The spice trade has been a profitable occupation since ancient times. This area of the market is growing steadily from year to year. Once upon a time, only rich people could afford to buy spices. Today, seasonings and spices are available to everyone.
Modern culinary specialists are not limited to the standard set of seasonings on the shelves of chain stores, they acquire a variety of high-quality spices by weight. Therefore, the business idea with their sale remains relevant and in demand.
How to open a spice shop – step by step plan
A novice entrepreneur first needs to plan a launch by drawing up a detailed business plan with a study of the main issues.
The range of tasks will include:
- analysis of the market and possible distribution channels, search for suppliers, premises and employees, purchase of equipment and execution of necessary documents, assessment of profitability and risks.
- To open a small outlet in the format of a department or shop, you will need to find an initial amount of 300 thousand rubles.
The assortment of the list may include various seasonings, spices and spices:
- a mixture of peppers – black, white, allspice, pink, green;
- ready-made sets of peppers and herbs for marinating, baking, frying and stewing dishes;
- different types of curry, suneli hops, Provence herbs, etc.
- cloves, cinnamon, star anise, nutmeg, turmeric, saffron, cumin, ground ginger root, cardamom and others;
- rosemary, cumin, fennel, juniper berries, oregano, cilantro, marjoram, thyme, bay leaf and other fragrant plants.
- several types of mustard, vinegar, salt, sugar and other components that enhance the taste of dishes;
- exotic and rare spices – anardana, fenugreek, asafoetida, mahlab, azhgon, wasabi root, galangal, amchur, annatto seeds and nigella;
- light and dark sauces based on soy, aromatic vegetable oils – fragrant with herbs, spicy with spices, etc.
WITH PROPER PLANNING AND ORGANIZATION OF ACTIVITIES, THE SPICE BUSINESS WILL BECOME A HIGHLY PROFITABLE BUSINESS THAT BRINGS A STABLE INCOME.
Market and competition analysis
The defined assortment will largely depend on the size and location of the settlement, the number of competitors and distribution channels. Therefore, before implementing the idea, it is worth analyzing the market situation at the local level, studying the products offered and the prices of the nearest competitors. To do this, you can personally visit retail outlets, look up information of interest on the Internet, interview respondents in order to identify their preferences and wishes for the store.
In any case, a wide range of spices and seasonings from all over the world, the preparation of branded mixtures and sets, including custom-made ones, additional delivery services, a mobile point, etc. will allow you to stand out from the competition.
Search for distribution channels
Distribution channels should be found in advance. If possible, it is better to immediately conclude agreements with potential buyers.
These may include:
- cafes, restaurants, sushi bars and other establishments of national cuisine;
- hypermarkets, grocery stores, grocery departments;
- private persons.
Partner programs with culinary schools and courses, well-known restaurants will help increase awareness and expand the circle of customers.
It will also help promote:
- outdoor advertising – a bright, memorable sign, pavement signs, banners, etc.;
- own website with prices, descriptions of seasonings and spices, their use and the possibility of ordering online;
- advertising on the Internet – an Instagram channel, a group on social networks, instant messengers, forums, bulletin boards, etc.;
- distribution of business cards, leaflets, flyers in crowded places, shopping centers, shops;
- publications in thematic magazines, newspapers, participation in specialized exhibitions.
A LOYALTY PROGRAM WILL ALLOW ATTRACTING AND RETAINING CUSTOMERS: DISCOUNT OR DISCOUNT CARDS FOR REGULAR CUSTOMERS, BONUSES, TASTINGS, VARIOUS PROMOTIONS AND LOTTERIES.
Despite the fact that there are a huge number of spices and seasonings, you should not rush to purchase the rarest of them. To begin with, it is better to buy the most popular, but high-quality spices. With small volumes of trade, it is more expedient to purchase goods from Russian manufacturers and wholesalers who have the necessary quality certificates. Most often, such companies already have well-established trade relations with the countries-suppliers of spices and seasonings: India, Indonesia, China, Egypt, Turkey and others.
Among domestic producers, these are, for example, YugAgro, Royal FOOD, Amadeo, VELES and ProSpices. The necessary information about the company, contacts, terms of cooperation is available on the Internet. The purchase of the first batch will require 85-100 thousand rubles.
Alternatively, individual spices can be grown independently in boxes or flower pots. It will not require large expenses, it is easy to organize everything at home or right in the store.
Choosing a location and renting a room
The main principle when choosing the location of the point will be its placement in the neighborhood of the place where food is sold. For the sale of seasonings, a department at the entrance to a supermarket, a pavilion in the market or near a grocery store is suitable.
An important role will be played by the appearance and design of the spice shop. The design should be made in a single solution, for example, under a tree or in an oriental style, with appropriate decor elements. On the walls you can place photos of plants and spices, certificates, stands with information about spices, etc. The store should have a calm, relaxing atmosphere, sufficient lighting, and comfort. It will take from 100 thousand rubles to rent and repair the premises.
At first, you can do all the business in the shop yourself or organize a family business. With further development, an experienced salesman and a person to mix spices should be found. This should be a neat and sociable employee with full knowledge of each type of spices and seasonings, their use and storage. Wages are best set in two parts: a small salary and a percentage of sales.
You will also need a part-time cleaning lady and an outsourced accountant. Sellers must have medical books with marks on the preventive examination and admission to work.
To equip a spice shop, you will need to buy the following commercial equipment:
- racks and shelves for placing goods;
- two or three trays for demonstrating spices to customers in the public domain;
- counter or showcase:
- cash register and terminal for payment by plastic cards;
- containers for seasonings and spices – plastic bags, plastic containers, glass jars, etc.;
- scales for accurate packaging of goods.
Usually, bags of 5-10-20 grams are used for packing spices. But to create a trusting relationship with the buyer, it is permissible to offer a smaller amount, especially if the seasoning is unfamiliar to him. Additionally, labels with the name and recommendations for use can be glued to the container. At least 40-60 thousand rubles should be allocated for equipping the outlet.
Registration of documents and permits
Entrepreneurial activity must be registered with the Tax Office. A suitable option for a small outlet would be an individual entrepreneur, for registration of which you will need a passport, a receipt for the paid state duty, an application in the form.
If there are several owners or plans to open new outlets and cooperate with large companies, it is better to stop at an LLC. In this case, the package of documents will be supplemented by the charter of the company with the decision of the founders to create an LLC and an authorized capital of at least 10 thousand rubles.
The specified OKVED code is 47.29 for the retail sale of other food products in specialized stores, the taxable base is the simplified tax system at a rate of 6% on income or 15% on net profit.
A LICENSE TO SELL SPICES IS NOT REQUIRED, BUT PERMISSION IS REQUIRED FROM THE FIRE SERVICE AND THE SANITARY AND EPIDEMIOLOGICAL STATION, WHICH WILL CHECK THE PREMISES FOR COMPLIANCE WITH PRODUCT STORAGE CONDITIONS AND FIRE SAFETY REQUIREMENTS.
How much to invest at the start
On average, starting a business will require an initial investment of three hundred thousand rubles.
The main items of expenditure are presented in the table:
|No. p / p||Cost item||Required amount|
|one||Expenses for rent, signage and repair of premises||110 thousand rubles|
|2||Investments in store equipment||60 thousand rubles|
|3||Purchase of the first batch of goods||100 thousand rubles|
|four||Advertising and business setup costs||30 thousand rubles|
|Total:||300 thousand rubles|
The monthly costs will include: the cost of purchasing a second batch of goods, paying rent and wages, advertising – this is 100-120 thousand rubles. The amount may be different, it all depends on the area of \u200b\u200bthe outlet, the specific locality, promotion methods and the product list.
How much can you earn
The amount of revenue is determined by the size and assortment of the store, as well as additional services provided. Business can bring 50 thousand rubles. net income every month. The sale of related products: teas, herbal preparations, flavored oils, sauces and cooperation with catering establishments will increase revenues.
The profitability of this area reaches 100%. On average, the return on investment comes after six months of stable trading. In the spring-summer period of shish kebabs and preservation of homemade preparations, as well as on New Year and Easter holidays, there is an increase in demand and a jump in sales up to 300%.
Possible business problems and risks
The sale of spices and seasonings is associated with certain problems and difficulties. First of all, this is the establishment of sustainable distribution channels and ongoing cooperation with potential customers, especially at the initial stages. Only a good assortment and a well-thought-out marketing move can give a positive result.
One of the risks is unfair competition and suppliers. Regular inspection of each batch of goods and development of competitive advantages will help to minimize it.
Among other things, it is necessary to take into account the specifics of the product, which requires compliance with the conditions and terms of storage. To prevent damage to the goods, you should monitor the tightness of the packaging and the level of humidity in the room.
Despite some disadvantages, the spice business has significant advantages: minimal investment at the start, constant demand, lack of seasonality, 100% profitability and quick payback. This makes the idea attractive to both beginners and experienced entrepreneurs.
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