# Setting up a food business help please!



## Rachie_h1988 (Apr 7, 2013)

Hi everyone!

I'm moving to Estepona in September and am hoping to set up a cupcake business in the area. I was thinking of doing market stalls but know there are a lot of pitfalls. Could someone tell me exactly what I need to do and how long it will take. I know I need to register autonomo but how much is this. I also know selling food is a minefield along with securing market pitches. I have access to a commercial kitchen so this won't be a problem. Any help is greatly appreciated!

Thanks in advance


----------



## Pesky Wesky (May 10, 2009)

Rachie_h1988 said:


> Hi everyone!
> 
> I'm moving to Estepona in September and am hoping to set up a cupcake business in the area. I was thinking of doing market stalls but know there are a lot of pitfalls. Could someone tell me exactly what I need to do and how long it will take. I know I need to register autonomo but how much is this. I also know selling food is a minefield along with securing market pitches. I have access to a commercial kitchen so this won't be a problem. Any help is greatly appreciated!
> 
> Thanks in advance


Here are a couple of past threads
http://www.expatforum.com/expats/sp...ing-spain/31679-market-stall-information.html

http://www.expatforum.com/expats/sp...iving-spain/39646-benidorm-market-stalls.html

I've seen a lot of courses about making and icing cup cakes recently and last week heard of a ckae shop specialising infancy cakes opening up in a town near here, Boadilla I think it was. Seems to be a bit of a craze atm. However I can't see it doing well in the heat (it's still very cold here) and I can't imagine how the product would fare on a market stall.


----------



## baldilocks (Mar 7, 2010)

You will need, at the very least

a food handling permit
licences
trading permit(s) from the ayuntamiento(s) in whose areas you will be trading


----------



## thrax (Nov 13, 2008)

There is a very successful cupcake store in Caleta de Velez near Torre del Mar called Costa CupCakes - website is Sobre - Costa Cupcakes


----------



## Rachie_h1988 (Apr 7, 2013)

Much appreciated guys I will check that put. Thank you


----------



## Rachie_h1988 (Apr 7, 2013)

I don't suppose anyone knows the rules on car boots do they? Do I need a license to trade there or is it still just a show up early thing? Also what are the rules on food selling? I know people do it but wonder what the rules are.

Thanks guys


----------



## snikpoh (Nov 19, 2007)

Rachie_h1988 said:


> I don't suppose anyone knows the rules on car boots do they? Do I need a license to trade there or is it still just a show up early thing? Also what are the rules on food selling? I know people do it but wonder what the rules are.
> 
> Thanks guys


I haven't yet seen a car boot sale in Spain - do they even exist?


I think the closest are open street markets. For these you need to pay for the pitch. I'm not sure about food licences though.


----------



## Rachie_h1988 (Apr 7, 2013)

There's a couple near where I'll be moving too, very basic compared to the nice street markets unfortunately! But obviously the pitches are a lot cheaper so at the start I think this may be my best option. Thanks though


----------



## thrax (Nov 13, 2008)

There is a big car boot in Nerja. There is also a Framer's market in Trapiche which used to sell a lot of food products but had to stop because they didn't have the correct food licences. There is another to the West of Nerja at the Boatyard Bar and they are selling food products but I don't know if they have the licences or not. Probably they do as the Bar sell food anyway so they are probably covered. Also, as far as I know, the seller has to have the Spanish equivalent of a hygiene licence.


----------



## baldilocks (Mar 7, 2010)

Rachie_h1988 said:


> I don't suppose anyone knows the rules on car boots do they? Do I need a license to trade there or is it still just a show up early thing? Also what are the rules on food selling? I know people do it but wonder what the rules are.
> 
> Thanks guys


Same rules apply for selling foodstuff no matter where or how - food handling permits/licences. Boot sales and markets are usually policed by Policía Local who will not know details about the requirements except that you must have the various permits and licences.


----------



## mrypg9 (Apr 26, 2008)

I live near Estepona and am wondering how well you know the area. All that has been said about licences etc. is very true but have you researched this area with specific regard to the type of business you want to start?

Estepona is a predominantly Spanish town and its tourists are mainly Spanish,although there is an established British immigrant community in the port area. But I'm guessing you know that.

Spaniards and some Brits undoubtedly have a sweet tooth but I'm not sure if that's the case when the weather is scorching!


----------



## webmarcos (Dec 25, 2012)

Rachie_h1988 said:


> Hi everyone!
> 
> I'm moving to Estepona in September and am hoping to set up a cupcake business in the area. I was thinking of doing market stalls but know there are a lot of pitfalls. Could someone tell me exactly what I need to do and how long it will take. I know I need to register autonomo but how much is this. I also know selling food is a minefield along with securing market pitches. I have access to a commercial kitchen so this won't be a problem. Any help is greatly appreciated!
> 
> Thanks in advance


Hello,
I've been conducting interviews on my website with business owners overcoming the crisis in Spain, and there are some common themes appearing that you may wish to consider in your venture:

i ) Make sure to ask other people already in the same business for hints, tricks and pitfalls

ii ) The use of social networks in creating low-cost but effective publicity

iii ) Effective market research before you embark on this. Do you know if there will be a demand for this? You may find there really isn't a demand - although you may test the waters first at a car boot sale, or even come to an arrangement with a bar owner?

iv ) Make sure your web and sales literature is available in several languages - you may get vital Spanish or even Russians interested.

Good luck with whatever you choose to do, but please establish likely demand before starting out.


----------



## mrypg9 (Apr 26, 2008)

webmarcos said:


> Hello,
> I've been conducting interviews on my website with business owners overcoming the crisis in Spain, and there are some common themes appearing that you may wish to consider in your venture:
> 
> i ) Make sure to ask other people already in the same business for hints, tricks and pitfalls
> ...


The most sensible advice I've come across for immigrants hoping to start businesses in Spain....well, everywhere!


----------



## Megsmum (Sep 9, 2012)

I make bake and decorate cakes here in the UK - hobby not living - however i have been asked on occasions to make and sell birthday, wedding and cupcakes for friends, I have never understood how anyone can make a living from this. I have a wholesalers card - and even then the base costs v profits are negligible, if any when you calculate time ingredients, power etc I am not saying it cannot be done, because there are lots of cupcake shops around, however they sell at a minimum of £2-£3 per cake from a shop, how they make profits on that is beyond me. Not one for negativity but I do hope this is not your only income?


----------



## Rachie_h1988 (Apr 7, 2013)

webmarcos said:


> Hello,
> I've been conducting interviews on my website with business owners overcoming the crisis in Spain, and there are some common themes appearing that you may wish to consider in your venture:
> 
> i ) Make sure to ask other people already in the same business for hints, tricks and pitfalls
> ...


That is great advice I really appreciate it! Will take it all on board! And yes Cambio I was hoping it would be my main income. I know it won't be much but will do as good a break even etc as I can to work it out! Much appreciated everyone xx


----------



## jojo (Sep 20, 2007)

Rachie_h1988 said:


> That is great advice I really appreciate it! Will take it all on board! And yes Cambio I was hoping it would be my main income. I know it won't be much but will do as good a break even etc as I can to work it out! Much appreciated everyone xx


hhmmm, I cant think that you'd earn enough to cover your monthly autonomo bill, let alone all of the other costs. So I would imagine that breaking even would be something that would be a good few years into the future. So bring a good financial buffer with you - sorry to sound negative, but I have seen friends in this line of work lose everything

Jo xxx


----------



## Rachie_h1988 (Apr 7, 2013)

Yeah I can imagine it's extremely difficult. Autonomo is a nightmare  I am currently saving half my wage a month until I move so should have my living expenses covered for about 5 months at first. 

Thanks


----------



## jojo (Sep 20, 2007)

Rachie_h1988 said:


> Yeah I can imagine it's extremely difficult. Autonomo is a nightmare  I am currently saving half my wage a month until I move so should have my living expenses covered for about 5 months at first.
> 
> Thanks


 I hope thats enough. My friend was a master baker and sold a business in the UK, and had loads of money - buying a house cash in Spain, so he didnt have to worry about rent (which he now cant sell). He had to have licences from Sanidad (the overseeing company for food prep) - which cost a fortune to set up and maintain and then there was the autonomo....! He tried it for 3 years and then went back to the UK, never to be heard of again - even by his wife, who helped him and now seems to have all of the debts too!!!!

I guess, as I say, this sort of thing makes me nervous because of that! Make sure you have something special to offer, I dont know what, cos my friend did anything and everything, but maybe he didnt give it that extra .... whatever???!

Jo xxx


----------



## thrax (Nov 13, 2008)

The cupcake shop in Caleta de Velez is making a fortune. I recommend you get in touch with her as she has clearly nailed it and knows exactly how to operate the business. I suspect she will help you as you won't be offering her any competition where you intend to setup. It just might be possible to work with her (not really a franchise but that sort of thing) or she might herself be part of a franchise, I just don't know.


----------



## Pesky Wesky (May 10, 2009)

On the offer sites like Letsbonus, groupon, offerum etc they are advertising courses to do this kind of thing non stop and as I said before I know of a shop that's just opened near here. I think the idea is growing, but I can't see it working as a market stall, and especially in the heat.


----------



## Rachie_h1988 (Apr 7, 2013)

thrax said:


> The cupcake shop in Caleta de Velez is making a fortune. I recommend you get in touch with her as she has clearly nailed it and knows exactly how to operate the business. I suspect she will help you as you won't be offering her any competition where you intend to setup. It just might be possible to work with her (not really a franchise but that sort of thing) or she might herself be part of a franchise, I just don't know.


Brilliant! I will email them now thanks a million x


----------



## justjane (Aug 18, 2012)

Hey Rachel,
First of all, whatever you decide, I hope all goes well, and you don't have
to cut thro too much red tape. 

There are car boot sales in Spain Rachel, but they are not comparable to massive events you find in the UK. 

I think your main problem will actually be heat, with high fat content in both the cake and the icing, you are going to have to be careful.

Hope all goes well and good luck. xxx


----------



## Karen58 (Aug 1, 2012)

This is something I have looked into myself.. You need to register as self-employed and get a trading licence for local markets from the various townhalls.. (long waiting list). Then when you get a licence the market managers of the individual markets will have the final say on whether you can sell foodstuff on their markets.. this depends on what is already existing on the market and any private agreements made with them. Competition is something that is not embraced with any generosity with regard to food as most rastros/markets are perceived for the selling of clothes etc... getting a shop would be the most straight forward option.


----------



## mickbcn (Feb 4, 2013)

As a "spanish" I would like to sugest you that before start your business talk with a gestor and ask how much you must pay in autónomos taxes licenses Iva council etc etc. then ask how much you must pay for the bills of electricity water gas..I have not idea in Andalucia but in Catalunya is very expensive. maybe is similar but...
I recomend you follow the instructions of Rachie_h1988.


----------



## webmarcos (Dec 25, 2012)

If you can, watch the video on this Beeb link - includes a cupcake business that is expanding (but for how long, we know not)

BBC News - Can start ups save Spain's economy?


----------



## Pesky Wesky (May 10, 2009)

webmarcos said:


> If you can, watch the video on this Beeb link - includes a cupcake business that is expanding (but for how long, we know not)
> 
> BBC News - Can start ups save Spain's economy?


Interesting.
Thanks for posting!

Spain traditionally was made up of small family firms.
Nowadays many of these have been taken over by international firms like Nestlé, Proctor and Gamble, Starbucks and the like or "big" national companies like El Corté Inglés.

Maybe there'll be a return to small business in the future?


----------



## Aron (Apr 30, 2013)

Rachie_h1988 said:


> Hi everyone!
> 
> I'm moving to Estepona in September and am hoping to set up a cupcake business in the area. I was thinking of doing market stalls but know there are a lot of pitfalls. Could someone tell me exactly what I need to do and how long it will take. I know I need to register autonomo but how much is this. I also know selling food is a minefield along with securing market pitches. I have access to a commercial kitchen so this won't be a problem. Any help is greatly appreciated!
> 
> Thanks in advance


Having owned a food and catering business, there would be many regulations to adhere to in the UK. However, I have no idea about Spain. You will certainly need the correct legal advice from your Abogado and your gestoria.
Please bear in mind, you will need liability insurance which is essential, just in case of anything untoward happening to your customers from eating something they shouldn't. The problem may not be caused by you, but as you are running the business, you will be the ones bearing the brunt, so to speak.
In my village there are all sorts of food businesses opening, but many close because there is too much competition. If you start any business, you must do your research and plan accordingly. If you are specialising in just one product, then you must find an area where no one else is selling the same product. It is always beneficial to diversify.


----------

