Feb 20, 2013 (5 years and 4 months ago)


Oregon Resources for

Food Entrepreneurs

Jim Seufert

Seufert Winery

Dayton Community Development Association


Oregon Resources for

Food Entrepreneurs


Setting the Stage

Recent Start Ups and a Success Story

The Big Picture of Food Manufacturing in Oregon

Common Challenges

Oregon Resources

Before You Start

University Programs

Quick Start Programs

Solutions to Specific Questions

Selling Your Product

Economic Development Opportunities

What’s New:

Sampling of Oregon’s New Food Products

Fruit Pate from
Oregon Growers
and Shippers

(Hood River)

Toffee from
Cary’s of Oregon

(Grants Pass)

Preserves from
Aloha from


Pretzels and dry dips from
Vibrant Flavors


Biscotti from


Chocolates from
Belle Farms


Tea from
Smith Tea


Pickles from


Role Model:

Pacific Natural Foods

Based in Tualatin, Oregon

Vertically integrated
(farm, process, retail)

24x7 operations, 300+ employees

National distribution

Doing things the right way…

Food Manufacturing in Oregon

Source: Oregon Employment Department

Employs ~23,000

Only sector to increase jobs during recession:

9 overall Oregon employment dropped 6.9% while food processing employment increased 2.6%

Predicting future growth:

By 2018 Oregon manufacturing will shed 5,300 jobs but food processing is expected add 1,700

So You Want to Start a Food Business?

Common Challenges

Expect all the challenges faced by every start up business:

Market research, product development, business planning, production,
marketing, sales, supply chain, technology, etc.

Add to that:

Frequently processing agricultural crops:

Perishable product

Variability in ingredient quality, yield, timing, etc.

Inventory requirements (seasonal harvest to supply annual sales)

Considerable costs:

Specialized equipment, space, inspections, licensing, etc.

Cost to carry inventory

Food safety:

Processing = preserving = pathogen “kill” step

(Listeria and so many others)

External oversight, reporting, inspections (e.g., FDA, USDA)

Before You Start

Market Research

Small Business Development Centers

Entrepreneur Education:

Research Your Idea and the Market


(for example)

Starting a Part Time Food Business


Sell Your Specialty Food


Small Scale Food Entrepreneurship: A Technical Guide for
Food Ventures

(Penn State College of Ag Sciences)

And many more resources…

Research trends and competition

Specialty Food magazine

Fancy Food Show

Jan 15
17, 2012 San Francisco

Production equipment and food industry seminars

NW Food Processors Association Expo

Jan 15
18, 2012

Most industry segments have their own “association”

Entrepreneur Education:

Getting Started

(and beyond)

Oregon Small Business Development Center Network


Offers FREE help with:

Financial, marketing, production, organization, international trade
and feasibility studies.

Develop a business plan, assess a new market, create cash flow
projections, control costs, or break into the global marketplace.

Case Study: Ft. George Brewery (Astoria)

Counseling from Clatsop Economic Development Resources
and the CEDR/SBDC Small Business Development Center

Wanted to expand production

SBDC counselor helped:

Know what it cost to make a keg of Vortex (the brewery’s signature
beer) to justify expansion

Started quarterly (then monthly) inventory schedule

Work with Pacific Power to reduce the cost of converting the
expansion space from single
phase to three
phase power

University Programs

Portland State University

Food Industry Leadership Program

Oregon State University

Food Science and Technology

Entrepreneur Education:

Running a Food Business

Portland State University: Food Industry Leadership Center

Entrepreneur Education:

Science and Technology

OSU has undergraduate and graduate programs in
these disciplines, as well as periodic seminars:

Food Chemistry and Biochemistry

Food Microbiology and Biotechnology

Flavor Chemistry and Sensory Evaluation

Food Processing and Engineering

Enology (Winemaking)

Brewing Science

Dairy Processing

Seafood Science

Added Foods

Oregon State University: Food Science and Technology

Upcoming dairy seminars:

Practical introduction to cheesemaking

Production of French soft cheeses

Production of French hard cheeses


to pasteurize or not to
pasteurize: the great raw milk cheese
debate, a French perspective

Dairy cleaning, sanitizing, and impact
on food safety

Milk quality, flavor and introduction to
dairy microbiology

Prioritizing safety; GMPs and HACCP

Quick Start Programs

Portland Community College

Getting Your Recipe to Market course

Benton Community College

Biz Bootcamp

Entrepreneur Education:

How To Start a Food Business

PCC: Recipe to Market (Portland)

“Comprehensive program that takes food entrepreneurs
from concept to commercial ready”

Food safety and science, recipe formulation, product development,
brand development and marketing, basic financial management,
product distribution, etc.

New Seasons sponsors event

Participants “pitch” products to New Seasons buyers

Winner gets $2,000 launch funding and retail shelf space

Case Study: The Better Bean Company

Fresh refried beans (versus canned)

PCC Recipe to Market graduate; New Seasons Winner

Portland Community College: Recipe to Market

Entrepreneur Education:

How To Start a Food Business

Portland Community College: Recipe to Market

Entrepreneur Education:

How To Start a Food Business

Portland Community College: Recipe to Market

Entrepreneur Education:

How To Start a Food Business

LBCC/Oregon Tilth: Food Biz Bootcamp (Albany)

“Help food entrepreneurs network, gain resources and
perspectives on what it takes to run a successful food

The intent of the workshop is three

Create a community of practice

a cohort of food business
owners throughout the Linn
Benton area who can support one
another through the challenge of establishing a local food

Give participants a sense of what it takes to create a
successful food business


challenges, considerations, stories
from successful entrepreneurs

Expose participants to available resources


local food
networks, farmer’s markets, on
site processing, distributing,
business planning, financing, marketing and more

Conducted with Oregon Tilth

Benton Community College: Food Biz Bootcamp

Solutions to Specific Questions

OSU Food Innovation Center

OSU Seafood Research Lab

Entrepreneur Resource:

Concept Development

OSU: Food Innovation Center (Portland)

Product and process development

Packaging engineering

Shelf life studies

Consumer sensory testing

Case Study: Chez Gourmet

Veggie burgers

accounts include:

Burgerville, McMenamins, Zupan’s, Fred Meyer, Whole
Foods, New Seasons

2006 launch; 2008 moved to 12,000 sq ft facility

5+ employees; profitable

OSU FIC: Product development

Entrepreneur Resource:

Concept Development

OSU: Seafood Research Lab (Astoria)

Research and Development

Added Product Development

Seafood Safety

Seafood Biochemistry and Quality

Surimi and Surimi Seafood

Seafood Byproduct Utilization

Extension Service to the Fishing Industry

Graduate Research, Training and Instruction

Case Study: Annual Surimi School:

Develop knowledge of surimi technology and its
utilization in food product development, as well as
surimi market trends. The course covers:

Chemistry, microbiology, and rheology of surimi,

Functional applicability of surimi additives like
cryoprotectants, enzyme inhibitors, binders, fillers, colorings,
flavorings, and production know

Food Production

Rental Kitchens

Outsource Operations

Entrepreneur Resource:

Rental Kitchen

Columbia Gorge

Columbia Gorge Community College:
The Dalles, OR

Certified commercial kitchen, rent by the hour

Incubator Services:

Goal is to stimulate small business growth in the Mid
Columbia region

Staff assistance in areas of management, financing, and

Connections to entrepreneurs and regional experts


Convection oven; food processor, mixers, etc.

Packaging area includes bottle
filler, weight
pack, labeling
machine, package sealers

Demonstration area, meeting, & banquet room

Entrepreneur Resource:

Rental Kitchen

Southern Oregon

Rogue Valley Kitchen: Central Point, OR

Certified commercial kitchen, rent by the hour

Startup resources including:

Advice on licensing; food label law guidance

Graphic design and packaging; product photography

Connections to suppliers and networks

Referrals to an ever
growing base of local resources.


Electric convection oven; range; mixers, etc.

Packaging/labeling clean room

Meeting area/conference room

Case Study: Rokz Cocktail Sugars and Salts

Vivid color, sparkle and flavor; new twist on the usual garnish

Superior flavor, brilliant appearance, excellent shelf
life, and
exceptional price point

Started 2006 in Eugene sharing space at Food for Lane County

Profitable since 2009, and a “new surge of interest in our products
and private label projects”

Husband/wife share 1FTE, hire PT help, about to hire 1
2 people

Entrepreneur Resource:

Rental Kitchen

Around the State

Corvallis: Chintimini Senior Center

Bend: Bend Community Center

Newport: Senior Center

Portland: John’s Catering and Food Cart Kitchen

Roseburg: Umpqua Valley Arts Association

Entrepreneur Resource:

Outsource Production

DePaul Packaging (Portland)

Pack facility

Package bulk product in retail portions

Club store variety packs (and more)

Richmond Baking (McMinnville)

Contract bakery for crackers, cookies, etc.

Case Study: Tao of Tea at DePaul

Retail packaging of loose leaf tea

Strong sales

can’t meet demand in

Oregon Tilth organic certification

Selling Your Product

The Entrepreneur Rarely Sleeps…

Selling Your Product

Direct to consumer

Food and wine festivals

Farmers markets

Product demos inside retailers


(social media promotions to webstore sales)


Direct sales to retailers

Trade shows

Fancy Foods Show (San Francisco)

Northwest Foodservice Show (Portland/Seattle)

Wholesale distributors

Provvista (Portland)

Specialty food brokers (contract sales reps)

Murdock and White

Cascade Food Brokers

Can’t Find What You Need?

Economic Development Opportunities

Economic Development Opportunity:

Three West Coast Models

Food Technology Center

University Of Idaho

Caldwell, ID

purpose food

production facility”

Blue Mountain Station

Dayton, WA

friendly artisan natural

& organic food park”

La Cocina

San Francisco, CA

“Cultivate low
income food


Economic Development Opportunity:

Define Your Local Needs

Leverage existing assets:

Community College

Coaching via SBDC, SCORE, etc.

Create new food business courses

Commercial kitchen space

School, church, restaurant, other local food processors

Case Study: Dayton Artisanal Food Center

An innovative new facility that:

Builds a culture around Good Food

Creates businesses and jobs

Develops a workforce


Small Business Development Centers

Final Questions

Jim Seufert

Business Consultant: Strategy definition to plant operational improvement

Owner & Winemaker: Seufert Winery, Dayton Oregon www.SeufertWinery.com

Economic Development: Dayton Community Development Association