The meal-kit industry is expected to achieve 7.6 billion USD in revenue by 2024. It is the fastest-growing food industry in the world. After the Covid-19 outbreak, a massive rise in demand was recorded as the people started looking for different ways to maintain hygiene and still wanted restaurant-like food at home. The industry is expected to show a threefold increase from 2017 to 2025. The article covers details for entrepreneurs looking to start a meal prep business and gives you step by step reference of all the information required to launch a successful business.
Laws that you need to know while starting a meal prep business
For every startup, there are a set of rules and regulations that are required to be followed to make the journey of building a business hassle-free as far as the legal front is concerned. The laws and regulations required for this purpose are as follows:
- State Laws
- County Laws
- City Laws
- Neighborhood Rules
The licenses and permits are crucial as failure to obtain them can result in penalties and even prevent you from launching your business.
It gives you the charge to operate in your jurisdiction. You will have to work through your city and state government. Every city has specific laws for such businesses, a survey is mandatory before your register. The cost of the license depends on the type and location of your business and needs to be renewed periodically.
Employer Identification Number(EIN)
It is a way to list yourself as an employer to the federal government which in turn assigns you a tax ID. This ID allows you to enroll new employees. To get an EIN, visit the IRS website and follow the details listed there. It’s free of cost but the application process and EIN assignment are time-consuming.
Certificate of Occupancy
It certifies your building is safe to operate in and has passed its final inspection. The city and fire permit may be a part of the application process.
Food Service License
This license allows your business to sell food and declares that your business meets all requisites for food preparation, safety, and storage.
It allows you to display a permanent banner or signage outside your company’s building. The sign contractor and the Zoning department are involved in the process.
A few more permits like Building Health Permit, and Employee Health Permit are also a part of the licenses required for a smooth launching of a food business.
Choose a Readymade solution to launch an online meal prep business
A ready-made solution for launching a meal prep business is technically a white label solution designed as per the market needs, to give you fully integrated software. It is a one-stop meal prep solution to your plans of building a website for your meal prep business. It not only saves time but also gives an insight into the market trends and how you can come at par with your competitors.
Some of the main reasons to choose a market-ready white-label solution for launching a meal prep business are:
It helps the owner of the business save a huge amount. The amount of time and money needed to build a website from scratch is way larger than opting for a white label solution.
Making your name in the food industry with a white label solution is very simple. The software is already equipped to align with the latest trends of the market.
Choosing an integrated solution saves you time, money, and effort to develop an entire system. The ready-made software directly brings you on board with your competitors and makes it very easy for you to start your business.
The features provided by such white label solutions are extensive. Customers get to order their favorite meals at their convenience. Extensive and secure payment options make it a seamless experience for the customer.
Allows you to focus on business
If you are building the software from scratch, all your attention would be focused on building the software. A ready-made solution gives you ample time to focus on the crucial business aspects. It gives you a platform to uplift your business and increase its online visibility.
Bringing chefs onboard
Registering new chefs and bringing new talents to the market can be made possible through this platform. The location of the chefs plays a huge role in the selection of the chef by the customer. The distance between the chef and the customer placing the order is the parameter that decides the choice and availability of the chef for that particular customer. There are various types of chefs that can register on the platform.
Chefs who can cook great food at home can register themselves through meal prep software and can easily sell their dishes online. This platform gives them an opportunity to enhance their visibility and advertise their talent.
Professional chefs working part-time
The chefs who are working in some restaurants can also work part-time at such platforms, and be available as time permits.
Professional steps working full time
Chefs can also take this as a full-time job. The availability of a chef is as per his/her time slots.
Big players of the meal prep industry
The companies leading the market of the meal prep industry are as follows:
It is the largest meal-kit provider in the United States. Its business model is to deliver fresh and proportioned ingredients to the customer. It offers 19 recipes to choose from. It also provides its customers with a wine subscription.
It is an ingredient and meal kit company in America. It provides its customers weekly boxes that come along with recipes of the meals to be cooked by the customer. Blue apron also partners with farms and encourages low chemical usage and more organic farming.
As per a recent survey by California-based Grand View research, the meal prep industry is expected to rise and become a $19.92 billion industry by 2027. The meal-kit industry is one of the fastest-growing industries as far as food delivery is concerned. The entrepreneurs who are looking forward to starting a meal prep business can use the ideas given above. They are mainly required to focus on the value position of the customer and enhance the scalability of their meal prep software.
Saurabh Thakur is an eCommerce analyst & business consultant working in this industry since 2013. He has extensive expertise in assisting businesses to streamline their business operations and launch new ventures. Saurabh also helps businesses or startup firms to establish their online businesses through white label partnership programs. Follow him on Twitter @thakursaurabh4