OLIVIA'S KETCHUP ← Back to the site
The Business Plan · v1

Zero to farmers market.

This is the honest, unglamorous roadmap for turning the most ketchup-obsessed person we know into a licensed Baltimore food business — one table, one tent, one Saturday morning at a time.

Goal: First market day Timeline: ~6–9 months Startup budget: ~$3,000–4,500
0

Nail the recipes

Months 1–2 · Home kitchen, zero paperwork

Everything downstream depends on three recipes being genuinely worth a stranger's $9. This phase is legal to do at home because nothing is being sold yet.

  • Lock Original, Old Bay, and Buffalo. Write each recipe down by weight, not "a splash" — batch consistency starts here and the licensing process will require a documented recipe anyway.
  • Run blind taste tests. Friends, family, the neighbors. Serve each OK flavor against Heinz on identical fries. The bar: at least half the room picks OK without knowing which is which.
  • Build a cost sheet per bottle. Tomatoes, vinegar, spices, bottle, cap, label. If a 10 oz bottle costs more than ~$3.50 to make at small scale, revisit the recipe or the sourcing before going further.
  • Check the pH. A $15 pH meter now saves real money later — ketchup needs to sit safely below 4.6 (commercial ketchup runs around 3.9). This number decides the entire licensing path in Phase 1.
1

Make it legal

Months 2–5 · Runs in parallel with everything else
The one hard truth in this plan

Maryland's cottage food law — the easy home-kitchen path — covers baked goods and jams, but not ketchup. Ketchup is an "acidified food" under FDA rules, which means it must be made in a licensed facility with an approved process. This is the single biggest reason the timeline is months and not weeks. Start this phase early.

  • Form the LLC. Maryland filing is about $100 online; get the free EIN from the IRS the same afternoon. "Olivia's Ketchup LLC" makes the bank account, insurance, and market applications possible.
  • Get the recipe blessed by a Process Authority. A food-science lab (University of Maryland Extension can point the way, or NC State's widely used service) reviews the recipe and issues a scheduled process letter — the document that says this ketchup is safe to make and sell. Roughly $100–300 per recipe; start with Original only.
  • Take Better Process Control School. An online FDA-recognized certification course (~$400) required for whoever supervises acidified food production. One of you takes it; it doesn't expire.
  • Rent a shared commercial kitchen. Baltimore has several licensed commissary kitchens (~$25–40/hour). This becomes the legal production site, and gets the operation a Maryland food processing license through the state health department.
  • Product liability insurance. ~$500–700/year. Farmers markets require proof of it before granting a stall.

Escape hatch if this drags: a refrigerated "fresh ketchup" sold from a cooler dodges some of the acidified-foods process, and a co-packer can make the recipe in their licensed facility for a per-unit fee. Both are legitimate v1s. Verify current requirements with the Maryland Department of Health before committing to any path — rules change and this plan is a map, not legal advice.

2

Brand it and bottle it

Months 3–5 · Overlaps Phase 1's waiting periods

Licensing involves a lot of waiting. That's when the brand work happens — and the brand already exists: OK, the Maryland-tile mosaic, the story of a woman who put ketchup on everything until her husband gave up and built her a company.

  • Design the label around the OK medallion from the website. FDA labeling rules require: product name, net weight, full ingredient list in descending order, allergen statement, and the business name and address. Get the label reviewed when the process authority reviews the recipe.
  • Source bottles. 10 oz glass with a plastisol-lined cap (needed for a proper heat seal). At small quantities expect $1–1.50 per bottle+cap; order 300 for the pilot.
  • Print labels short-run (250–500) rather than committing to thousands — the recipe, the copy, or the design will change after real customers react. ~$0.40–0.60 each at this scale.
  • Batch codes on every bottle. A sharpied date works at first. If anything ever goes wrong, this is how a batch gets recalled instead of a business.
3

The pilot batch

Month 5–6 · First licensed production run

One long day (realistically two) in the shared kitchen. The goal is not volume — it's proving the recipe scales from a saucepan to a stockpot without losing what made it win the blind tests.

  • Target: 150–250 bottles of Original. Small enough to sell through in a few market days, big enough to learn real unit economics.
  • Log everything: pH of every batch, fill temperatures, times. The scheduled process letter dictates the numbers; the log proves they were hit.
  • Re-run the taste test against the home-kitchen version. Scaled-up recipes drift — catch it now, not at the market.
  • True up the cost sheet. Kitchen hours, ingredients at real quantities, packaging. This sets the market price: at ~$2.50–3.50 landed cost, $8–10 a bottle is the healthy range.
4

Market day

Months 6–9 · The whole point
  • Apply to one or two markets, not five. The 32nd Street Farmers Market in Waverly (year-round, every Saturday) and the Baltimore Farmers' Market & Bazaar under the JFX are the natural targets. Applications typically want the license, insurance certificate, and product photos.
  • Get the temporary food service license from Baltimore City's health department for sampling — because sampling is the entire sales strategy. Nobody buys a $9 ketchup they haven't tasted; almost everybody buys one they have. Crinkle-cut fries or pretzel sticks as the vehicle.
  • Booth kit: tent with weights, table, tablecloth, a big OK medallion banner, cooler, sample cups, cash box, Square reader. ~$500 once, lasts years.
  • Launch goal: 40 bottles sold on day one. That's ~$350 gross and — more importantly — 40 households with OK on the fridge door.
  • The metric that matters is market day #2: how many faces come back. Repeat customers, not day-one sales, decide whether Old Bay and Buffalo go into production.
Startup budget (estimates — verify locally)
ItemOne-timeOngoing
Maryland LLC + EIN~$100$300/yr report fee
Better Process Control School~$400
Process authority review (Original)~$100–300per new recipe
Product liability insurance~$500–700/yr
Shared kitchen (pilot batch)~$300–500per batch day
Bottles, caps, labels (300 units)~$500–650scales with volume
Booth kit (tent, table, banner, Square)~$500
Market stall + sampling permit~$25–60/market day
pH meter, thermometers, misc~$100
To first market day~$3,000–4,500
5

After the first Saturday

Only if the fridge doors keep filling
  • Old Bay and Buffalo go to the process authority once Original proves repeat demand — each new flavor is a ~$300 decision, not a leap of faith.
  • Two or three local counters: a burger spot, a breakfast place, a bottle shop that likes Maryland-made things. Wholesale at market before wholesale at scale.
  • Online orders through this site, shipping within Maryland first.
  • Co-packer conversation only when Olivia is spending more Saturdays stirring than selling. The brand is the business; the stockpot doesn't have to be.

Risks, stated plainly — then ignored properly.

The licensing timeline will slip; start it first. The pilot batch will have at least one problem; that's what 250 bottles instead of 2,500 is for. And somewhere around month four this will feel like a second job — because it is one. The plan caps every bet small enough that the worst case is a great story and a garage full of very good ketchup.

The best case is Olivia, under a tent on 32nd Street, watching a stranger taste her ketchup and reach for their wallet.

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