space: Be prepared to pay an initial slotting fee for shelf access, as this is a common retail practice. Pitch buyers with a data-backed recommendation for placement on the store’s planogram, targeting end caps or eye-level shelves.

10. Baby food

Every parent wants to give their child the best, most nutritious food. Why not cater to this huge market? Baby food is one of the easier things to make and sell and can be a great first-time home-based business.

There’s also growth potential with a baby food business. Doctors recommend different types of foods for babies of different ages⁠—starting with formula for newborns, mashed foods after about six months, and, finally, softer solid foods for toddlers. 

Recently, a study found that introducing the nine commonly allergenic foods earlier helps train an infant’s immune system, reversing long-standing previous guidance. In trials, researchers found feeding peanut products, for example, to babies (in controlled amounts) could cut chances of developing an allergy by more than 80%.

There are a lot of opportunities for cross-marketing and creating repeat buyers of those with growing children. With the global baby food market on track to grow to more than $213 billion by 2034, there are lots of new customers on the way.

Benefits 

  • Repeat purchases: Baby food lends itself well to obtaining repeat customers and building brand loyalty, because trust is so important. 
  • Market availability: Right now, there’s a large market for organic baby food and baby food made for various dietary restrictions, giving new merchants the opportunity to carve out a niche.

Challenges

  • Building trust: Parents are very cautious about trying new brands when it comes to food items for babies. Gaining the trust of new parents over brands that have more name recognition will likely be your biggest challenge.

Fragola is a baby food brand based in Innisfil, Ontario. Fragola offers both one-time orders and baby food subscriptions with a new combination of flavors each week. 

Fragola’s website with packages of its baby food with cut up persimmons and broccoli florets nearby
Fragola’s subscription model accommodates busy parents while providing nutritious, fresh, and diverse products.

Fragola’s branding emphasizes nutrition and the freshness of its products. The first page of its order form breaks down the nutritional value of its products, and on-page copy often explores the brand’s reasons for selecting certain foods over others.

Fragola understands that it needs to establish trust with its customers right away. Parents are immediately informed of the care put into selecting the best ingredients, which helps set it apart from larger brands. 

Tips to get started 

  • Have a rigorous safety testing program in place: Align with the FDA’s Closer to Zero plan by testing for heavy metals like lead in your ingredients and finished products. If you sell infant rice cereal, for example, you must meet the 100 ppb inorganic arsenic action level. Work with a Process Authority to validate your process and create a risk-based control program.
  • Build trust with parents through radical transparency. Share your sourcing standards and post Certificates of Analysis (COAs) with heavy metal test results on your product pages. Explain your safety processes in plain language to show your commitment to safety.

11. Homemade jams and jellies

Jams and jellies are a great low-cost business to start for entrepreneurs interested in growing their own fresh produce. At-home jam-jarring machines are relatively inexpensive, and growing your own ingredients will add a personal touch to your brand that resonates with customers.

Plus, farmers markets are a great place to meet potential customers in person. While the volume of customers might be smaller than online, face-to-face sales opportunities tend to provide more value in terms of customer loyalty, advocacy, and word-of-mouth sales.

Benefits 

  • Small-brand advantage: When it comes to jams, customers tend to view products from larger brands as being less nutritious and containing more preservatives, which gives an advantage to smaller brands. 

Challenges

  • Time management: Growing produce can take a lot of time and is especially dependent on the weather, meaning precise planning is more important than with other food products. 

Fruits of the Forage is a UK-based retailer of jams, jellies, marmalades, sauces, and other fresh preserves. 

For smaller brands, setting yourself apart from your larger competitors is crucial. That’s why Fruits of the Forage bases its branding around the freshness of its ingredients and the championing of local produce, highlighting what makes the brand different.

Tips to get started 

  • Comply with cottage food and labeling laws: Check your state’s cottage food laws for rules on where you can sell, sales caps, and required labels. Labels often must include your name and address, net weight, ingredients by weight, allergen disclosures, and a “made in a home kitchen” statement.
  • Sell at farmers markets: Before selling, confirm the market’s rules for vendor permits, insurance, and sampling. If you offer samples, use a compliance checklist that includes a handwashing station, covered samples, and sneeze guards.
  • Standardize production: Use a harvest calendar and freeze peak-season fruit so you can produce batches year-round. Pay close attention to your pectin, sugar, and acid balance to ensure a proper set and shelf life.

12. Organic foods

Organic foods are foods produced using natural fertilizers, as opposed to chemical pesticides. Official standards can vary between organizations and regions, but they all place emphasis on the recycling of resources, ecological balance, and long-term sustainability. 

Organic foods have grown incredibly popular in the past decade as the safety of pesticides has become an important concern for a lot of customers. You could sell raw, organic produce or use organic ingredients in your food products. 

Benefits 

  • Fresh branding: Organic products have become especially popular among customers, so the use of organic ingredients can be a positive highlight in your branding. 

Challenges

  • Harder to source: Depending on your product, it may be challenging to source some organically grown ingredients.

Tips to get started 

  • Understand the USDA Organic Certification process: Choose an accredited certifier and draft an Organic System Plan (OSP) that covers your inputs and traceability. Only use inputs from the National List of Allowed and Prohibited Substances. Your certifier will review your labels before you print to ensure you use the correct category, such as “organic” (≥95%) or “made with organic” (≥70%).
  • Verify each supplier in your supply chain: Check every one of your suppliers’ current status in the official USDA Organic Integrity Database (OID). Keep copies of their organic certificates and transaction documents on file.
  • Price and market your certified products: Price based on your costs plus a target margin, and reinforce the value of your certification with transparent sourcing and clear messaging. Use your OID-verifiable partners as trust signals on your product pages and in your marketing.

13. Wine, beer, and spirits

Socializing over alcoholic beverages is a common pastime. They’re popular year round but still lend themselves well to seasonal promotions, with plenty of opportunities to test out new products. 

Like with jams and jellies, selling wine can give you the opportunity to grow your own fresh ingredients, and wine-tasting events can be a great way to establish meaningful customer relationships. 

With beer, craft breweries (sometimes called microbreweries) have become increasingly popular in the past couple of years, so beer connoisseurs place a lot of value in exclusivity⁠—something that gives smaller brands an advantage.

Benefits 

  • Thirst for new products: When it comes to alcoholic beverages, buyers place a higher value on novelty and exclusivity, so they’re more open to trying new products. 
  • In-person promotion opportunities: Alcoholic beverages are common at events featuring large gatherings of people, providing in-person opportunities to build relationships with your customers.

Challenges

  • Legal complications: There are a lot of laws governing the sale of alcohol and they can differ greatly between jurisdictions, so you’ll need to spend a lot of time familiarizing yourself with the laws in any location you plan on selling in or shipping to.

Haus is a California-based brand specializing in apéritifs⁠—beverages that are rich in flavor, low in alcohol, and meant to be served before a meal. Haus isn’t shy about emphasizing the freshness of its products, using only natural ingredients, like locally sourced fruits, herbs, and botanicals.

Haus homepage featuring promotion for the low ABV rose aperitif
Haus pairs its unique products with beautiful packaging and a modern aesthetic.

Haus also keeps a vibrant community alive via Instagram, where it posts recipes and serving suggestions to keep its audience engaged.

Tips to get started 

  • Secure federal, state, and local licenses: At the federal level, you must get the appropriate permit from the Tax and Trade Bureau (TTB) and label approval (COLA) for your products before you can begin operations. You’ll also need state-level manufacturing licenses, local zoning sign-off, and liquor liability insurance before opening.
  • Plan your go-to-market strategy: Check your state’s current laws on self-distribution, as the rules and volume caps can change. If shipping directly to consumers (DTC), consult a compliance map, as each state has its own permit, tax, and volume limit rules.
  • Set up a tasting room: Confirm that your specific license type permits on-premise tasting and sales, and get local zoning approval for the space. Your staff must be trained according to state alcohol server rules, and you should have written policies for ID checks and pour sizes.

Get inspired: Why a Retail-First Approach Worked for this Booze-Free Brand

3 online and virtual food business ideas

The way consumers buy food is increasingly online. The shift supports digital-first food businesses, creating new opportunities for entrepreneurs. 

As of 2025, experts estimate the global online food delivery services market at $401 billion and project it to reach $618.36 billion by 2030, growing at a compound annual growth rate (CAGR) of 9%. Here are four modern, digital-first food business models to consider.

1. Ghost kitchens

A ghost kitchen is a delivery-only commercial kitchen with no dine-in space. They are often shared and can house multiple brands under one roof.

  • Pros: Offers lower front-of-house costs and faster concept testing. A unified tech stack can manage orders and sync menus across multiple delivery apps.
  • Cons: You’ll have to rely on third-party delivery apps, which take a deep cut of your profits. Building a brand is also harder without a street or own digital presence.

Setup costs can range from $20,000 to over $500,000, depending on what equipment you plan to use. Expect to pay 15% to 30% in commissions to delivery platforms and budget for ongoing marketing.

2. Virtual restaurants 

A virtual restaurant is a delivery-only brand that operates out of an existing, licensed kitchen, such as your current restaurant or a ghost kitchen bay. 

A huge question for virtual brands is how to package food to ensure it retains quality throughout transportation. As a result, innovations in food packaging are expected to be exponential in the coming years. 

  • Pros: Doesn’t require as much upfront investment compared to a sit-down restaurant. You can also monetize underused kitchen capacity and experiment with the menu easily. 
  • Cons: Your new brand has to stand out in a sea of crowded delivery apps.

Overall, upfront costs are lower because you can use existing equipment. The main expenses are brand setup, packaging, photography, web hosting, online ordering website, and advertising.

3. Online farmers markets

An online farmers market brings farmers and consumers together on one platform without a middleman. Multiple farms can list their products for a single customer order. 

It digitizes the traditional community market experience, often starting when farmers come together to consolidate online sales and save on shipping and packaging costs. 

  • Pros: Provides a predictable sales channel for farmers and reduces food waste. It also helps farmers meet customers where they now shop—mostly online.
  • Cons: Some critics feel the online market removes the face-to-face connection between farmers and customers. Farmers are also responsible for all customer acquisition.

The main cost is a subscription to an ecommerce platform like Shopify, which starts at $29 per month, billed annually.

6 steps to start a small food business

  1. Decide what kind of food product to sell
  2. Validate your product ideas
  3. Develop a business plan
  4. Start building your brand
  5. Create your online store
  6. Market your food business

The food business thrives on cross promotion. Any product can be a jumping off point for a more involved brand, but it’s best to start with a singular goal in mind. 

For example, your food truck could double as a catering business. You might sell baby food specifically for babies with certain dietary restrictions. Or, like The Snaffling Pig, you could sell a prepackaged snack alongside a complimentary beverage.

We’ve written a more extensive guide on how to start a food business that’s worth checking out if you want to know the ins and outs of the food industry.

For now, here’s a quick overview:

1. Decide what kind of food product to sell

Coming up with your first product can be tricky. There are so many options in the food industry, and it’s never easy knowing which product opportunities are the best. But the first question to ask yourself is: Does the idea excite me?

If the answer is no, then scrap it. Your passion for your own food business fuels its growth. No matter how good an idea may be, it won’t thrive if it’s not something you’re interested in. Once you’ve decided on your idea, it’s time to evaluate it.

2. Validate your product ideas

There are a number of ways to validate product ideas, but it’s important in the initial stages to make sure that there’s a potential market for your product. You’re going to be investing a lot of time and effort into your business, and it’s important to know that it has potential. 

Try meeting directly with potential customers, doing taste tests, exploring the community around your product, researching customer pain points and market demands⁠—anything to gain a deeper understanding of the potential for your idea.

3. Develop a business plan

Once you’ve validated your product idea, you’re ready to start crafting your business plan. A business plan is a written document that outlines your business’s products or services, how you’ll earn money, and your financing, staffing, logistics, and other vital details. 

It may sound daunting, but a good business plan is crucial to starting yourself off on the right foot. If you’re looking for a breakdown of time-tested techniques used by successful business owners, make sure to check out our business plan template.

4. Start building your brand

Branding is crucial to any business, but it’s especially important in the highly competitive food industry. Your branding will be what sets you apart from your competitors, so it’s important to craft a consistent visual message that sparks the interest of potential customers.

Check out our guide on how to build a brand for an in-depth breakdown of how to find your target audience, learn about their needs and interests, and give your business a personality that resonates with them.

5. Create your online store

Once you’ve developed your brand, you’re ready to start building your online store. Add your products, create your collections, and customize your theme in a way that harmonizes all the visual elements of your brand.

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6. Market your food business

Once your store is set up, it’s time to start bringing in customers. There are a lot of ways to build an audience—such as organic social media content that engages your niche and paid ads that help widen the audience for your content. 

Some ideas:

You might consider working with social media influencers. Or maybe your business lends itself well to blog content relevant to your audience. The best marketing strategies can differ based on your branding, audience, product, niche, and a host of other factors specific to your business.

Platforms like Amazon and Etsy can introduce your brand to a new audience. Amazon’s Grocery & Gourmet Food category is gated, so you must meet their listing and quality rules to apply. Etsy is a great option for artisan snacks and giftable items, but you must comply with its Food & Edible Items policy and all local food laws.

Etsy category page featuring gourmet foods like foie gras and snack boxes
Business owners on Etsy use colorful imagery, designed graphics, and photography to stand out.

In-person sampling is another proven way to support brand awareness. Offer bite-sized samples at pop-ups, farmers markets, and wholesale meetings, and use a QR code to capture emails on a landing page with a special offer. You can use Shopify POS at these mobile events to take orders and track inventory, which syncs directly with your online store.

Start a profitable, low-cost food business with Shopify

Food is a constantly evolving industry with a wide variety of products, a huge volume of customers, and endless options for scalability⁠—regardless of your level of experience. That makes it a great business opportunity. 

Few things are more fulfilling than growing a business in an industry that excites you. For foodies and at-home chefs everywhere, starting a food business is a great chance to make money doing what you love.

Food business ideas FAQ

Which food business is most profitable?

Any food business can have a high profit margin, but if you’re looking for a low-cost, low-risk food business idea with no overhead, check out our dropshipping guide. Dropshipping is a business model that allows entrepreneurs to start an online business and sell products while working with a third party that manufactures, stores, and ships your items directly to your customers.

Which food is easy to sell?

Foods that are shelf-stable, like cookies, candy, or jams, are the easiest to start with because you can sell them from home under state cottage food laws. They don’t need refrigeration or temperature control for safety (TCS), which makes the rules for handling and permits much simpler.

What licenses or permits do I need to start a food business?

Nearly every food business needs a basic business license, a sales tax permit, and approval from your local zoning office. 

From there, the path depends on your size. For example, a home-based business follows state cottage food rules, while a commercial kitchen needs health department permits and must register with the FDA. Keep in mind that certain products like jarred sauces have extra FDA rules, and your city might require a food handler certificate.

How much does it cost to start a food business?

The cost to start a food business depends entirely on the type of business you open. 

A home-based business is the cheapest, costing just a few hundred to a few thousand dollars to get started. A food truck usually costs between $50,000 and $175,000 or more, a ghost kitchen space runs from about $20,000 to more than $150,000, and a full restaurant can cost anywhere from $95,000 to more than $2 million.

How can I grow a small food business over time?

A good way to grow is to start small by selling directly to customers, making sure your labels and production meet all the rules, and then expand into new channels like wholesale. You can boost sales by offering in-person samples and encouraging customer reviews, since positive feedback strongly influences new buyers.





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