Most people with food business ideas tend to look for those with low investment and high profit. It is not unusual to start your business with low capital and earn a huge income regularly.
Food, as they say, is the basis of life, therefore people will always eat something. This is one of the essential reasons that this industry will forever be important to the lives of 7.9 billion people in the world.
It is always an attractive venture to begin. This business idea is still relevant in 2021.
The best way to go about your food business ideas is to carefully consider the type of business you need to start. Numerous food business ideas can be started in the world.
This comprehensive guide on the best 50 food business ideas focuses on the most profitable businesses. This means that you can start these businesses with low investment and expect high-profit margins regularly.
The best thing about these businesses is that anybody with a passion can start it from any part of the world. The following business ventures can be started with low investment and come with excellent profit margins.
What is a food business?
A food business is when your operations focus on one or more segments of the food supply chain.
This could be any one or more of the following:
- Food preparation,
- Food product farming,
- Processing Food,
- Food manufacturing,
- Food delivery,
- And Food Packaging.
These food businesses all make up the food supply chain.
What is a food supply chain?
For you to better understand how to start a food business, you need to understand what a food supply chain is.
A food supply chain is a collection of the different processes involved for food raw materials to be converted to a prepared meal.
This supply chain typically involves following the lifecycle of the foodstuffs from the farm to the kitchen.
So, this usually involves foodstuff farming, food produce harvesting, transportation of food products, processing of food products, preparing/cooking of food products, packaging of the foodstuff, and delivery of the foodstuff to the consumer.
Sometimes, the supply chain can be used to refer to the different people involved in the lifecycle of the food products.
This could be the farmer, the harvester, the transportation company/driver, delivery/logistics company, processing company, retailers, manufacturers, manufacturers of food boxes, the consumer, and so on.
The nature of the food industry
The food industry involves a collection of the different players involved in the food supply chain. Most players in the industry are public or private businesses that perform their operations to make some profits.
As many people and start-ups venture into it, the industry is becoming very competitive by the day. However, the industry is big enough for people who do the right thing.
Therefore, you can offer something unique and maintain your quality and hygiene, you are bound to make lots of revenue from the business. The following ideas will guide you on how to start a food business.
The top 50 food business ideas for a good profit.
These are the top 50 food business ideas that you can begin with low investment with high-profit margins.
1). The Food restaurant business
If you plan meticulously, you can begin a restaurant business with a moderate investment. If you plan and manage the restaurant properly, you could make lots of profits from it.
But before you begin the restaurant, you will need to consider the location, eating habits, and tastes of the people in the location.
For instance, if you plan to open an urban restaurant in Victoria Island in Lagos, Nigeria, you should consider English recipes with a blend of popular international recipes.
2). The Bakery business
The bakery business is one of the many profitable food business ideas that you can start with a low investment. If you have a thing for baking cakes, bread, and biscuits, then you might be on to something big.
Baked snacks are a regular breakfast for most people living in cities who are too busy with work to prepare their meals.
This is a low capital business. You only need a good business brand, excellent recipes, different molds, and affordable pricing.
Nowadays, lots of corporate companies order snacks in bulk for their employees daily. If you own a bakery within a business district, your business can generate lots of money for you daily.
3). The chocolate business
The chocolate supply chain has always been a profitable one. From cocoa farming to the actual selling of chocolates, there is lots of money to be made here.
People who are familiar with the science behind chocolate making know that it is very lucrative.
The chocolate business is one of the viable business ventures of 2021. It only needs a small capital and can be done from the comfort of your home. This is a good food business from home.
4). The ice cream business
If you have a unique and tasteful recipe, your ice cream business could see you smiling at the bank.
Well-prepared and good-tasting ice cream snacks are a huge staple in countries like Nigeria, Ghana, and so on.
People have a high affinity for sweet and delicious products like ice creams with multiple flavors.
Therefore with the right plan, recipe, and location, the ice cream business is one of the best ways to make lots of money in the food business in 2021.
5) Food on wheels business (Mobile vans for selling food products)
If you need excellent street food business ideas, food on wheels is one excellent example.
This is a low-cost way to sell your food products without worrying about location. Who says that location is a must to make money in the food business.
If you cannot find a suitable location, you can still smile at the bank. Rather than going through the hassle of going through the bureaucratic process of getting a location for your food business, you can consider going mobile.
Food on wheels is very flexible. You can sell to people commuting to work in the mornings and evenings.
While at midday, you could sell to businesses and companies. This is one of the best 2021 food businesses with low entry capital and high-profit margins.
6) Cooking tutorial and classes
In this modern times, people with knowledge are selling their expertise through different mediums. Cooking classes and tutorials are some other ideas to earn money from the global gigantic industry.
You can organize local cooking tutorials within your location on bakery, cooking, and different segments of the business.
You can teach people how to start a good and profitable cooking business. There is no limit to the amount you can earn from tutorials on the cooking business. You could also monetize your videos on YouTube, Udemy, Coursera, and so on.
7) The Catering business
Catering and confectionary services have always been a complementary part of the food business. This business idea is best suited for people with excellent planning and management skills.
Catering services can be offered either on a large or a small scale. You can be a supplier to parties, corporate meetings, businesses, and so on.
You deliver your food supplies and collect your money on the spot. This is all it takes. This is a low investment business with high returns.
8) Farsan shop
Farsan shop is also a top business idea with excellent revenue in 2021. Farsan means salty snacks. The concept of making salty snacks is a very popular one. Certain people are looking to maintain their sugar levels.
They usually prefer consuming salty snacks. This is a very lucrative business idea that has a high profit margin.
9) Dairy products
Due to their nutritional values, dairy products are always in high demand. Sportspeople and physically active persons love dairy products.
They contain electrolytes that are useful in repairing the muscle tissues after working out.
You can never go wrong with dairy products. From milk drinks, yoghurts, cheese, and other sweetened variants of these food products. There is no limit to how much you can make.
10) The Organic food business
Due to the importance to be conscious of what we eat, more people are looking for organic food products. You can begin an organic food shop to help you cater to people looking to eat healthily.
11) Starting a Fast food shop/franchise
Fast food is always in demand. This is one of the easiest ways of making money from the multi-billion dollar industry.
There are always opportunities to partner with a successful fast-food franchise. A good fast food business idea is to open a franchise fast-food company from a popular brand name.
Names like McDonald’s, Burger King, Mr. Biggs, Kentucky Fried Chicken (KFC), Starbucks are worth billions of dollars.
Luckily, they accept new businesses to start a franchise using their name. This is also a lucrative business for 2021.
12). The bread business
Bread is a daily meal for almost everybody on the planet. You can never go wrong with selling bread.
Except you are selling bad and spoilt loaves of bread. There is always a global demand for fresh and sweet-tasting bread.
Without too many technicalities involved, you can quickly learn how to start this easy business in 2021 and make a lot of money by 2022.
13). A local guide for restaurant outlets
Rather than serving up people’s appetite, you could be the one giving them the right instructions on where to find the best meals and menus in the right spots.
There is a lot of potential and revenue to be made by people who act as guides to restaurant outlets.
You can take your service further by bringing customers to the best dining spots in town. To excel in this, you need to know different food business names.
14). BBQ catering business
BBQ is one of the hottest businesses in both urban and rural locations. With lots of market potential for BBQ owners, there is lots of money to be made.
You could help people organize large functions by planning, cooking, preparing, ordering, and delivering meals and refreshments for guests.
15) A Chinese restaurant outlets
With Chinese people scattered around the world, their food is always a staple anywhere on the globe.
You can open a Chinese restaurant and service to tourists and visitors. Chinese recipes are famed for their authentic tastes.
You could open up your Chinese restaurant outlets around business centers, universities, colleges, or schools.
16). The jelly and jam business
Production of jelly and jam is another highly lucrative business venture for 2021. People use jelly and jam on bread; therefore, this is a commonly consumed food. It is a good business venture with a low start-up cost.
17) The Biscuit business
With a low startup capital, you can start a business that focuses on making biscuits. Many people prefer to buy locally produced biscuits because of their nutritional value.
You could produce biscuits by hand-made products or a fully automatic biscuit plant.
18) Making of food sauces
Food sauces are still a tenable business idea in 2021. Sauces are in high demand because they can be used on yams, rice, bread, and other foodstuffs with high fiber content. Making highly nutritious sauces can see you smiling at the bank.
19). Making of fruit salads and juices
Fruit salads and juices are seen as the easiest ways to consume highly nutritious meals.
Fruit salads and juices are in high demand because they are consumed as desserts after every meal. A fruit store is one of the best lucrative business ventures of 2021.
20). The Winery business
If you have a thing for the commercial supply of wines and fruit juices then this could be one of the best lucrative businesses for you. The wine business is a viable business venture for 2021.
People have a thing for good and tasty wines. If you know where to source original and quality wines, then this might just be the business for you.
People the world over love sweets. This is no wonder we love to spoil ourselves with them now and then. Sweets are in high demand most parts of the year and during parties, celebrations, and festivals.
People always find the need to offer sweets at celebrations and joyous gatherings.
The sweet business is very attractive. You could be smiling at the bank with a good clientele and customer base.
As a nutritionist, you help people suggest special diets. People always look to nutritionists if they need special diets due to health, age, level of physical activity, type of sports, and different other factors.
Certified dieticians and nutritionists are highly demanded all over the world. But there is special training involved.
23) Grocery store
The grocery store is the most basic food business idea. The grocery store is an important part of the supply chain.
They connect the suppliers to the consumers. They usually act as a middle point between remote food farms and the consumers. The grocery store is a lucrative venture for 2021.
If Starbucks rings a bell to you, then you must know that there is huge revenue in the coffee business. People often take coffee (with sweetened snacks) from time to time.
Having a coffee shop while selling premium sweetened snacks is still a viable business in 2021. If you doubt this, just study Dunkin’ Donuts and see how they make their money.
25) The honey processing business
Honey processing is that part of the business that involves the removal of unwanted elements from newly harvested honey.
There are either automatic or manual options to establish a honey processing unit. This is one of the best emerging food business ideas in 2021.
Due to the nutritional value of honey (all those sugar with no adverse health effects), people are looking to consume more honey as part of their regular diets.
Businesses that leverage the processing and selling of honey will certainly smile at the bank.
26) The food delivery business
A food delivery service is a business that helps restaurant outlets and other food vendors deliver their products to customers.
A food delivery service in the 21st century usually involves the logistics involved in the supply chain.
This could mean taking in orders and delivering completed orders to customers.
Food delivery businesses partner with food vendors and fast food shops to help them take delivery and deliver the foods.
This usually involves the setting up of an app/phone food ordering system (to take in the orders) and a fleet of delivery vehicles (to deliver completed orders).
The delivery business is an important part of the supply chain. They handle the most important parts of the business – safe and on-time delivery.
Deliver too fast, you could be in an accident, and deliver too slow, you can end up with spoilt food. This is a business with high risk. But most high-risk businesses also mean high revenue.
27). The Vegetable and fruit business
The vegetable business is always a tenable way to smile at the bank in the 21st century. In 2021, this is still one of the most lucrative business ventures out there. As a vegetable and fruit business, you could either choose to be a retailer or a wholesaler.
28) Making of food spice powder
The spice powder-making business is a lucrative sub-segment of the bigger food industry. It offers a level playing field for all small-scale businesses.
With the existence of different available spices like Coriander, turmeric powder, curry powder, red chilli powder, you can blend these and more to create a unique spice powder. The market potential is huge.
29) The organic farming business
This is for people who have an empty plot of land. They can decide to grow and sell their foodstuffs.
Commercial farming has always being a huge money-spinner for citizens of second and third-world countries. It still is.
No matter where you are in the world (except Antarctica) you can grow and sell your food production.
30). Chef for hire
You could decide to attend a catering school and become a freelance chef. There are lots of globally famous freelance chefs that work on their own and get gigs all around the world.
If you step up your cooking game and put together a massive portfolio full of top-notch cooking gigs, you can be on your way to cooking for Mark Zuckerberg and 70 specially selected guests at his latest Yacht birthday party.
31) The making of wafers or Popcorn
You could easily begin a small-scale business to begin making popcorns and wafers. This is a moderate capital business with high flexibility. This is a good snack business that can be sold from a van or a cart.
32) Processing of meat and seafood processing
If you are looking for food business ideas, then meat and seafood a viable venture to start. Meat and seafood can be processed chemically. All you need is moderate capital and you are all set.
33) Grain processing business
You can start a business that focuses on processing grains like rice, corn, beans, and so on. You can establish a flour mill or a rice mill. This is a very lucrative idea for people with the capital and knowledge for such.
34) Foodstuff grinding service
This is another lucrative business. The food grinding and mashing industry involve grinding/blending foodstuffs to pulp, powder, or gels.
This is one of the important parts of the supply chain. This business involves the use of several machines.
35) Cereal processing plant
This is a lucrative business setup that involves the processing of various cereals. This business involves lots of capital but with a high yield output.
36) Professional food blogger
Of course, they are hardly part of the global supply chain, but they help drive it. Professional food bloggers are hardly short of making revenue.
They are either hired guests in cooking workshops or they are featured writers on other food blogs and websites.
A professional food blogger always makes money round the clock. Start a food blog and watch the money roll in.
37) Frozen food company
People consume lots of frozen food products. You could open a frozen food store. This will help cater to frozen foods like chicken, fish, meat, vegetables, French fries, and so on.
38). A beverage store
You could start a store that deals in popular brands of beverages. Apart from knowing how to start this store, you should also know how to maintain one. Beverages are always in high demand and need reliable suppliers.
39) A tomato processing plant
You can start a business that processes tomatoes for different purposes. This requires lots of machines. But in the long term, it will certainly payback. A lot of companies and manufacturers need processed tomatoes. Or you could just directly sell to your consumers.
40) The making of Ginger garlic paste
Ginger garlic gel or paste is a fundamental element of different meal recipes. This is a business with huge market demand. Ginger garlic is been consumed for its health benefits. It is a type of spice that is in high demand with huge income potential.
41) Making of baking powder
The baking powder is excessively used to bake different foodstuffs and snacks. This is a mixture of various ingredients mixed chemically.
42) The manufacture of Coconut oil
Coconut oil is useful beyond the food industry. Apart from being used to cook some delicious recipes, this oil plays other important roles as well.
Coconut oil is useful in the making of hair oils, toilet detergents, bathing soaps, and so on.
Just note that you will need to have high capital and be close to the raw material source.
43). Production of condensed milk
There is a huge commercial demand for sweetened milk all across the globe. The only primary raw material to help get this business off the ground is the availability of full cream milk. This business is one of the most financially rewarding ventures in 2021.
44). Mobile Bartending
If you know how to start it, mobile bartending is one of the businesses for 2021. You get to serve drinks at parties, birthdays, office events, exhibitions, and so on.
There are a few good mobile bartenders. This means that this niche is very much open to newcomers.
45). Mushroom Farm
The Mushroom farm business has blossomed into a profitable venture. People used to grow mushrooms for private use.
Now there is a commercial appeal to the plant. Medicinal or gourmet mushrooms can be grown and sold to customers, health food shops, or restaurant outlets.
46). Selling of Olive oil
Olive oil provides a good flavor to foods and can be used for healing purposes.
It can be difficult to get high-grade olive oil. This is why this market is still wide open for newcomers to cash in on the demand.
47). A Pop-up Restaurant
Pop-up restaurant outlets are useful in catering to people with constant hunger.
This food business idea is an excellent venture that is yet to be exploited. You can decide to offer different menus and themes with your restaurant.
48). Restaurant Supply
Restaurant outlets and fast-food chains are constantly in need of fresh and well-preserved food supplies.
There are millions of restaurant outlets and food eateries around the world. They all need supplies and will reward anyone that does this reliably and efficiently.
People drink water a lot and will continue to drink water. The US-based rapper, Curtis “50 Cent” Jackson made a profit of $400 million when Coca-Cola took over a water company he invested in 2008.
Of course, a water business is a cool idea for those who know how to start and promote it. Just ensure that you sell nothing but clean and natural water.
50). Canning Service
The canning industry caters to the food industry with the supply of various boxes, cartons, foils, and cans for food packaging. They can be used to preserve perishable foods. With canning foodstuffs, you never go out of business.
51). The Rental of catering equipment
Some numerous parties and festivals are being organized all the time. They will all need some form of equipment. You can supply catering equipment to these parties and make lots of money from this.