Starting a protein powder company requires many things to consider before you even begin, from the type of protein powder to sell to the business model you will use. This article will outline the basics of starting a protein powder company and what you need to do in order to succeed.
Here are nine steps you can take to get started on building your very own protein powder business.
Nine Steps to Launching a New Protein Powder Business
1. Name Your Protein Powder Business
Give your protein powder business an identity so people will consider it a well-known and respected brand. You can take the name of your protein powder business from your industry, focus on a geographical location, or use your own name, among other options.
The main goal for naming your protein powder business is to make it sound appealing and trustworthy so customers will want to purchase your products.
2. Determine Your Protein Powder Business Model
There are several possible types of business models for a protein powder business, including:
- Online Storefront
- Brick and mortar Supplement Retailer
- Franchise Model
- Direct to Consumer
No matter which model you choose, ensure it aligns with your business goals and the products you offer.
3. Choose a Legal Form for Your Business
By incorporating your protein powder business, you will limit your liability. You can incorporate as a Limited Liability Company (LLC), a C Corporation (C-Corp), or an S Corporation (S-Corp). Or you can operate as a sole proprietorship.
The business structure you choose for your protein powder business will determine the taxes you pay and which state or federal tax forms you need to file.
Read our article comparing the most common protein powder business structures.
4. Write a Protein Powder Business Plan
All protein powder business owners should develop a business plan.
A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business. The business plan should include information on the company’s products or services, market analysis, financial projections, and management team.
When developing your protein powder business plan and strategy, you should think about the following questions your customers might have:
- What is the difference between a protein powder and a supplement?
- What are the health benefits of protein powders?
- Do I need to take protein powder if I eat meat and other animal products?
- How often should I take a protein powder to see results?
- Can I take too much protein powder?
- What are the different types of protein powders available?
- Whey protein, casein protein, and soy protein – what’s the difference?
- Which protein powder is best for me – whey, casein, or soy?
- I’m a vegan – are there any protein powders that are suitable for me?
- What is the best way to take a protein powder – with water, milk, or juice?
- When is the best time to take a protein powder – before or after exercise?
- Should I take protein powder if I’m trying to lose weight?
- Are protein powders safe?
- What are the side effects of taking protein powder?
- How much protein powder should I take per day?
- What is the recommended dosage of protein powder?
- How long does it take for protein powder to work?
- Do I need to cycle off protein powder?
- What are the signs of an allergic reaction to protein powder?
- What should I do if I have an allergic reaction to protein powder?
Read our article about how to write a protein powder business plan.
5. Apply for the Necessary Permits and Licenses
There may be required licenses and permits you need to obtain before launching your protein powder business.
For example, if you will be manufacturing your own protein powders, you will need to obtain a food manufacturer’s license from the FDA. And if you plan on selling your products online, you will need to comply with e-commerce laws and regulations.
You must also register your protein powder business as a legal entity with the state where you plan to do business. You can simply file an online form through your Secretary of State website.
Registering with the federal government is also essential so you can properly pay taxes for your business. You will also need an Employer Identification Number (EIN), which you can apply for at the IRS website, if you plan to hire employees.
Read our article about obtaining the proper protein powder business licenses.
6. Determine Your Budget & Apply for Funding as Needed
In developing your protein powder business plan, you will figure out how much funding you need to start and grow your business.
If you have funds to invest in your protein powder business, you may consider taking advantage of that. In addition to your funds, other forms of potential funding for your protein powder business include traditional bank loans, SBA loans, credit cards, angel investors and family and friends.
Read our article about the costs associated with starting a protein powder business to help you determine if funding is needed.
Read our article about how to fund your protein powder business.
7. Get the Technology & Software Needed to Run Your Business Efficiently
When you start your protein powder business, it’s essential to have the right technology in place to maximize efficiency. You need a computer with Internet access, and accounting software for tracking expenses and revenues.
You may also want to invest in online marketing tools and software and a customer relationship management (CRM) system to help you manage your customers and sales.
8. Market Your Protein Powder Business to Potential Customers
Before selling your products, you must let the world know you exist. The first step is to create a website so people can learn more about your products and how they benefit them.
After you launch your website, start promoting it through social media channels like Facebook, In. Also consider networking with other people in the protein powder industry through social media and blogs so they can help share your business.
You also need to start gathering the materials needed to execute on your promotions strategy, which is your strategy for attracting new customers. Protein powder businesses should consider the following promotional strategies.
- Sponsoring or participating in fitness events and competitions
- Distributing free samples to potential customers
- Offering discounts to customers who purchase multiple protein powder products
- Creating interesting and engaging content about protein powders on social media and blogs
- Partnering with health-oriented businesses to cross-promote products
9. Get New Customers & Grow Your Business
When you promote your products, you’ll start to get interest from potential customers.
Make sure you’re ready to serve these customers. Also, be sure to establish systems to ensure consistency and reduce costs. And be sure to find and train the right people to help you grow your protein powder business.
Read our article about how to effectively grow your protein powder business to learn more.
Starting a Protein Powder Business FAQs
Why Start a Protein Powder Business?
Protein powders are a billion-dollar industry, and there is always room for new businesses. If you’re passionate about health and fitness and have a great business idea, starting a protein powder business could be an excellent opportunity for you.
What is Needed to Start a Successful Protein Powder Business?
To start a successful protein powder business, you need a great product, the right technology, and software, an efficient manufacturing process, a clear marketing strategy and passionate and knowledgeable employees. You also need to be able to fund your business.
How Can I Start a Protein Powder Business From Home?
You can start a protein powder business from home by setting up a small manufacturing operation in your garage or basement. You’ll need to get the right technology and software, find reliable suppliers and invest in marketing your business.
When you establish your home office and workspace, ensure that you also have the proper permits and licenses. Lastly, research the home-based business regulations in your city or state.
Where Can I Find a Simple Checklist for Starting a Protein Powder Business?
A simple checklist to use when starting a protein powder business is as follows:
- Name Your Protein Powder Business: This should be done with care, as your brand is important for attracting the right customers. A simple, memorable name will go a long way.
- Choose a Legal Form for Your Business: Whether you become a sole proprietorship, partnership, LLC, corporation or another option will depend on your business. Ensure that you are aware of all the implications of each type.
- Determine Your Protein Powder Business Model: Determine how your business will make money. Will you sell products, services, or a combination of both?
- Write a Protein Powder Business Plan: Your business plan will also help you determine what your start-up costs will be and will provide a roadmap with which you can launch and grow.
- Apply for the Necessary Permits and Licenses: In most locations, you will be required to apply for a business license and permits before you can begin operations.
- Determine Your Budget & Apply for Funding as Needed: You will need to know how much money you have to spend on all of your business-related expenses before opening any doors. If needed, apply for a small business loan or other funding options.
- Get the Technology & Software Needed to Run Your Business Efficiently: You need the right tools to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
- Market Your Protein Powder Business to Potential Customers: A solid marketing plan will be crucial to your success. It should focus on attracting the right customers so that you can provide them with the products they truly need.
- Get Customers & Grow Your Business: Once you have a solid marketing plan, it's time to actively pursue and secure those who could benefit the most from your products.
How Can I Start a Protein Powder Business Online?
You can start a protein powder business online by creating a website and social media accounts. You’ll need to invest in marketing your business and creating engaging content. You should also consider partnering with other businesses in the protein powder industry to cross-promote products.
When establishing your online presence, ensure you have the proper permits and licenses. Lastly, research the e-commerce regulations in your city or state.
What are Some Tips for Starting a Protein Powder Business?
Here are some tips for starting a protein powder business:
- Research the protein powder market and find a niche
- Develop a strong business plan
- Get the right technology and software
- Find reliable suppliers
- Invest in marketing your business
- Create engaging content
- Partner with other businesses in the protein powder industry
- Get the proper permits and licenses
Where Can I Find a Simple Checklist for Starting a Protein Powder Business?
A simple checklist to use when starting a protein powder business is as follows:
- Name Your Protein Powder Business: This should be done with care, as your brand is important for attracting the right customers. A simple, memorable name will go a long way.
- Choose a Legal Form for Your Business: Whether you become a sole proprietorship, partnership, LLC, corporation or another option will depend on your business. Ensure that you are aware of all the implications of each type.
- Determine Your Protein Powder Business Model: Determine how your business will make money. Will you sell products, services, or a combination of both?
- Write a Protein Powder Business Plan: Your business plan will also help you determine what your start-up costs will be and will provide a roadmap with which you can launch and grow.
- Apply for the Necessary Permits and Licenses: In most locations, you will be required to apply for a business license and permits before you can begin operations.
- Determine Your Budget & Apply for Funding as Needed: You will need to know how much money you have to spend on all of your business-related expenses before opening any doors. If needed, apply for a small business loan or other funding options.
- Get the Technology & Software Needed to Run Your Business Efficiently: You need the right tools to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
- Market Your Protein Powder Business to Potential Customers: A solid marketing plan will be crucial to your success. It should focus on attracting the right customers so that you can provide them with the products they truly need.
- Get Customers & Grow Your Business: Once you have a solid marketing plan, it's time to actively pursue and secure those who could benefit the most from your products.
Summary
Starting a protein powder company can be a successful venture by following the right tips and advice. Research the market, get the necessary permits and licenses, and invest in marketing your business. With a strong strategy in place, you’ll be well on your way to launching a successful protein powder company.