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How to Start a Herbal Tea Production Company – Sample Business Plan Template

Do you want to start a herbal tea company from scratch? Or you need a sample herbal tea production business plan template? If YES, then i advice you read on. So you think you can blend? Well, that’s a good thing. The wholesale tea industry was worth a little over $7 billion dollars in 2009. At the time, there were over 2,300 tea rooms and shops in the United States of America.

The somewhat sudden increase in tea consumption particularly herbal tea is as a result of increased awareness on the need for healthier lifestyles and natural diet solutions. Starting a business in this area would involve a lot of time, capital and great marketing skill set.

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To start, you must be completely sure of what your herbal tea does and its side effects. “No side effects” you might say, but who else has consumed your tea besides from you and your family? This article is not meant to dissuade you from starting this business but to help you look critically at all angles to avoid unpleasantness down the road and ensure smooth sailing.

Starting a Herbal Tea Production Company – Sample Business Plan Template

Step 1

The first thing to do is offer samples to your friends and other people within your community. This has to be after you have made sure it is completely safe for consumption. Be sure all ingredients in it are completely safe and nontoxic.

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The fact is you might not experience any side effects drinking the tea but others might. So have as much people as you can drink it as possible and do all you can to ensure it has harmless or no side effects whatsoever.

Even if some harmless side effects are noticed, you should make a note of this, as it has to be clearly printed on the tea pack when it finally makes it to the market. If you notice adverse side effects, needless to say, go no further with this blend or extract. This would help save you from being slapped with lawsuits in the future.

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Step 2

If all goes well with your tests, the next step would be to research suppliers of tea leaves, bags and packaging. You would need to learn all the rules of labeling your herbal product. Even marketing herbal products have their rules. This can be a very intensive process but it is best to be thorough for a good foundation and cost effectiveness.

If you do something wrong, you would probably get slapped with a penalty or at the very least have to redo it all over again. The Food and Drug Administration monitors herbal tea strictly to ensure no false claims are made regarding their effects.

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Step 3

Next, select a Business Name for your herbal tea, buy a very specific domain name and pay for hosting. Design an attractive website. If you lack web design skills, you should hire a professional to do this for you. This is the safer option. Your website needs a professional touch to attract potential customers.

Believe it or not, “looks” are important. A bland and uninspiring website tells the story of bland and uninspiring products especially when your reputation dies not precede you. It’s just the way it works. Before you go any further, you should do your research on regulations on local, state and federal levels on herbal tea. Make some phone calls and make no assumptions. These regulations can vary by state or country so be sure to get specifics.

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Step 4

Starting a business can be capital intensive, so it’s understandable if you decide to start your herbal tea business from your home. However, many states require a permit before any kind of “food” can be prepared. Inspections from the local health department are also to be expected.

Following your research, you may find that having a separate area condoned off for your herbal tea business may be the best alternative. Be sure to call your state and local health agencies as well to get required information on regulations and permits for the herbal tea business. You also have to comply with local licensing and zoning laws. You could begin from your county area and also check with city clerks about information on this.

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Step 5

You would also have to do normal company start up related tasks such as business name registration, trademark registration, getting a sales tax certificate, insurance etc.Information you would require for registering your herbal tea business name can be found at

Step 6

Marketing your herbal tea business is essential to the success, growth and sustainability of your business. You can promote your herbal tea through internet advertising like Google Ads, Bing Ads, pay-per-click ads, social media marketing, direct sale to specialty tea shops, etc. The list is endless. If your herbal tea is truly good, chances are word of mouth and testimonials from users would help spread the word as well. You should also consider local arts and craft fairs to help spread the blend.