How to open a bottling milk business

* The calculations use the average data for the World

Retail trade in milk is possible not only in familiar stores, but also for bottling, such as, for example, kvass or lemonade. At the same time, consumers prefer fresh milk, which was not at a special factory and is supplied directly from the farm. Both residents of small cities and megacities are happy to buy such milk for themselves, so an entrepreneur can build his own business by investing relatively little money to organize his retail network.

I must say that the level of competition can vary greatly in different cities. Typically, farmers who supply their own products are engaged in such a business, so if there is agricultural land in the area of ​​a large city, then farmers will most likely trade in the city. Also, one should not forget about the local rural markets, which also often receive farm products. In cities where milk and dairy products come from far away, it’s too difficult to work in the retail trade of fresh milk for bottling, so starting a business is not worth it. That is, where it was possible, there are already market players, but at the same time one point covers a small area or even a residential quarter, and therefore new entrepreneurs should have enough space. Hence the advice - starting such a business, it is worth considering the contingent of the local population (residents of wealthy neighborhoods are simply not used to buying products not in special packaging and not in a supermarket) and the presence of other merchants, and if they are not in the immediate vicinity, then the risks are justified.

To get started, you need to register as a business entity. If you plan to have your own farm, on which milk will be produced, it is better to register a peasant farm, which from a legal point of view is close to individual entrepreneurship. If it is planned to buy milk from farmers for the purpose of subsequent sale, then registration as an individual entrepreneur is suitable or, if there is a need for a legal entity, then registration of a limited liability company. In all cases, it will be possible to pay 6% of revenues or 15% of operating profit as taxes (USCH for peasant farms or STS for individual entrepreneurs and LLC).

When the registration process is completed, you can begin to obtain trade permits and, if necessary, production. In this article we look directly at the activities of the retailer, and it is for these purposes when working with milk that you need to get the trade permit itself, which is issued by the Federal Service for Supervision of Consumer Rights Protection and Human Welfare. This municipal service makes demands on the premises and employees, to a lesser extent it worries about the condition of the milk itself, because other bodies are involved in this. In order to be able to trade milk, you need to have special equipment, namely sealed tanks, which are made of materials that are allowed to be used for contact with milk, and special refrigeration equipment for storing milk. The remaining requirements of Rospotrebnadzor are quite understandable and natural: sellers have overalls and a sanitary book, location on the territory that meets sanitary and hygienic standards, and trade is allowed only with milk that is obtained from prosperous farms. However, to prove the quality of milk, it is enough to provide documents that are received directly by the farmer, that is, the one whose cow (or other farm animal) gave the milk. This includes a veterinary certificate, permission to sell and transport milk, the conclusion of a veterinary examination, as well as compliance with technical regulations for milk and dairy products.

In addition, the entrepreneur will need to provide information that the container used for the spill is safe for consumers' health - the supplier of the container itself can provide documents of compliance. Moreover, it should be noted that selling milk, pouring it into the container of the buyer is prohibited. According to the law, it is generally forbidden to trade milk everywhere, except in stores and on bottling, using special tanks. As you can understand, collecting all the documentation and solving bureaucratic procedures will be relatively simple if it is planned to simply trade milk, and relatively difficult if it is also planned to produce milk. However, any farmer is well aware of these procedures and, in any case, is faced with the need to solve them in the process of his activity from the very beginning.

So, the place of work is always chosen depending on the situation on the market, residential quarters or markets are usually chosen; some entrepreneurs trade exclusively in rural markets, where there are always many buyers of this product. In general, in a busy place there will certainly be many consumers, just do not need to choose parks and other places to relax, after all, milk is not the drink that is drunk to quench your thirst. Located on the territory of the housing estate, you can count on a sufficient number of consumers, only according to the testimony of market participants, a significant part of consumers are elderly people or just adults. Young people are not used to drinking milk.

When a place is found, you need to coordinate the placement of your tank with the owners of the territory. In most cases, you will have to contact the city administration, but sometimes when working, for example, in private markets, you need to buy out a site for work or rent it. Here you should not count on too large sums, in the best case it will turn out to be completely free (if you can agree with the administration), in the worst - give about 10 thousand rubles per seat. Still, for trade in milk you do not need a specially equipped trading place, therefore it is enough to pay the market owners a certain amount to stand at the entrance to the market. However, there are exceptions, and the cost of placing on the market can be significantly higher, that is, it all depends on many factors, including the city of work and location in it.

The next question is the purchase of equipment. As already noted, for trade it is necessary to have special tanks, from which milk will be spilled, it’s quite easy to find, suppliers can be easily found on the Internet, and in any major city you can order the required number of tanks from a supplier in your own locality. In the end, for the sake of economy, you can buy used tanks for which the necessary documentation is available. Only now, the entrepreneur must decide for himself whether it is worth trusting the sellers of such equipment. Nevertheless, Rospotrebnadzor is not very interested in the activities of enterprises until they receive complaints from consumers, and to use machines and equipment in the food trade that was previously unclear how and under what conditions it was operated to some extent risky. In addition to special tanks, you need to buy refrigerators in which milk is stored and transported. A machine equipped with a refrigerator can be bought for an amount of one million rubles or more — one machine will be enough to transport milk around the city if all the milk is sold during the day. This usually applies to used cars, new ones cost one and a half times more, and sometimes much more expensive. By the way, it is worth noting that the points of sale of milk for bottling are relatively short, usually in the early morning hours, which allows you to quickly sell goods that do not have time to deteriorate in a few hours. And one more important mention - the seller is obliged to warn buyers that milk must be boiled before use.

Now about the tank. This should be a special alloy tank with the obligatory inscription "Milk". However, the entrepreneur does not have to delve into what it is made of; suppliers of this equipment bring it ready for operation with the necessary documentation. Any company engaged in commercial equipment can help with the search for both individual tanks and ready-made installations - that is, sets of cars and tanks. You still have to buy a car, so you need to count about 800 thousand minimum for each retail outlet - that’s how much a small domestic car with a tank costs. Tanks as a trailer are suitable for entrepreneurs who already have a small truck, they will have to pay about 200-300 thousand rubles for it. We are talking about tanks with an average volume of a thousand liters with small deviations, but even this can be a lot, and the tank will not have to be completely filled.

Finding people to work is relatively simple - after all, the only serious requirement is the availability of a health book. The seller can work for the percentage of products sold, although more often he is simply paid wages. Here, if the work schedule involves a part-time job, you can limit yourself to a very modest salary - from 10 thousand rubles, and even lower in the provinces. Although if an entrepreneur generally starts with only one retail outlet, then he can fulfill the role of a seller on his own. This is an excellent cost savings in the first stages of work. One seller is enough for each retail outlet, although with a full day and daily work, you will have to hire at least two. That is, much depends on the format in which the entrepreneur wants to work. At the same time, you can save money by outsourcing all business processes that are not related to profit-making by the organization. This applies almost exclusively to bookkeeping, for a thousand rubles a month a third-party company will draw up all the simple documentation of an individual entrepreneur, and for an average of 5 thousand rubles, even a small company can expect its statements to be compiled without errors. That is, serious expenses in this direction can not be expected.

Now about the most pleasant thing for an entrepreneur - about money. If there is no own milk production, then you need to find closely located farms that can supply fresh milk daily. It is desirable that these were farms directly outside the city, not in distant rural areas. In any case, the distance in each case will be different, transport costs can be calculated within the framework of this article only in a very generalized form. In this regard, we will take them approximately equal to one thousand rubles per day, adding 200 rubles for each additional outlet - that is, a large car leaves the city and brings milk, and trucks with tanks already go to the workplace within the city.

At first, an entrepreneur can independently cope with the task of transporting and pouring milk into tanks, if this is not possible, then it is worth hiring assistants who do not have to be hired by the staff. Their services are another thousand rubles a day. Milk in bulk can be sold at completely different prices, depending on the region. For example, in the south you can find farms that sell a liter of milk at a price of about ten rubles. But in the northern regions, for example, in St. Petersburg, even wholesale prices per liter of milk can exceed 50 rubles. There is still worth considering the quality of the product, depending on the fat content and taste, the price may also vary.

The main thing that an entrepreneur needs is fresh milk, not its substitute, it is this product that will be bought for bottling, otherwise it’s easier to go to the store. And these are the prices for cow's milk, which are taken as an example. The cost of packaging should be added to the price of milk, and here the entrepreneur has several options; the main thing is that the container is suitable for food.

The easiest way to buy plastic bottles, the average cost of one is about 5 rubles. Consumers will appreciate if milk is bottled in glass bottles, however, they cost on average twice as much - about 10 rubles. All this affects the price of milk. As for pricing, then every entrepreneur already acts for its own reasons, only if there is a competitor nearby, then you have to reckon with its pricing policy. At the same time, the margin can be very different, some sell their milk as a cheaper alternative to “industrial”, and some, on the contrary, stress the environmental friendliness and peculiarity of their fresh product, which makes it more expensive than the counterpart in the store, which is pasteurized and often made from milk powder, and even more so, it is not rid of lactose, as it happens with milk, which is specially created for people suffering from intolerance to milk sugar. In general, an exceptionally fresh and natural product. In this regard, the margin starts at about 30% and rarely exceeds 70%, but still these are very average figures. If you take into account that a bottle of milk has a margin of 50%, and the entrepreneur costs 60 rubles (50 rubles milk and 10 rubles a container), then having sold a full tank (and this is an average of 900 liters), you can get 27 thousand rubles . At first, such sales for a short period, of course, should not be expected, but subsequently, with the right development, such an outcome is quite likely.

Matthias Laudanum

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08/18/2019

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