How to start ice cream business? 23% profitable

 Ice-cream Business Ideas & Plan?

India is a country of tropical climate; Summer is the longest season in the country. Thus, among the niche food businesses, the ice cream business appears to be the most lucrative. Over the past few years, the ice cream business has seen some rapid innovation. Earlier roadside carts were common among people and mostly children and youth used to come in them. Nowadays the concept of ice cream parlor is becoming increasingly popular, where people can enjoy ice cream in comfort.

The reason behind this changing trend is clear – one is the rising disposable income of middle class families and the other is western culture influencing consumer habits. These macro and microeconomic factors make the ice cream business more viable and profitable in the present times.

In this special article, we will tell you  how to start your ice cream business in India? Will take you through this step-by-step guide. Unlike other formats, the market for this particular product and format is very specific. However, if done carefully and a few things are right, you can make your ice cream business a success.

How to start an ice cream business in India? 

How to open ice cream business in India ? Here's a step-by-step guide about it.

1. Decide on the format 

At present there are many ice cream parlor formats from cold stone, ice cream roll, ice cream cake, nitrogen ice cream, live ice cream counter, and pre-packaged ice cream counter. Therefore, the first step to start with your ice cream business plan is to decide what type of ice cream parlor you want to open.

Ice Cream Delivery- Food delivery has become very popular these days, and if done smartly, it can also be a profitable business model for ice cream parlours. Make sure you provide your delivery boy with an ice box equipped with dry ice. This will keep the ice cream cold and solid for a long time and prevent it from spoiling. You can get three layers of dry ice for just Rs 30 per day.

2. Investment and area required to open an ice cream parlor

On an average, an ice cream business requires a shop with a carpet area of ​​400-500 square feet or a small food truck with the necessary refrigeration system. In both cases, the average investment required is between Rs 5 lakh to Rs 10 lakh, depending on the ambiance and seating area you want to create. High-end ice cream parlors may require an investment of up to 15 lakhs. Also, one has to look for a market or catchment area where the crowd of people is high and people are ready to spend money.

3. Decide on the location of the ice cream parlor 

Unlike other forms of food, eating ice cream is not a necessity, but it is more fun and fashionable in a crowd. Hence, proper market research should be done before choosing the location. An ice cream truck being a movable asset can experiment in different areas before finalizing the location.

Availability of parking space is essential for opening an ice cream parlor. Buying ice cream is usually an impulsive decision by customers; Hence, the ice cream parlor should be easily accessible and have adequate parking space. Find a location near businesses, such as a market, children's clothing/toy store, or family restaurant.

4. Buy store type equipment for the menu 

Once you've finalized the format and location, list the number of items you want to sell at your store. Then compare it with the surrounding competition and keep the price low initially to enter the market and distribute free samples. Based on the menu, decide which kitchen appliances you want to buy and then divide the list into two parts, one with the items you want to buy new and the other with the ones you want to buy used or second hand. can be obtained as

5. List of equipment required to open an ice cream parlor

• Equipment list (with rough estimates) for a Cold Stone ice cream parlor
• Cold Stone Refrigerator (Rs 2-2.5 lakh)
• Chest refrigerator with a capacity of 500L (Rs 40,000)
• Storage cupboard and utensils (Rs 30,000)
• Raw material including packaging (Rs 1-1.5 lakh)
• Other equipment (Rs 50,000).

For an ice cream parlour, power backup is essential, as the main wastage in an ice cream parlor is when the ice cream melts. A good refrigerator can keep ice cream safe for up to two hours, but if the power goes out for more hours, you're in trouble. So, remember to invest in an excellent noiseless generator. You can get it for less than Rs 1 lakh.

6. Find Employees Required for an Ice Cream Business in India 

In this particular format, the number of employees required is very less as you need three people including the cashier to make a specific flavor of ice cream. A peculiarity in this format is that you do not need a proper chef or bar tender, whose salary is very high.

Anyone can learn to make a particular style of ice cream with a little training, so no skilled labor is required. Salary in this format can be between Rs 30-40k depending upon the soft skills of the employees. You can use your restaurant POS to monitor your employees' performance and track their growth to ensure your ice cream sales increase in the long run.

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7. Keep continuity in the ice cream parlor business 

One thing that you must ensure when opening an ice cream business is consistency in taste. Whether you have an ice cream parlor or a chain of outlets, you must provide the same taste, quality and quantity in the ice cream portion that you sell.

Standardization of recipes is essential in ice cream parlours. If you have multiple outlets, you must make efficient use of Central Kitchen Management, which ensures easy distribution of your products from the base kitchen to different outlets. Use a specialized point of sales software that includes this feature, and helps you manage your inventory in addition to regular billing operations.

8. License and Paperwork Required to Open an Ice Cream Parlor

Since ice cream comes under the food category, all the licenses required are similar to a QSR – Shop Establishment License, FSSAI License, Local Municipal Authority License and Fire License.

50 thousand rupees are spent in all this. It is always advisable to take the help of a consultant to get all the necessary licenses. Since this process takes a lot of time and you can focus on other areas of the business.

Since ice cream is usually consumed as a dessert, the prime time for ice cream sales is after 9 pm. So get your ice cream parlor licensed for late night operations to be open till at least 1 am.

Here is a detailed guide on restaurant licenses required to open a food business in India and the steps to obtain them.

Ultimately, executing an ice cream business plan depends entirely on the unique flavors you sell, the right pricing, and a high-footfall market. So, if you have the right ice cream business plan, and apply the above-mentioned points diligently, you can be sure to have an overflowing cash register.

We hope that after reading this blog post your question is how to start ice cream business?(Ice-cream Business Ideas & Plan) What is plan and idea? You must have got the answer to all these easily.