The pandemic has forced many people to be creative in the business they want to start. One particular small business that’s interesting and cheap to start is an ice cream business. People love ice cream, and despite the circumstances we’ve been handed today, people in the United States still purchase ice cream. So there’s a good chance that your business will succeed if you follow these tips.
Starting a business is a hefty investment regardless of its nature. This is the same for any ice cream business, big or small. Therefore, you’re going to need to assess your assets beforehand, and if you’re still transitioning from your previous job into a full-time business owner, you might need specialized help. One option you have is to hire an experienced investment advisor. This kind of advisor can help you manage your assets and determine whether you can start a business. In addition, it alleviates some of the pain points of starting a business.
If you don’t have enough capital to start your ice cream business, you can ask for money from your relatives and friends. If you want to start big, you might want to look for an angel investor interested in this business. But we suggest that you start small and local so you can build a loyal consumer base who’ll buy your products no matter what.
Bootleg ice cream is the best way to start your business. If you don’t know what bootleg ice cream is, it’s ice cream that’s made in the comfort of your own home with a simple ice cream machine. Of course, this means that you’ll have to be doing your products from scratch, but the best part about this is that you can add whatever you want to your products.
Starting small means that you won’t need considerable investment. Interestingly enough, you can start a business like this with your last pay from work. It’s not an expensive business to start, especially if you start small. An ice cream maker costs around $100, and about another $100 worth of ingredients can help make multiple servings of ice cream. If done right, this is enough to yield about $70 to $100 of profits.
Ice cream done by hand is considered the best kind of ice cream. However, it can be a daunting task that can take up most of your time. But by doing this, you can drastically reduce your expenses when starting this business.
Quality vs. Quantity
Quality is essential if you’re starting a small ice cream business. This is because if your ice cream is like any other dairy product out there, they can visit the supermarket to get one. They’re far cheaper than what you’re going to be making. So you need your ice cream to stand out, and you can do this through flavors.
Experimenting with flavors should be one of your main priorities. So you’ll have to familiarize your taste buds. Start the first few months doing taste tests with your family members and friends and asking them for feedback. Hone as many unique ice cream flavors as you can without sacrificing quality.
Businesses spend about 2% to 5% of their revenue on marketing. This can be equal to thousands of dollars spent on marketing alone. However, you can’t spend this much money on marketing since you’re starting. Your best option is to go digital.
Social media is one of your best marketing options. It’s free, and it gives you access to many consumers. Post once a day, and make sure you have multiple social media accounts to increase your reach. This will help you reach various consumers and help you build consumer awareness. Moreover, you’ll have to rely on direct messages for people to order your products because of the pandemic. Once your business picks up, you might have to invest in a chatbot to help you out.
If you’re thinking of getting a business loan right now, you should hold on to that thought for quite some time. The interest rates of business loans can cost between 2% and 7% of the loan itself, and that’s money that you can’t afford right now. You also won’t need it anyway if you start small.
You’d want to get a business loan once you’re growing your business, and you need room for new tools that will help you out. If done right, you might not even need full-time employees to help you out.
The Bottom Line
An ice cream business startup is much like any startup. The only difference here is that it can be cheap to start it. You also have to concentrate more on the quality of your products to make them stand out. Make sure to get feedback whenever you can because this will help you attain the product you’d want in the future.