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Margins Critical To Food-And-Beverage Startups

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  And survivors don't have much room for error since after-tax operating margins among food processors run about 10%, according to a study by the NYU Stern School of Business. That ranks food manufacturing 63 among the 95 industries tracked by the NYU researchers.

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The article from Forbes Business Council, published on February 13, 2025, discusses the critical importance of managing margins for food and beverage startups. It highlights that in an industry characterized by high competition and low margins, understanding and optimizing gross margins is essential for survival and growth. The piece outlines several strategies for startups to improve their margins, including efficient sourcing of ingredients, minimizing waste, optimizing production processes, and smart pricing strategies. It also emphasizes the need for startups to continuously monitor and adjust their cost structures in response to market changes, consumer trends, and operational efficiencies. The article concludes by stressing that while innovation in product offerings can attract customers, it's the mastery of margin management that ensures long-term profitability and sustainability in the food and beverage sector.

Read the Full Forbes Article at:
[ https://www.forbes.com/councils/forbesbusinesscouncil/2025/02/13/margins-critical-to-food-and-beverage-startups/ ]