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Starting a Herbal Tea Business

Q. I am interested in starting a herbal remedy tea business and was not sure how to go about getting started. Do we need FDA approval on this product? Who do we contact for supplies and packaging? What kind of quantity should we get started with? How do we register the name we have chosen for our company? - Steve

Advice by Nach Maravilla
Publisher, PowerHomeBiz.com

A. Dear Steve,

Do we need FDA approval on this product?

Herbal Tea is listed as one of the items being monitored by the FDA, particularly its labelling and advertising. Please contact FDA Nontraditional Drugs Compliance Team (HFD-314)at telephone 301-594-0070 Ext 28 (contact person: Roma Jeanne Egli). You may also want to get hold of various issues of the FDA Consumer Magazine, where a number of articles on herbal products have been written. These information can guide you as to how the FDA monitors your product type.

Also visit California's Department of Consumer Affairs to determine if your business would need a license. Their web site is http://www.dca.ca.gov/aboutdca/licnhelp.htm 

Who do we contact for supplies and packaging?

The best place to look for raw materials and packaging suppliers is the publication Thomas Register, which contains comprehensive listings of industrial products and services. You can borrow the latest edition in your public library or visit their web site at http://www.thomasregister.com/  

You can also use Google and search for "herbal tea suppliers" to find listings of firms and companies providing herbal tea materials. Once you've listed the name of the company, check the veracity and business practices of the firm with the Better Business Bureau at http://www.bbb.org . You can also perform a background check with Dun and Bradstreet at http://www.dnb.com Before you sign any deal with the company, be sure to ask for several references that you can contact to check how they conduct their business.

What kind of quantity should we get started with?

This question will depend mainly on your resources, requirements of your potential distributors, and demand for your product. If you have a limited capital, it is prudent to start on a small scale particularly if market reception on your product is untested. You can expand your operations when demand starts to pick up, and your cash flow is improving

How do we register the name we have chosen for our company?

I suggest you visit California's Secretary of State web site. They have a section called California Business Portal at http://www.ss.ca.gov/business/resources.htm  that lists down the steps you need to take in starting your small business. Note that different states, cities and counties have different regulations, so the best recommendation we can give you is to visit your county office and inquire about the steps in starting your business.

Good Luck !

About the PowerHomeBiz.com Guide: 

Nach Maravilla is the Publisher of Power Homebiz Guides. He has over thirty years experience in sales and marketing of various products, which covered as he jokingly describes, "from toothpicks to airplanes"  He also had extensive experience in International trading and he always excelled in special promotional ideas for  retail outlets. 

 

The opinions expressed in this column are those of the author, not of PowerHomeBiz.com. Users should not treat the Guide's response as legal, accounting, or professional advice as all answers are intended to be general in nature. Such advice can only be properly given by qualified professionals who are fully aware of a user's specific geographical areas or circumstances, such as an attorney or accountant.

 

 
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