This article is about how to start frozen foods business in South Africa currently in this year 2022. If you want to set up a cold room for your frozen foods business anywhere in the country and you need a guide on how to go about it, we have come up with the comprehensive information on what you should do to get started, do kindly read along to find out more.
In South Africa today, there are many thriving businesses that appeal to their various target markets and one of such businesses is the cold room business which promotes the sale of frozen foods. The frozen foods business in South Africa will continue to thrive as the demand for such products are sky high on weekends, especially on Sundays as well as during the festive season when families come together to buy as much of the products as possible to cater for their large number; and this is largely due to the limited access to fresh foods, like chicken, fish, pork, turkey, beef, to mention but a few in many areas.
Setting up a frozen foods business in South Africa or as many people call it, cold room business in the country is for the purpose of preserving the freshness of certain foods for a duration of time pending when they are bought and consumed by the final consumer. This business is very profitable and you can actually find one or two frozen foods stores at any of the major markets situated in your area with a large volume of people patronising them everyday, especially on weekends. If you decide to venture into the frozen foods business in South Africa and your services are top notch, your store will become the go-to place for such types of goods in your locality, and you will make significant income while at it.
Do kindly note that you will have to put in the work and be very dedicated to your business for it to reach the height that you want it to attain. Understand that this business idea is also in the thoughts of many other people and some have already started it in your area even before you, so for you to make it big in this cold room business in South Africa, you will need to commit your time and resources in it to ensure that your competitors do not bring you down when you eventually start, all the same, it is a very good business to venture in, and when you begin to get returning customers, your business will become very well known throughout your area and beyond.
As aforementioned, the frozen foods business in South Africa, especially in Durban State, is very lucrative such that in certain parts of Durban State, a kilogram of chicken laps (orobo) is priced at R$ 73. With this amount and the population of people trooping in and out of your cold room, you are sure to make serious money from your business as long as you are doing the right things. You are in an urban area and of course, Durban State, being one of the most Populated States in South Africa, has the capacity to give you the numbers you need for your business to thrive. This is also applicable to other places in the country where the population favours your business. That said, let us now go straight to the processes involved in starting a frozen foods business in South Africa today.
STEP BY STEP GUIDE ON HOW TO START FROZEN FOODS BUSINESS IN South Africa 2022
The following are the step by step processes on how to start frozen foods/cold room business in South Africa this 2022:
WRITE A BUSINESS PLAN
Every great business starts with a business plan and your frozen foods business in South Africa should have one as this is the first thing you should do as a business owner. Write a business plan first, and then stick to it. The purpose of putting a strategy in place first is to avoid any form of failure in the near future. This requires conducting thorough research and then drafting a feasibility report on the business, with a focus on the frozen foods industry in South Africa. For starters, a business plan for your cold room business is you going in the right direction. There are no rules for drafting a business plan, and if you want, you may hire an expert to do it for you.
MAKE AVAILABLE YOUR CAPITAL FOR YOUR FROZEN FOODS BUSINESS
To start a frozen foods/cold room business in South Africa today, you will need a sufficient amount of capital. The amount of capital used will decide whether the company operates on a large or small scale. You will need money to run the business successfully, and you can use your frozen food business plan in South Africa or feasibility study to obtain a loan from any issuing house.
FOCUS ON A NICHE FOR YOUR BUSINESS
You must choose the type of frozen foods you want to be known for. There are large cold rooms that house nearly every type of frozen food. Depending on your capacity, it is advisable to choose the type of frozen food you will be known for, whether you want to be known for selling a combination of iced fish and chicken or turkey or known for just frozen poultry products. If you however, want to be known for selling different frozen foods at a go, begin with high demand foods and work your way down the list.
FIND A SUITABLE LOCATION FOR YOUR FROZEN FOODS BUSINESS
Find a good location with a large number of people, especially at market places where your business will be visible and easily located in order to maximise profit. This is very important so that you can have a customers coming back to your shop when they need to buy frozen foods.
REGISTER YOUR BUSINESS WITH THE APPROPRIATE AUTHORITIES
If your business has an association, you can join that association to operate in your area without any hindrances, and ensure your business space is very neat so that the various environmental agencies as well as NAFDAC do not find any issues with you which can cause you some serious setbacks. You can also register your business with the Corporate Affairs Commission of South Africa (CAC) to make your business very genuine and this call allow you access loans and grants whenever you need some significant financial injection into your business.
GET A GOOD STORAGE SYSTEM
Having a storage system is critical to the survival of your frozen foods business in South Africa. Invest in multiple deep freezers, which will be used to store your frozen foods. Your business plan should specify whether you want your food frozen in a regular freezer or a larger cold room with a freezing system. Keeping the products frozen will ensure that it remains fresh until people purchase it. It is worth noting that a bad storage facility could drive away potential and existing customers.
POWER SUPPLY GENERATOR
You will need a reliable power source to keep your business running and not just rely on NEPA, else your business won’t thrive. Endeavour to get a good generator seeing that you’re dealing on perishable goods.
EQUIPMENT REQUIRED FOR YOUR FROZEN FOOD BUSINESS
Some of the equipment required for your frozen foods/cold room business in South Africa include a freezer, weighing scales, knives, a table, a cabinet, a chisel, wooden planks, a waste bin, and a chair.
ADVERTISE YOUR BUSINESS
Your frozen foods business was set up to make profits, and you this can be ensured by advertising your business to customers and potential customers through social media, and other advertising channels.