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How to Start a Natural Food Store

by Devra Gartenstein

Overview

There are many types of natural food stores, from vitamin outlets and gluten-free specialty stores to full-service supermarkets. Decide on your focus before looking for a site and securing funding. Research your target market and product mix thoroughly. Write a detailed business plan. This helps you to think through relevant, important questions, and it is an important tool when approaching investors.

Step 1

Contact city, county and state licensing agencies and ask what permits and licenses you need to start your natural food store. Call your local health department and inquire about its guidelines. Before hiring employees, register with state and federal employment tax departments.
Step 2

Choose a site for your store. Find a place that you can afford, ideally one that is centrally located. Proximity to a health club or yoga center is a plus. Look for a place with plenty of foot traffic or ample parking and, ideally, reasonable rent.
Step 3

Plan a marketing strategy. If you will serve a specific niche market, such as vegan or gluten-free foods, network actively with your target market at special events and through new media. If you will sell a broad range of products, consider print advertisement in periodicals that reach individuals interested in holistic health.
Step 4

Design your store, choosing shelving units and refrigeration equipment. Orient the categories of products that you are most interested in selling in the most visible and prominent places. Vitamins have an especially high profit margin, and they offer the most cost-effective use of shelf space. So give them a prime spot in your store. Plan your display shelving so you can fit as much inventory as possible in the available space, but leave enough room for customers to be able to move comfortably between the aisles.
Step 5

Decide whether you are interested in developing direct relationships with suppliers who produce their goods themselves, or working through distributors who act as middlemen for a wide range of items. If you buy your inventory directly from the producers, it will be fresher, but buying from distributors is usually more convenient. Working with independent producers also could enable you to stock specialized items tailored to the needs of customers with specific dietary concerns; this may not be available through a large distributor. Contact distributors and suppliers and ask to meet with sales representatives. Determine which companies best meet your needs and coincide with your vision.
Step 6

Design systems and protocols for running your store, including an employee manual.
Step 7

Hire employees. Place "help wanted" advertisements in relevant publications and appropriate websites, and interview prospective employees. Choose a staff knowledgeable in the field of natural foods, and train them thoroughly.