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Where You Make It

5 min read · Making It and Moving It

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Everything before this lesson could be planned at a desk. This is where the business gets physical. There are three places a packaged food product gets made, and your career in this industry is mostly the timed transition between them.

Stage one is the rented shared kitchen. You book hours, bring ingredients, and make product under the facility's license and your own product registration. The economics from "Capital: The Lean Entry and the Ladder" apply: fifteen to forty-five dollars an hour nationwide, most commonly twenty to thirty. What the hourly rate hides is scheduling. Shared kitchens are busiest nights and weekends because food trucks and caterers use them too, and one operator described four-to-five-hour evening sessions, four or five nights a week, alongside a day job, capped around four hundred units a week by space and hours rather than demand. Kitchens also cap you in subtler ways: storage, oven time, and the operator's willingness to work around your growth. That operator changed kitchens repeatedly, sometimes for bad fits, more often because growth outran each kitchen's space. Treat a shared kitchen like an apartment: adequate now, wrong eventually, and worth leaving on good terms because your next co-packer will ask where you learned your process.

Stage two, for some brands, is a dedicated facility of your own. Ignore it for now. It is a capital event with rent, equipment, inspections, and staffing, and the brands that do it well do it from proven volume. Stage three is the co-packer: a contract manufacturer that makes and packages your product to your specification. You trade control and minimums for volume, consistency, and your own hours back.

Finding a co-packer is a sourcing project, not a search. Trade associations for your category maintain member lists, and trade shows put dozens in one hall. The quiet trick operators share: call the manufacturers of the equipment your product needs, the filler, the retort, the bag sealer, and ask who else runs their machines. Their client list is your shortlist. When you call, the screening questions are the ones "The Legal Kitchen" primed you for:

Co-packer screening call

Have they made a product like yours before, at what volumes, for whom?
What are the true minimums per run and per SKU, and what does a changeover between your flavors cost?
Who owns and sources ingredients and packaging, you or them, and who pays freight in?
What food-safety certifications and audits do they hold, and will they share the certificate your retailers will demand?
Do they make it themselves on their line, or broker it to a third facility?
What is the tolling or per-unit fee, and what is not included?

That last question matters because co-packing deals come in two shapes. In a full-service deal they buy ingredients and sell you finished goods at a unit price. In a tolling deal you supply ingredients and packaging and pay a fee for the machine time and labor. One operator's tolling arrangement ran about twelve hundred dollars per production run at two dollars forty a case with a four-thousand-unit minimum, ingredients shipped in at his cost, warehousing included. Both shapes work; what breaks brands is not reading which one they signed. Whichever you sign, your recipe must become an SOP written by weight, not volume measures or taste, because cups compress and spoons vary, and the co-packer's line will not pause for your intuition.

When do you switch from making it yourself to having it made? The honest trigger is arithmetic, not ambition: when the hours you spend producing exceed the hours you spend selling, or when a single order's size would occupy your kitchen for a month, the co-packer conversation starts. Moving earlier buys you time to sell; moving later means turning down orders you already won. The wrong reason to switch is feeling professional. Plenty of six-figure brands still self-produce in rented kitchens because their volume and margin say so.

Production solved, the product exists in quantity, stacked in cases. Nothing in this business matters until those cases move, and the first hundred customers are the ones who teach you whether anything you believe about your product is true.

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