How to Become a Food & Beverage Distributor
By Melinda Gaines, eHow Contributor
Even if you have no culinary talent, you can earn good money in the food industry, aside from opening a restaurant or manufacturing food. Food and beverage distributors are essential in the food industry because
they get manufactured food products into retail stores, and eventually into the hands of consumers. Starting this type of business takes quite a bit of planning and resources, but it can be very lucrative.Other People Are Reading
Things You'll Need
Food-grade warehouse
Tax ID number
Assumed name certificate
Instructions
1 Decide what type of foods or beverages you want to distribute. It is best to specialize in a certain niche, such as organics, sports and energy products, sweets and confections or alcohol.
2 Obtain a tax ID number from your county clerk--in some areas, you may also need a resale license. You should also get an assumed-name certificate from your county clerk, and file with your state as a sole proprietor, corporation, limited liability partnership (LLP) or limited liability corporation (LLC). Also, get an employer identification number (EIN) from the IRS website.
3 Lease a food-grade warehouse. An ordinary warehouse will not do for most types of manufactured food, especially produce and pasteurized products. If you cannot find a food-grade warehouse in your area, contact a logistics company to get the space you need.
5 Distribute the food products to retailers wholesale, marking them up by 40 to 60 percent. In the beginning, start with local specialty retailers, including restaurants and grocers. Eventually, you will be able to distribute products nationally.
6 Purchase or lease commercial trucks to transport food to other parts of your state and the country once your distribution company is established. The trucks will need to be temperature-controlled, and you will need to ensure that your drivers have commercial licenses.
Tips & Warnings
You will need to buy liability insurance and insurance for your workers, but the amount you need will be determined by your state's regulations. Do not try to go without insurance--you will need it should a worker get hurt, equipment gets damaged or if a product is recalled.
Source: eHow.com
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