Your business: we open a confectionery factory

* The calculations use average data for the World. The business associated with the production of confectionery products is characterized by high profitability (according to various sources, it ranges from 35 to 40%, which is very good for the manufacturing industry), quick payback and low risks. Its only drawback is the huge number of competitors at both the regional and federal levels.

Confectionery Market

Since the end of the 90s, it was the confectionery market that developed in our country at the fastest pace. Its growth was up to 10% per year. However, the situation has changed somewhat since the mid-2000s - growth rates have begun to decline sharply, which experts attribute to the oversaturation of the industry. First of all, it concerned large cities. Until this time, the regions were not considered by manufacturers as promising for the development of small confectionery enterprises. Now, such production companies are opening up even in small towns.

As a rule, two main segments are distinguished in the confectionery market - the segment of flour confectionery and the segment of sugar confectionery. Moreover, in that and another segment, expensive premium-level products are still in the least demand, although the situation is gradually changing (so far only in large cities). Sugar confectionery products include caramel, sweets, chocolate, marshmallow, halva, marmalade, marshmallows, dragees, roasted nuts, toffee, soufflé, fudge, etc. For flour products - cookies and waffles, muffins, rolls, oriental flour sweets, gingerbread cookies, cakes and cakes. Of all these segments, cake production is developing most rapidly. The main reason for this is the lack of direct competition with imported products. The latter, of course, are present on the Russian market, but their share is extremely small and does not exceed 7-10%. This is due to special requirements for storage conditions and extremely short shelf life of products such as cakes.

Therefore, imported products prevailed only in the segment of biscuit-cream products (usually rolls) of long-term storage. Thanks to special technologies, special additives and packaging, such products retain their taste for a long time - up to six months. However, domestic companies appeared here that significantly pressed foreign sweets from store shelves.

If you only choose the direction for work, then it is necessary to take into account the specifics of this market. For example, the segment of sugar products involves impressive investments, which are estimated at between 20-25 million rubles. The competition here is even higher, including among Western manufacturers and domestic companies. Therefore, to create a competitive production, it is necessary to have the most modern and powerful equipment, as well as multi-million dollar advertising budgets.

A small pastry shop has a chance to survive in this market and even get a certain profit only if it can offer consumers a unique product. Such may be, for example, the production of oriental sweets, which is too time-consuming and disadvantageous for large companies. The disadvantage of this option is the long payback periods: the new manufacturer needs to gain trust among buyers, which will take a lot of time and again money.

If you have neither an original idea to start your own business, nor sufficient starting capital to compete with large brands, then experts advise you to pay attention to the market of flour products and, first of all, cakes. Since it is in this segment that a small enterprise has the most development opportunities. And it is better to start with the manufacture of the most ordinary cakes with a short shelf life. Developing your own formulations of a fundamentally new product will cost too much. It is unlikely that you can find enough highly qualified technologists in Russia. Most likely, you will have to either travel to Europe yourself to consult with specialists, or invite such a specialist to our country, providing him with all the conditions for work and living. Both that, and another option is expensive and involves a lot of risks.

Assortment development

You need to start the process of organizing your own confectionery factory with ... developing the assortment of your confectionery production. The necessary area of ​​the workshop and the equipment of the production line directly depend on it. Do not spray immediately in several directions. Choose one basic - for example, the production of cream cakes and pastries. Your assortment may consist of only ten items, but all of them must be “running”. Examine the range of competitors, pay attention to the results of consumer surveys, consider their preferences.

You should not copy the assortment of other pastry shops, but you also should not deviate too much from it. Most likely, your competitors have more experience in this business than you. They already had the time and opportunity, through trial and error, taking into account the results of sales and customer reviews, to form their assortment line. Use their best practices, but try to offer your own original recipes.

And at the first stage of work, and in the future, do not forget to constantly monitor the market, the situation in which is changing very quickly. For example, just a few years ago, inexpensive cakes according to the Soviet recipe (Prague, Honey, Bird's milk, etc.) were in greatest demand. Now, high-calorie cakes on a biscuit basis and with a lot of creams are no longer in fashion. Consumers prefer confectionery products without preservatives or colorings. Slowly but surely, a segment of expensive cakes is developing. However, experts do not recommend starting with it because of the limited sales market and expensive ingredients.

Choice of premises

When the assortment is approved, proceed with the search for a suitable room. Since the area needed to accommodate the workshops is considerable, in order to save on rent, manufacturers are trying to locate such facilities on the outskirts of the city or even outside it. True, in this case, transportation costs will increase significantly, but still it will be more profitable than opening a workshop in the city. In addition, you can save on the salaries of your employees: in the region, the average level of salaries, as a rule, is significantly lower than in large cities. For a medium-sized production of confectionery products, an area of ​​about 1000 square meters will be required. meters. It is highly desirable that there is the possibility of a subsequent expansion of the area to at least 3, 000 square meters. meters. As production volumes increase, you will need to expand the area of ​​the workshop and storage facilities, and moving to a new place is fraught with financial losses due to downtime.

Also pay attention to the condition of the rooms. Their full refurbishment and repair to bring them in accordance with sanitary and epidemiological requirements and standards will cost too much (up to 500 thousand rubles). If you do not have good connections in these instances, it is best to place your production in the building of a former factory or an empty workshop where similar products were previously produced.

Equipment purchase

After the premises are found, you can begin to purchase equipment. Its cost depends on the configuration of the line, its performance and brand. For example, a confectionery line with a medium-power furnace will cost about 3.5 million rubles, including its transportation, installation and commissioning. The cost of the furnace itself is about one fourth of the total price. The rest of it consists of the cost of the line itself and various auxiliary equipment (mixers, nozzles, pastry guns, etc.). Domestic equipment will cost much cheaper than imported equipment. Before buying equipment, be sure to consult with a technologist. The complete set of the line will largely depend on the products that you are going to produce. Therefore, you need to make the final decision on the purchase of equipment only after you have approved the range of confectionery products.

You will also need various containers and pallets, shelving, trolleys, tables, scales, forms, pots (tanks), bathtubs, etc. This is only at first glance it all seems a trifle. About half a million rubles will be spent on the purchase of equipment. Do not forget about refrigerating and frying cabinets (plus 250-300 thousand rubles). Finally, you will need to purchase office equipment - computers, printers, photocopiers, telephones and faxes ... You can save significantly by purchasing used equipment. But in this case, a specialist should take part in the inspection of the equipment, otherwise it is very likely that such a savings will end up sideways: new equipment will quickly fail and you still have to purchase new equipment, which is fraught with production downtime and additional costs.

Many start-up entrepreneurs are wondering if it is worth buying packaging equipment right away. If you intend to produce only cakes and pastries for the first time, then you can do without it, since their packaging is still carried out manually. However, do not forget to purchase packaging materials - plastic and cardboard boxes, twine, paper backing-napkins for cakes, order labels that will be glued to the packaging of finished products.

Special attention deserves the issue of logistics. Even a small-sized enterprise should have its own transport, because you have to deliver finished products to your customers. There are two options for work: organize your own fleet of vehicles or use the services of an intermediary. The first option requires lower costs in the first stage, but reduces profitability and increases the payback period. The second option is more expensive, but in the end it turns out to be more profitable. Its additional advantage is that you comply with all the deadlines for the execution of orders (when working with a third-party transport company, unfortunately, this is not always possible, which affects the reputation of the manufacturer of confectionery products).

Documents for the organization of production

A limited liability company (LLC) is suitable as a legal form for conducting such a business. In addition, to carry out your activities you will need to obtain a number of necessary documents. This list includes the Sanitary and Epidemiological Opinion on the compliance of production with state sanitary rules and regulations and its annex (an assortment list of manufactured products), a program for organizing and conducting industrial control over compliance with sanitary rules and the implementation of sanitary and anti-epidemic (preventive) measures in the manufacture of confectionery, Certificates of conformity of products with the requirements of regulatory documents, Sanitary certificate of the object subject to zinsektsii and disinfestation, and a contract for the premises Pest and vermin control, the conclusion of the state fire service of compliance on the subject of fire safety requirements. If there are vehicles for the distribution of products, it will also be necessary to issue sanitary passports for them.

Confectionery staff

As mentioned above, the search for personnel (at least the technologist and the main production) should be taken care of even at the stage of developing the assortment range of your enterprise. In addition, the following employees will be required to work in the workshop: senior confectioners, confectioners-decorators, bakers, confectioners of the 2-3 category. The number of employees depends on the volume of production. As a rule, it is 15-20 people per average workshop (taking into account work in two shifts). Office workers include an accountant, sales managers, an order manager (the secretary can do this), purchasing managers, an advertising and marketing manager. In addition, you will need the head of the logistics department, movers and drivers, as well as the storekeeper.

Most likely, there will be no problems with the search for office workers (all kinds of managers). But to find good confectioners will be much more difficult. Only at first glance it seems that the work of the confectioner does not require any special qualifications, nor much experience. The leaders of the confectionery enterprises regretfully admit that the quality of training of food production specialists leaves much to be desired. Find confectioners "old school" is very difficult. The only suitable option is to recruit recent graduates and teach them all the tricks of confectionery on their own. Learning takes a lot of time and effort. Many recently recruited do not even go through the learning process to the end. The salary of the beginning confectioner is low: in the region it does not exceed 10 thousand rubles. So the turnover at such enterprises is very high. The risk is great that the specialist trained by you will soon pass to your competitor if they offer him a little more money. You can retain valuable employees using various means of motivation - from bonuses to career prospects (unless, of course, there is room to grow).

Finished Product Sales

Not all entrepreneurs take into account the fact that the higher the volume of production, the more difficult and more expensive it will be to market the finished product. If the production capacity of your workshop is, for example, 20 cakes per day, then you can easily sell them through small grocery stores. However, when it comes to dozens and hundreds of products, the best option is to work with large retail chains. The latter option is fraught with a number of difficulties, including work with deferred payment (from thirty days or more), 100% return of expired products (and, consequently, additional losses for the manufacturer), payment for adding positions to the network (it can amount to millions rubles), the probability of a product being withdrawn from the network if its sales are low. These costs can sometimes amount to more than 75% of the total costs of the company, but at the same time, the manufacturers themselves claim that it is worth it. Only in this way can sales of large volumes of products be secured.

The payback period depends on many factors, but on average such an enterprise can reach the level of self-sufficiency no earlier than in a year. At best, you should expect stable profit in 2-2.5 years. Most of the time and money is spent on marketing. Establishing production and marketing is only half the battle. The most important and most difficult thing is to make your brand recognizable among consumers.

Sysoeva Lilia

(c) - a portal to business plans and guidelines for starting a small business 08/18/2019

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