Looking to start a snow cone business? here is a complete guide to starting a snow cone business with no money and no experience .
Ok, so we’ve provided you with an example of a detailed business plan for a snow cone model. We also took it a step further by analyzing and writing a sample snow cone marketing plan backed by actionable guerrilla marketing ideas for snow cone manufacturing companies. In this article, we will cover all the requirements for starting a snow cone business. So put on your entrepreneur hat and let’s move on.
Why start a snow cone business?
Starting a snow cone business can be rewarding, especially if you position your snow cone kiosk / store in a strategic location where you can easily attract children and snow cone enthusiasts. The fact that kids love to pick up snow cones when they are in the park makes this one of those businesses that are in high demand and can be profitable.
A snow cone business is a business that an entrepreneur can successfully start on a busy street corner or in a mobile store without breaking into a bank for cash. At the same time, large investors can also take advantage of the high demand for snow cones in parks and schools to open their own snow cone stores at strategic locations in all key cities in the United States of America. .
Snow cone shops / kiosks can be located anywhere in town as long as there are children and even adults who love snow cones. Typically, kiosks and snow cone shops are located in schools, parks, shopping malls, hotel lobbies, train stations, bus stops, campuses and sports centers, as well as in all public places if you are allowed to find your snow cone kiosk or shop there. On the other hand, if you are running a mobile snow cone store, there will be no restrictions on where you can sell your snow cones.
The good thing about starting a snow cone business is that if you are diligent enough and have good business / marketing strategies, you can build a business from one point of sale to many point of sale. in different cities around the world. the sale of a franchise.
Opening a snow cone kiosk / store like opening any other business might not be easy, but one thing is for sure, it is a straightforward business that can generate huge and lasting profits if properly located. and managed properly. People often think that starting a snow cone business doesn’t require any professional skills; if so, you still need good business skills and of course customer service skills if you really want to build a profitable business.
Therefore, if you are planning to open a snow cone store, all you need is capital to buy or rent / lease a suitable facility (unless you are looking to buy a snow cone shop mobile), necessary equipment / utensils and furniture. You’ll also need some extra capital to buy an initial stock of different flavors, pay your employees for at least the first 3 months, and pay utility bills. These costs are called working capital.
Getting started with Snow Cone Business. The Complete Guide
- Industry overview
Snow cones are basically a variation of the crushed or crushed ice desserts commonly served in the United States and Canada in paper cones or foam cups. Dessert usually consists of ice shavings seasoned with sugar flavored syrup. Other snow cone flavors also include cherry, grape, blue raspberry, strawberry, lemon-lime, banana, tiger blood, root beer, watermelon, and pina colada, among others. .
The ice cream industry, to which the snow cone industry (crushed ice or crushed ice deserts) belongs, has come a long way and continues to grow with more and more Desert Snow Cone manufacturers bringing in new products. creativity in terms of flavors, packaging and marketing.
Like ice cream, snow cones are generally eaten by almost everyone on our planet, as well as anyone who decides to create a Snow Cone, who indulges in trucking, or travels all over the world, especially in regions. tropical or equatorial countries, will surely make a comeback. or its investment, if they do the right thing.
The ice cream / ice cream truck players, of which the Snow Cone company is a part, mainly produce different flavors: snow cone, ice cream, frozen yogurt and sherbet, etc. and sell their products in downstream markets such as retail and restaurant establishments.
Between 2010 and 2015, the performance of the ice cream industry declined, declining disposable income in the years after the recession forced consumers to buy less manufactured goods in retail stores, trucks and ice cream and food service establishments.
Additionally, the growing health concerns around us have forced many people to cut back on foods like snow cones and ice cream, which are naturally high in fat and sugar. Overall, industry revenues are expected to decline by an average of 0.3% per year to $ 8.0 billion over the next 5 years.
It is known that many ice cream and ice cream truck players have managed to overcome the economic downturn and develop strongly over the past five years, as healthy and nutritious snow cones and ice cream have become the one of America’s favorite frozen desserts.
Without a doubt, the growing popularity of the dessert has enabled the rapid growth of the franchise of famous brands in the industry, making the industry one of the biggest success stories in the restaurant business over the past decade. Both ice cream production and ice cream truck production have remained strong even as other segments the food supply weakened during the recession.
Statistics show that there are approximately three hundred and seventy-three (373) registered and licensed standard ice cream production facilities in the United States, including ice cream companies (including the production of snow cones), and can be found in all states, major cities and remote rural areas of the United States. … The industry employs about 18,474 people and rakes an average of $ 8 billion per year.
One of the significant advantages of starting a snow cone business is of course the low start-up cost, and entrepreneurs interested in starting a business can either rent or buy new equipment or use a mobile phone. Snow cone truck or run from a stationary facility (kiosk or store).
If you are planning to start your own snow cone business in the United States, you should make sure that you conduct a thorough market research and feasibility study. States in the southern region of the United States, such as Texas and Florida, among others, may be ideal for the snow cone truck industry simply because of the weather conditions. If you got some of the key factors wrong before you started your snow cone truck business, you will probably have a hard time staying afloat.
The snow cone business will continue to thrive because people will always want to take snow cones when they are thirsty and outdoors, especially in the summer. While the industry seems oversaturated, there is still plenty of room for budding entrepreneurs looking to open their own snow cone stores in the United States of America.
Beginning of the market study and the feasibility study of the snow cone
- Demography and psychography
The demographic and psychographic makeup of those who buy snow cones and associated desserts from snow cone stores encompasses all genders and age groups. Both men and women, adults and children consume snow cones, so the demographics of the snow cone industry cover it all.
The truth is, when it comes to selling snow cones and other frozen desserts, there is indeed a wide variety of customers available. Basically, your target market can be limited to not just a group of people, but anyone who lives in places where you have a snow cone store and has purchasing power.
Checklist of niche business ideas you can specialize in
It is important to note that there is not a single known niche in the snow cone sector, each player in this sense is mainly engaged in the preparation and service / sale of snow cones, ice cream, yogurts and possibly other frozen desserts.
Naturally, a regular store of snow cones is prepared and sold. all listed below;
- Sale of various flavors of snow cones (crushed ice or crushed ice deserts) such as cherries, grapes, blue raspberries, strawberries, lemon-lime, banana, tiger’s blood, root beer, watermelon and pina colada
- Sale of snacks
- Training, advisory and consultancy services
- Sell a franchise
The level of competition in the Snow Cone business
The truth is, regardless of the level of competition in the industry, if you have done your due diligence and promote your brand and your products or your business in the right way, you will always do. progress in the industry. Just make sure you prepare the different flavors of snow cones and frozen desserts that are on your menu well, you can provide great customer service and know how to reach and reach your target market.
There are several snow cone and ice cream stores, mobile food trucks and all other outlets that also sell snow cones and frozen desserts scattered across the United States. So, if you decide to start your own snow cone business in the United States, you will surely encounter fierce competition among these stores. Additionally, there are some big brands of snow cone stores that are setting trends in the industry and you should be ready to compete with them for customers.
List of famous brands in the snow cone industry
In all sectors, there are always brands that perform better or are better perceived by buyers and the general public than others. Some of these brands are the ones that have been around the industry for a long time, while others are best known for the way they run their business and the results they have achieved over the years.
Here are some of the major snow cone stores in the United States of America and around the world;
- Jerrys. Snow cones
- Shimmers Snow Cone Holder
- TC crushed ice
- Iceberg Dive Inn
- Sno-La Snowball Lounge
- Sno Biz Treats
- Chax Sno Cones
- Snoh Ice Shavery
- New Orleans Snowball Cafe
- “Oasis” lollipop
- Pelicans “Snoballs”
- Ice cap
- Sweet firefly
- Aunt Stella’s Snow Cones
- Snowy crushed ice
- Cardinal Snowcone
- Jacobs Snow cones and concessions
- Kona Ice San Angelo
- Snofell crushed ice
- AM Jolly Trolley Sno-Cone Factory
The snow cone business is not a green business, in fact you will come across several snow cone and ice cream shops, mobile food trucks and all the other shops that also sell snow cones and desserts frozen while traveling the city.
So, if you are planning your economic performance analysis, you need to conduct a thorough market research and assess what is needed to lease the premises where you need to open your snow cone store and how much is required to purchase machinery and equipment. for the production of a snow cone such as mixers, refrigerators, ice packs / shaving machines, coolers, assorted flavors and other materials, and running costs of the business.
Also, if you are considering starting a snow cone business, your concern shouldn’t be limited to cost. renting a store and buying machines and equipment for making snow cones, but also about branding and how to build a reliable customer base The truth is if you manage to create a strong customer base, you will maximize the profits of your business.
Start your Snow Cone boutique business from scratch or by purchasing a franchise
When it comes to starting a business like this, you have to pay to buy a successful, well-established snow cone store / brand franchise rather than starting from scratch. but it will certainly pay off.
But if you really want to build your own brand after proving your worth in the ice cream industry, you can just start your own snow cone business from scratch. The truth is, you will end up paying to build your snow cone store from scratch. Starting from scratch gives you the opportunity to conduct in-depth market research and feasibility studies before choosing a location to start your business.
Note that most of the big, successful snow cone stores started from scratch and were able to build a strong business brand. Business success requires dedication, hard work and determination and of course you can create your own snow cone store brand to become a successful brand with corporate and individual customers from all over town where your snow cone business is located. …
Threats and potential challenges you will face when starting a Snow Cone business
If you decide to start your own snow cone business today, one of the main challenges you are likely to face is having well-known snow cone and ice cream shops, as well as other items. vendors who also sell snow cones and frozen desserts. The only way to avoid this problem is to create your own market.
Some other issues and threats you might face are the economic downturn and unfavorable government policies. There is nothing you can do about these threats and challenges except to make sure that everything will be fine with you.
Start a legal business at Snow Cone
- The best legal entity to use in this type of business
Typically, you have a choice: either a limited liability company, a limited liability company commonly known as LLC, or even a sole proprietorship for a business like a snow store. Usually, the sole proprietorship should have been the ideal business structure for a small snow cone sales business, especially if you are starting out with little start-up capital in a small area and with only one exit.
But people prefer the limited liability company for obvious reasons. In fact, if you intend to grow your business and have snow cone chain stores in the United States of America and elsewhere in the world through franchising, then choosing a sole proprietorship is not an option for you. A limited liability company, LLC, or even a general partnership will do this for you.
Setting up an LLC protects you from personal liability, so if something goes wrong in the business, only the money you put into the limited liability company is at risk. Limited liability companies are simpler and more flexible to manage, and you don’t need a board of directors, shareholder meetings or other management formalities.
Here are some of the factors to consider before choosing a legal entity for your snow cone store; limitation of personal liability, ease of transfer, acceptance of new owners, investor expectations and of course taxes.
If you take the time to critically examine different legal entities, you agree that a limited liability company; LLC is the most appropriate. You can start this type of business as a Limited Liability Company (LLC) and in the future turn it into a “C” corporation or an “S” corporation, especially if you are planning to go public.
Eye-catching business name ideas suitable for snow cone businesses
When it comes to choosing a name for your business, you need to be creative because whatever name you choose for your business will go a long way in creating a perception of what the business is all about. It is generally the norm for people to follow the trend of the industry in which they intend to operate by naming their business.
If you are thinking of starting your own snow cone business, here are a few catchy names you can choose from;
- People’s Delight®, LLC Snow Cone
- Brownie D ‘Bear®, Snow Cone Store, LLC
- Mobile Truck Tippy Tapa® Ice Dessert, Inc.
- Dine Ventures® Snow Cone Shop, Inc.
- Mainlanders® Snow Cone Shop, Inc.
- Chris – Cross ™ Ice Dessert Shop, Inc.
- Back Street © Snow Cone Shop, Inc.
- Clear Prism ™, Snow Cone Shop LLC
- Gusto Great © Snow Cone Shop, Inc.
- Cassandra Butler © Ice Desert Shop, Inc.
In the United States and most countries around the world, you cannot run a business without having certain basic insurance policies required by the industry in which you want to operate. Thus, it is important to establish an insurance budget and possibly consult an insurance broker to help you select the most suitable insurance policies for your snow cone business.
Here are some of the basic insurance policies that you should consider when buying if you want to open your own snow cone store in the United States of America;
- General insurance
- Medical / health insurance
- Liability insurance
- Workers compensation
- General disability insurance
- Group insurance for business owners
- Payment protection insurance
Protection of intellectual property / registered trademark
If you are planning to start your own snow cone business, you generally won’t need to file for IP protection. This is because the nature of the business allows you to successfully run your business without any reason to challenge anyone in court for illegal use of your business intellectual property.
But if you just want to protect your company logo and other documents or software of your own, or even jingles and multimedia production concepts, you can apply for intellectual property protection. If you want to register your trademark, you must initiate the process by filing an application with the USPTO.
Do I need professional certification to do business with Snow Cone?
When it comes to a snow cone manufacturing business, you don’t need to go through any formal training or special certification before you can get permission to open and operate a snow cone business. snow in the United States of America and around the world. All you need is some informal training to help you understand how to make different types of snow cones and other frozen desserts and run your business effectively.
List of Legal Documents You Need to Start a Snow Cone Business
The essence of having the necessary documentation before starting a business in the United States of America cannot be overstated. It is a fact that you cannot conduct business successfully in the United States without proper documentation. If you do this, it won’t be long before the long arm of the law reaches you.
Here are some basic legal documents that you must have in place if you want to legally operate your own snow cone business in the United States of America;
- Registration certificate
- Business license
- Tax identification number / Tax identification number
- Food and Beverage Supplier Certificate
- Health examination certificate
- District proof of identity issued to the food and beverage manager
- Copy of the technical support center license and / or recent inspection report
- Business plan
- Non-disclosure agreement
- Employee Handbook
- Employment contract (letters with proposals)
- Operating Agreement for LLC
- Insurance policy
- Online Terms of Service (if you also operate an online store)
- Company charter
- Memorandum of Understanding (MoU)
- Construction license
- Franchise or brand license (optional)
Funding for the Snow Cone Shop company
Starting a snow cone store business can be profitable, especially if you choose to start small by setting up a small snow cone store on a street corner Provide a standard, well-located store and purchase cone making machines snowmobiles (mixers and mixers), refrigerators, ice / ice shavers, coolers, various snow cone flavors and other consumables are some of what consumes most of your startup capital.
If you decide to start a large-scale business, you will need to find a source of funding to fund the business as it is expensive to start a standard large-scale snow cone business.
Without a doubt, when it comes to financing a business, one of the first and perhaps the main factors to consider is writing a good business plan. If you have a good, achievable business plan document, you might not have to work hard before convincing your bank, investors, and friends to invest in your business.
Here are some of the options you can explore when looking for start-up capital for your snow cone business;
- collect money from personal savings and sell personal stocks and property
- collect money from investors and business partners
- Sell shares to interested investors
- Apply for a loan from your bank
- Transfer your business idea and apply for business grants and seed funding from donor organizations and angel investors
- Source of loans on favorable terms from your family and friends.
Choosing the right location for Snow Cone
When it comes to choosing a location for your snow cone store, you usually need to be guided by the demand for snow cones and other frozen desserts and easy access to bulk purchases of cone flavors. fresh snow directly from wholesale stores / distributors. Of course, if you can manage to provide a central location for your snow cone store, it will give people easy access to your store.
You cannot overestimate the location you have chosen to open your snow cone store. the business is the key to the success of a business, so entrepreneurs are ready to rent or rent an object in a visible place; a place where the demographics are made up of people with the necessary purchasing power and lifestyle.
If you make the mistake of renting or leasing a facility for your snow cone store in an inconspicuous or hidden location, just because it is cheap, then you should be prepared to spend more to promote your business and possibly give directions to potential clients.
Here are some of the key factors to consider before choosing a location for your snow cone business;
- Location demographics
- The demand for snow cones and other frozen desserts on the site
- The purchasing power of the inhabitants of the place
- Location availability
- A number of snow cone, ice cream, mobile food truck stores, etc. and all the other outlets that also sell snow cones and other frozen desserts in this place.
- Local laws and regulations in the community
- Traffic, parking and security
Technical staff handling Snow Cone Business Human resources
On average, no special technology or equipment is needed to run a business of this type, except for a snow cone making machine (mixers and mixers, dishwasher, refrigerator, etc.), d ” storage equipment (garbage cans, dish racks, shelves, etc.), counter equipment (counter, sink, ice maker, etc.), computers and receipt machines, sound system (for listening to music ), point of sale (POS) machines, CCTV cameras and flat screen TVs. In addition, you will definitely need computers / laptops, internet, telephone, fax machine, and office furniture (chairs, tables and shelves), all of which can be used fairly.
When it comes to renting or buying a property outright, the choice depends on your financial situation, but the truth is, to be safe it is advisable to start with a short term lease / lease when a test of the company on site. If everything works as expected, then you take a long term lease or a full purchase of real estate, and if not, go find another ideal location / object for such a business.
When it comes to hiring employees for a standard snow cone company with more than one outlet, you need to plan for hiring a knowledgeable CEO (you may be in this role), an administrator and a human resources manager, a product manager, a store manager. Snow Cone Machine Operators, Sales and Marketing Manager / Sales and Sales Managers, Accountant and Cleaners. Here are some of the key people you can work with. On average, you will need at least 5-10 key employees to run a small, standard snow cone business.
Service process associated with the Snow Cone activity
When it comes to the business service process in a snow cone store, there are no hard and fast rules. Basically, it is the responsibility of the purchasing manager to help the organization to buy different flavors and packaging materials, he goes there to find great buying deals, and he also makes sure that he doesn’t buys only at the right prices which guarantee him a good profit.
Once the snow cone business is operational, snow cones and other frozen desserts are prepared and are listed on the menu. Snow cones and other frozen desserts purchased from a snow cone store are usually taken away because they cannot accommodate all of their customers at one time.
It is important to clarify that the snow cone workshop company may decide to improvise or adopt business processes and structures that will ensure their efficiency and flexibility; The above business process for the Snow Cone Shop is not a rock.
Starting a snow cone business. Marketing plan
- Marketing ideas and strategies
Generally, running a business requires being proactive when it comes to marketing your products or services. If you decide to start a snow cone business, you need to make every effort to use strategies that will help you attract customers, otherwise you will be more likely to struggle with the business as there are some well known brands out there that determine the direction of the snow market. cone shop.
Here are some ideas and marketing strategies that you can use for your snow cone business;
- Introduce your snow cone store by sending cover letters with your brochure to corporate organizations. car owners, taxi companies, transport companies, households, sports organizations, gyms, schools, socialites, celebrities and other key players in the town where the snow cone store is located.
- Advertise online on blogs and forums, as well as social media like Twitter, Facebook, LinkedIn to get your point across
- Create a basic website for your business to give your business an online presence
- directly advertise your products
- Occasionally take roadshows to targeted communities to advertise your snow cone business
- Join local snow cone trade associations for industry trends and advice
- Give your customers discount days
- Promote your business in local newspapers, local TV and radio stations
- List your business on the classifieds yellow pages (local directories)
- Encourage the use of word of mouth marketing (referrals)
Factors to Help You Get the Right Product Price
One of the key factors to help you sell your snow cones and other frozen desserts at super low prices is purchasing your ingredients / suppliers. It is directly from wholesalers in fairly large quantities. The truth is, the more items you buy direct from wholesalers, the less you buy them.
Another strategy to help you retail your snow cones and other frozen desserts and more at the right price. This means that you will keep your operating costs to a minimum, focus your efforts on marketing and promoting your brand. Besides helping you save on costs, it will also help you get the right prices for your products.
Possible competitive strategies to win over your competitors
Having different flavors of snow cones and other frozen desserts in your snow cone store, your business process and of course your pricing model are all part of what you need to stay competitive in the industry.
Another possible competitive strategy to win over your competition in this particular industry is to build a reliable customer base. Also make sure that your organization is well positioned, that key members of your team are highly skilled, and that the different flavors of snow cones and other frozen desserts listed on your menu can compete favorably with some of the best in the store line of snow cones.
Strategies to increase awareness of the Snow Cone brand and create a corporate identity
If you intend to start a snow cone business, take it out of the city business in which you intend to operate to become a national and international brand by opening chain stores and snow cone franchises, then you should be prepared to spend the money to promote and advertise your brand.
No matter what industry you belong to, the truth is that the market is dynamic and it takes ongoing brand awareness and promotion to continue to attract your target market. Your corporate identity has a lot in common when it comes to building a profitable and sustainable business.
Here are the platforms you can use to build your brand awareness and brand identity for your snow cone business;
- Advertise in both print media (newspaper and food and drink). magazines) and electronic media platforms
- sponsor relevant social events
- use on the Internet and social networks such as; Instagram, Facebook, Twitter, YouTube, Google + and more. To promote your snow cone activity
- Install your billboards in strategic locations in the city or state
- Take tours from time to time to visit targeted areas to learn more about your snow cone business
- Distribute brochures and flyers to targeted areas
- Contact businesses, car owners, taxi companies, transport companies, households. sports organizations, gyms, schools, community organizations, celebrities and other key stakeholders throughout town where your snow cone store is located, educating them about your snow cone business and the flavors of snow cones and frozen desserts you you sell
- List your snow cone business in local directories / yellow pages
- Promote your snow cone business on your official website and use strategies that will help drive traffic to your site.
- Place our Flexi banners in strategic locations where your business is located.
- Make sure all your employees are wearing your branded shirts and that all your vehicles and trucks / vans are properly branded with your company logo etc.