In the food manufacturing and distribution industry, cash flow challenges are all too familiar. Delayed payments from distributors, unexpected equipment breakdowns and seasonal demand shifts can create perfect storms that leave businesses struggling to meet all their obligations — including tax bills. When you owe back taxes but can’t afford to pay them, you may qualify for a special tax status known as currently not collectible (CNC). In a nutshell, if the… Read More
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6 Secrets to Building a Food Business That Lasts
We’ve all heard the stats — nearly 50% of new businesses fail within the first five years. But when you have a clear vision and effective strategies to build customer relationships, you can set your food manufacturing or distribution business up for long-term success. Here are six traits of businesses that are built to stand the test of time: 1. Having a pulse on your industry. How well do you… Read More
Why Food Businesses Need Specialized Tax Expertise
Running a food manufacturing or distribution business means juggling production schedules, supply chain logistics, compliance certifications and customer relationships. But should you add tax expert to your already long list of responsibilities? While there’s no shortage of tax software options that promise to simplify the process of preparing your own returns, consider these three compelling reasons to leave your taxes to professionals who understand the food industry: The margin for… Read More
When Overhead Costs Start Eating Your Margins
Refrigeration costs increase. Equipment breaks down more often. Spoilage ticks upward. Sound familiar? When overhead in your food manufacturing/distribution business starts creeping up, it doesn’t take long before you’re barely profitable. If you’re not regularly reviewing where your money goes, you might be spending more than you need to. The key is knowing where to look and what changes will actually make a difference. Where does your money go? Use… Read More
The Real Cost of Expansion: What to Know Before You Grow
The primary driver behind most expansion plans is the goal of increasing sales — with the hope that profits will follow. But before adding production lines, investing in cold storage or launching new products, you need to understand the profit implications. In some cases, an expansion plan boosts sales volume but not profits. You wind up investing more capital, managing more complexity across borders and working longer hours for minimal… Read More
Equipment Investment Strategies for Growing Food Businesses
Strategic capital equipment decisions can make the difference between thriving operations and struggling margins. Whether you’re running a food manufacturing facility or distribution center, understanding how to evaluate and optimize equipment investments to meet both operational and financial needs is critical for your business’s long-term success. Leasing vs. buying For many food companies, leasing offers immediate advantages. From lower upfront costs to predictable monthly expenses, it’s an attractive option —… Read More