There are MANY different food businesses that an entrepreneur can start in Ontario – so before you ask how to start a food business in Ontario, you need to first drill down on the specific type of food business.
We cover 28 different types of food businesses in this guide, along with links to detailed guides on each type of business. We also cover the regulations that you’ll need to consider (food is a tightly-regulated industry in Ontario – for good reason!) and financing options.
Let’s jump in!
Types of Food Businesses in Ontario
In this section we briefly describe 28 types of food businesses in Ontario:
1. Restaurants
No definition needed! (Okay, here’s one: “A restaurant is a food establishment where meals are prepared and served to customers for immediate consumption”.)
Restaurants themselves can be sub-divided into these categories:
Fine Dining Restaurants: These restaurants offer high-end, often expensive meals with a formal atmosphere and attentive service.
Casual Dining Restaurants: These restaurants provide a relaxed atmosphere and moderately priced meals, often with a bar or lounge area.
Fast Food Restaurants: These restaurants offer quick and inexpensive meals, often served in a drive-thru or take-out style.
Ethnic Restaurants: These restaurants specialize in food from specific regions of the world, such as Italian, Chinese, or Indian cuisine.
Family Restaurants: These restaurants provide a family-friendly atmosphere and offer a variety of menu options to cater to different tastes and ages.
Breakfast Restaurants: These restaurants typically serve breakfast and brunch dishes, often with a diner-style atmosphere.
Buffet Restaurants: These restaurants offer all-you-can-eat meals with a variety of dishes and cuisines.
Vegan and Vegetarian Restaurants: These restaurants specialize in plant-based meals, catering to customers who follow a vegan or vegetarian diet.
Brewery and Pub Restaurants: These establishments brew and serve their own beer, often paired with pub-style food such as burgers and wings.
2. Food Trucks
Mobile food establishments that sell food and drinks from a truck or van. They often specialize in specific types of food, such as tacos or burgers, and can be found at events or in popular areas.
3. Cafes
Casual dining establishments that serve coffee, tea, and light meals such as sandwiches, salads, and pastries. They offer a relaxed atmosphere and often have outdoor seating.
4. Bakeries
Shops that specialize in baking and selling bread, cakes, pastries, and other baked goods. They often use high-quality ingredients and offer a variety of options for customers with different dietary needs.
5. Catering Companies
Businesses that provide food and beverage services for events such as weddings, corporate events, and parties. They often offer a variety of menu options and can provide staffing and equipment as well.
6. Food Delivery Services
Businesses that offer meal kits, prepared meals, or grocery delivery to customers’ homes. These services can save time and make it easier for people to eat healthy meals at home.
7. Grocery Stores
Retail establishments that sell a variety of food and household items for customers to prepare and consume at home. Supermarkets offer a wide range of products, while specialty markets and health food stores focus on specific types of food.
8. Convenience Stores
Small retail shops that offer a selection of basic food items, snacks, and drinks. They are often located in urban areas and open late or 24 hours a day.
9. Butcher Shops and Meat Markets
Stores that specialize in selling meat and meat products. They often offer a wide range of cuts and can provide advice on how to prepare and cook meat.
10. Seafood Markets
Shops that sell fresh and frozen seafood. They often source their products directly from local fishermen and offer a variety of options, including shellfish, fish fillets, and whole fish.
11. Produce Markets and Stands
Retail establishments that sell fresh fruits and vegetables. They often source their products from local farms and offer a variety of seasonal options.
12. Cheese Shops and Dairy Stores
Shops that specialize in selling cheese and other dairy products such as milk, butter, and yogurt. They often source their products from local farms and offer a variety of options from different regions.
13. Gourmet and Specialty Food Stores
Shops that sell high-quality, hard-to-find, or specialty food items. They often offer unique products such as truffles, artisanal chocolate, or exotic spices.
14. Health Food Stores
Retail establishments that specialize in selling natural and organic food products, supplements, and vitamins. They often cater to customers with dietary restrictions or health concerns.
15. Candy Stores and Confectioneries
Shops that specialize in selling candy, chocolate, and other sweet treats. They often offer a variety of unique or hard-to-find products.
16. Ice Cream and Frozen Yogurt Shops
Shops that specialize in selling ice cream, gelato, or frozen yogurt. They often offer a variety of flavors and toppings.
17. Coffee Shops and Tea Houses
Establishments that serve coffee, tea, and other beverages. They often offer a cozy atmosphere for customers to relax or work.
18. Juice Bars and Smoothie Shops
Shops that specialize in selling freshly squeezed juices or smoothies. They often use high-quality fruits and vegetables and offer a variety of combinations.
19. Bars and Pubs
Establishments that serve alcoholic beverages and often offer food options as well. They can range from casual to upscale and offer a variety of atmospheres.
20. Breweries, Wineries, and Distilleries
Businesses that produce alcoholic beverages such as beer, wine, and spirits. They often offer tours and tastings for customers to sample their products.
21. Food and Beverage Manufacturing
Businesses that produce and package food and beverage products for distribution and sale. They often have large-scale production facilities and can offer a wide range of products.
22. Food Wholesalers and Distributors
Businesses that purchase food products in bulk from manufacturers and sell them to retailers or food service providers. They often have large warehouses and fleets of trucks for distribution.
23. Food Import and Export Businesses
Businesses that import or export food products to and from other countries. They often work with international suppliers and have expertise in navigating customs and regulations.
24. Food Safety and Inspection Businesses
Businesses that provide food safety and quality control services such as testing, certification, and inspection. They often work with food manufacturers, restaurants, and other food establishments.
25. Culinary Schools and Cooking Classes
Institutions that provide education and training in culinary arts and cooking. They often offer certificate or degree programs as well as individual classes for hobbyists.
26. Personal Chef Services
Businesses that provide personalized meal preparation and cooking services for individuals or families. They often cater to customers with specific dietary needs or preferences.
27. Food Waste Reduction and Sustainability Businesses
Individuals or businesses that create content related to food and drink and share it on social media platforms. They often have large followings and can influence trends in the food industry.
Licenses & Permits Required for an Ontario Food Business
The type(s) of licenses and permits required to start and operate your food business depends on a number of factors:
Type of food business (e.g., restaurant; food truck; food manufacturer; food blogger; etc.)
Location of the food business (because rules may vary by region or city, or even location within a city)
Alcohol service
Having said the above, here are some points that apply generally:
In the province of Ontario, food businesses must obtain a food premises permit from the local health unit before commencing operations. The permit must be renewed on an annual basis.
Food businesses must also obtain a license from the Alcohol and Gaming Commission of Ontario (AGCO) in order to sell alcohol. There are two types of AGCO licenses:
Manufacturer’s license: this is required for businesses that manufacture their own alcoholic beverages.
Retailer’s license: this is required for businesses that sell alcoholic beverages for consumption off-site.
Food businesses must also comply with all applicable provincial, federal, and municipal regulations, including those related to food safety and hygiene, food handling, food labeling, and food storage.
Financing a food business in Ontario can be challenging (or anywhere, really), but there are several options available for entrepreneurs looking to start or expand their food business:
Traditional Funding Options: Banks and credit unions are typical places to apply for a business loan or line of credit. These loans often require you to present a business plan, financial projections, and a strong credit history.
Alternative Funding Sources: Food and beverage entrepreneurs sometimes look for alternatives when traditional loans aren’t accessible. Popular sources include microloans from community organizations, private lenders, and online lending platforms.
Equity-Based Funding: If you prefer not to take on debt, you can raise capital by selling a share of your business. This includes angel investors, venture capital, or friends and family.
Bootstrapping: Bootstrapping means using your own savings, or reinvesting profits back into the business. It lets you keep full control and avoid loan repayments or giving up equity.
Government Grants and Programs: Government grants and programs are specific to Canadian businesses, including the food and beverage sector. Several grants support startups, job creation, or innovation; they do not need repayment.
Here are some of Government Grants and Programs to start a food business in Ontario:
BDC Small Business Loan: A BDC Small Business Loan is designed to help Canadian entrepreneurs like you fund a wide range of business needs, from purchasing equipment to covering payroll or launching marketing campaigns. You can apply easily online for amounts up to $100,000, with approval subject to review.
BDC Startup Financing: If you’re looking to launch or grow a business in Canada, BDC’s Startup Financing can help get you started with flexible loans up to $150,000. BDC is specifically focused on supporting entrepreneurs and offers advice alongside funding..
Government Grants and Loans: The Government of Canada and Province of Ontario offer grants and loans for small businesses, including food businesses. These grants and loans may require a detailed business plan and may have specific eligibility criteria.
Community Futures program: The program delivers a mix of funding, mentorship, and business advisory and could be a key source of support for your small business. This federally funded initiative focuses on building resilient local economies across Canada..
Canada Small Business Financing Program: CSBFP is a federal initiative that aims to make it easier for you to get loans from major banks or credit unions by having the government share part of the risk with your lender.
FCC Food and Beverage Financing: FCC offers specialized financing for food and beverage businesses across Canada, helping you access the funds you need at any stage of your business journey.
Food Innovation & Research Studio (FIRSt): FIRSt supports the food and beverage industry with scientific R&D services from our lab located at George Brown College in Toronto, Ontario.
Circular Food Innovators Fund: The Circular Food Innovators Fund supports local small businesses in Toronto to implement reuse systems that replace single-use and takeaway items with reusable foodservice ware that is collected and redistributed for further use.
Eco-Roof Incentive Program: Incentives are available to support the installation of green roofs and cool roofs on Toronto homes and buildings.
Waterloo Region Starter Company Plus: This Program is for business owners operating less than 5 years (market ready and ready to sell), ready to expand (hiring employees, contractors, or getting a location), or buying a business in Waterloo Region.
Small Business Property Tax Subclass: The Province of Ontario will provide a matching reduction in the provincial education portion of property taxes for eligible properties.
SheBoot: SheBoot is tackling the funding gap facing women entrepreneurs in Ottawa by increasing the number of women making and receiving investment. We’re charting a new path for women founders—to grow, scale and compete globally.
Consultations & Business Plan Reviews: Toronto Small Business Enterprise Centre staff can provide one-on-one consultations, including a free review of your business plan.
Circular Food Innovators Fund: The Circular Food Innovators Fund supports local small businesses in Toronto to implement reuse systems that replace single-use and takeaway items with reusable foodservice ware that is collected and redistributed for further use.
Retail Accelerator Program: This program provides access to retail training, advisory services and mentoring opportunities to retail businesses in Toronto. In addition, it offers a micro grant valued at $10,000 to help retail businesses develop and expand.
Regardless of the financing option you choose, it’s important to have a solid business plan, financial projections, and a clear understanding of the risks and rewards of starting a food business.
It’s also a good idea to seek advice from professionals such as accountants, lawyers, and business consultants to ensure you are making informed decisions.
Resources for Starting a Food Business in Ontario
Starting a Restaurant – Resources
Ontario Restaurant, Hotel & Motel Association (ORHMA): ORHMA is a non-profit association that represents the hospitality industry in Ontario. They provide a range of resources, including information on licensing, regulations, and industry news.
Restaurants Canada: Restaurants Canada is a national association that provides resources and support for restaurant owners and operators. They offer industry research, training programs, and advocacy for the restaurant industry in Canada.
Starting a Food Truck – Resources
Food Trucks and Street Food, City of Toronto: This website provides information on the licensing and permit requirements for food trucks in Toronto. It also includes links to important forms and documents, such as the application for a street food vending permit and the food handler certification program.
Starting a Food Business, Ontario Ministry of Agriculture, Food and Rural Affairs: this guide provides information on the regulations and requirements for starting a food business in Ontario. It includes information on food safety, labeling requirements, and packaging and storage regulations. It also includes links to helpful resources and contacts.
Ontario Food Trucks Association: This website provides information and resources for food truck operators in Ontario. It includes a directory of food trucks in the province, as well as information on events and festivals where food trucks can participate. The website also provides information on membership in the association and the benefits of joining.
Starting a Cafe – Resources
Canada Business Network – Starting a Restaurant – This guide provides information on starting a restaurant, including cafes, in Canada. It covers topics such as business planning, financing, regulations, marketing, and more.
Restaurants Canada – Starting a Restaurant – Restaurants Canada is a national association representing the restaurant and foodservice industry in Canada. Their online guide for starting a restaurant provides information on everything from choosing a location and developing a concept to hiring staff and managing finances.
The Bakers Journal – The Bakers Journal is a trade publication for the baking industry in Canada. Their website provides resources, news, and articles on all aspects of the industry, including starting and running a bakery.
City of Toronto – Starting a Food Business – The City of Toronto’s website provides information and resources for starting a food business in Toronto, including bakeries. This resource covers information on permits, regulations, and other requirements for starting a food business in the city.
Starting a Catering Company – Resources
Canadian Society of Professional Event Planners – CanSPEP is a national association for event planners and suppliers, including catering businesses. They provide education, resources, and networking opportunities for their members.
Ontario Wedding Association – The Ontario Wedding Association is a non-profit organization that represents wedding industry professionals in Ontario. They provide education, resources, and networking opportunities for their members, as well as advocacy and industry representation.
National Grocers Association – NGA is the national trade association dedicated solely to the needs of independent, community-focused grocery retailers and operators.
Retail Council of Canada – RCC offers grocery-specific resources and peer committees to explore areas such as food and grocery innovation, recall protocol, labelling, and more.
Canadian Grocer – Canadian Grocer is a magazine and online news source that covers the Canadian grocery and food industry. They provide news, insights, and analysis on the latest trends, products, and issues affecting the grocery industry in Canada.
Starting a Convenience Store – Resources
Ontario Convenience Stores Association – Representing over 6,000 stores located in Ontario, the OCSA is engaged on many issues affecting convenience store retailers, most of which are independent family stores.
Convenience Industry Council of Canada – CICC is a national, not-for-profit trade association that represents the convenience store industry in Canada. Their mission is to support the growth and success of convenience stores by providing advocacy, education, and networking opportunities for their members.
Convenience Store News Canada – Convenience Store News Canada is a magazine and online news source that covers the convenience store industry in Canada. They provide news, insights, and analysis on the latest trends, products, and issues affecting the convenience store industry in Canada.
Starting a Butcher Shop or Meat Market – Resources
Beef Farmers of Ontario – The Beef Farmers of Ontario is a non-profit organization that represents and serves beef farmers in the province of Ontario. Their mission is to promote a sustainable and profitable beef industry in Ontario, while also ensuring that beef farmers adhere to the highest standards of animal welfare, food safety, and environmental stewardship.
Chicken Farmers of Ontario – The Chicken Farmers of Ontario is a non-profit organization that represents and serves chicken farmers in the province of Ontario. Their mission is to provide a reliable supply of safe, high-quality, and locally produced chicken to Ontario consumers, while also promoting responsible and sustainable farming practices.
Ontario Independent Meat Processors – The Ontario Independent Meat Processors (OIMP) is a non-profit organization that represents and supports independent meat processors in the province of Ontario. Their mission is to promote the growth and success of the independent meat processing industry in Ontario by providing advocacy, education, and networking opportunities for their members.
Ontario Farm Animal Council – The Ontario Farm Animal Council (OFAC) is a non-profit organization that represents the interests of the livestock and poultry industries in Ontario. Their mission is to promote animal welfare and responsible animal agriculture practices in the province, while also educating the public about the role of livestock and poultry farming in Ontario’s economy and society.
Ontario Pork – Ontario Pork is a non-profit organization that represents and serves Ontario’s pork producers. Their mission is to promote the growth and sustainability of Ontario’s pork industry by providing leadership, advocacy, and resources to their members.
Starting a Seafood Market – Resources
The Canada Seafood Merchants & Processors Association – CSMPA is a non-profit organization that represents the seafood industry in Canada. Their mission is to promote and support the sustainable development of Canada’s seafood industry, while also ensuring that seafood products are safe, high-quality, and responsibly sourced.
Fisheries Council of Canada – FCC is a non-profit organization that represents the seafood industry in Canada. The organization represents a wide range of stakeholders in the seafood industry, including harvesters, processors, distributors, and retailers.
Canadian Organic Seafood Association – COSA is a non-profit organization that represents the organic seafood industry in Canada. The organization provides a range of services and resources to its members, including certification and accreditation programs, industry advocacy, market information, and educational resources.
Starting a Produce Market or Stand – Resources
Farmers’ Markets Ontario – Farmers’ Markets Ontario is a non-profit organization that supports and promotes farmers’ markets across the province of Ontario. It provides a range of services and resources to its members, including market development and promotion, vendor support and training, and advocacy for policies and regulations that support the growth and success of farmers’ markets.
Ontario Produce Marketing Association – OPMA is a non-profit organization that represents the fresh produce industry in Ontario, Canada. Their mission is to promote and support the growth and success of Ontario’s produce industry, while also ensuring that fresh produce products are safe, high-quality, and responsibly sourced.
Canadian Produce Marketing Association – Based in Ottawa, Ontario, CPMA is a not-for-profit organization that represents companies that are active in the marketing of fresh fruits and fresh vegetables in Canada from the farm gate to the dinner plate.
Starting a Cheese Shop or Dairy Store – Resources
Ontario Dairy Council Stores – The Ontario Dairy Council is a not-for-profit trade association representing dairy processing companies in Ontario.
Dairy Farmers of Canada – DFC is the national policy, advocacy and promotional organization representing Canadian dairy producers. DFC advocates on behalf of dairy farmers to create the winning conditions for the sector so that they can focus on what they do best: producing high-quality, nutritious milk, both safely and sustainably.
Milk Producer Magazine – The official magazine of Dairy Farmers of Ontario, published eight times per year and read by dairy farmers across Canada.
Starting a Gourmet or Specialty Food Store – Resources
Canadian Federation of Independent Grocers – The CFIG is a non-profit trade association and community, equipping and enabling independent grocers, franchised and specialty, for sustainable success.
Guide to Food Labelling and Handling – Foods prepared for specialty markets will have specific labelling requirements that can be found at the Canadian Food Inspection Agency’s Guide to Food Labelling and Handling web page.
Canada Specialty Food Directory – A resource for chefs, restaurateurs, and specialty food retailers to locate Canadian companies that produce or process great tasting, nutritious foods to enhance the flavour of recipes and dishes.
Ontario Farm Fresh Marketing Association – OFFMA is a non-profit organization that represents the farmers and producers of fresh fruits, vegetables, and other farm products in Ontario.
Retail Confectioners International – Serving the confectionery industry for over 100 years, Retail Confectioners International (RCI) is the best source for information and ideas for retail Confectioners.
Starting an Ice Cream and Frozen Yogurt Shop – Resources
International Frozen Yogurt Association – IFYA serves as an unbiased source of support and information for current and prospective frozen yogurt store operators.
North American Ice Cream Association – The North American Ice Cream Association is committed to advancing the ice cream and frozen dessert industry and furthering the success of our member businesses by providing meaningful network connections and expertise, innovative educational opportunities, and ongoing strategic leadership.
Coffee Association of Canada – CAC represent the majority of the coffee industry in Canada, providing leadership in 4 areas: advocacy, proprietary research, education and networking.
SCA Canada – Canadian Coffee Guild exists to promote Specialty Coffee within Canada.
Specialty Coffee Association – The Specialty Coffee Association is a nonprofit, membership-based organization that represents thousands of coffee professionals.
Starting a Bars or Pub – Resources
Ontario Craft Brewers – Ontario Craft Brewers is a trade association representing over 100 independent craft breweries in Ontario. The association advocates for the growth and success of the craft beer industry in Ontario through promotion, education, and advocacy.
Canadian Restaurant and Bar Association – Restaurants Canada is a national, not-for-profit association representing Canada’s diverse and dynamic foodservice industry.
Starting a Brewery, Winery, or Distillery – Resources
Fruit Wines of Ontario – Fruit Wines of Ontario is a non-profit association that promotes the production and sale of high-quality fruit wines made in Ontario.
Wine Growers Canada – Wine Growers Canada is a national association that represents Canadian wineries and grape growers.
Canadian Craft Brewers Association – CCBA is a national non-profit organization that represents and supports independent Canadian craft breweries.
Spirits Canada – Spirits Canada is a national trade association representing Canadian distillers, blenders, and bottlers of distilled spirits.
Starting a Food or Beverage Manufacturing Business – Resources
Food and Beverage Ontario – FBO is a not-for-profit, leadership organization dedicated to advancing the interests of Ontario’s food and beverage processors.
Alliance of Ontario Food Processors – The Alliance of Ontario Food Processors was established in 2003 by industry to provide a single and powerful voice on behalf of Ontario food and beverage manufacturers.
Ontario Food Processors Association – OFPA is a non-profit industry organization that represents the interests of Ontario’s food and beverage processors. They provide resources, support, and advocacy for food processors, including access to industry data, training programs, events, and government relations support.
Becoming a Food Wholesaler or Distributor – Resources
Starting a Food Importing and Exporting Business – Resources
Canadian Food Exporters Association – CFEA is a member based trade association that assists Canadian food, beverage and ingredient companies with their export initiatives.
Export Ontario food products – Learn about exporting in Ontario’s food and beverage industry. This technical information is for Ontario business owners.
Canadian Food Inspection Agency – The Canadian Food Inspection Agency is dedicated to safeguarding food, animals and plants, which enhances the health and well-being of people.
Canadian Institute of Food Science & Technology – CIFST provides resources and support for food science and technology professionals, including access to technical resources, networking opportunities, and professional development programs.
Culinary Business Academy – This online academy offers courses and coaching for culinary entrepreneurs, including those interested in teaching cooking classes. They offer a “Teach Cooking Classes” course that covers everything from developing your curriculum to marketing your classes.
The Culinary Institute of America – The Culinary Institute of America offers a variety of courses and resources for culinary professionals, including those interested in teaching cooking classes. They offer a “Teaching Methods for Cooking” course that covers everything from lesson planning to effective teaching techniques.
Local Community Centers and Cooking Schools – Consider reaching out to your local community center or cooking school to see if they offer classes for aspiring cooking teachers. Many of these organizations offer training and resources for people who want to teach cooking classes, and may even hire you to teach classes at their facility.
Starting a Personal Chef Business – Resources
Canadian Personal Chef Alliance – CPCA is dedicated to helping you succeed in your Personal Chef or Private Chef career, bringing you a range of membership benefits to lower your business costs and guiding you through the many common issues and challenges that Personal Chefs and Private Chefs face throughout their career.
Chef Success – Chef Success is an online community for chefs that provides resources, forums, and networking opportunities. It is a great resource for personal chefs looking to connect with other professionals in the industry.
The Chef Alliance – The Chef Alliance is a membership organization that provides support and resources for chefs, including personal chefs. Members receive access to networking events, marketing support, and other resources to help them build their businesses.
Starting a Food Waste Reduction and Sustainability Business – Resources
Second Harvest: Second Harvest is Canada’s largest food rescue organization that works with farmers, manufacturers, and retailers to reduce food waste and redirect surplus food to those in need. They also offer a range of programs and resources for businesses looking to reduce their food waste and improve their sustainability.
ReFED Canada: ReFED Canada is a multi-stakeholder initiative that brings together businesses, government, and non-profit organizations to tackle food waste and promote sustainability in the food industry. They offer a range of tools and resources, including a food waste calculator and a best practices guide for reducing food waste.
FoodShare: FoodShare is a non-profit organization that works to improve food security and sustainability in Toronto and the surrounding area. They offer a range of programs and resources for businesses and individuals looking to reduce food waste and promote sustainability, including workshops, consultations, and training.
About the author
Maurice
Maurice (Moe) Muise learned the ins-and-outs of government while an employee of the Government of Canada in Ottawa for 10 years. His current focus is helping small businesses in Ontario to identify and maximize government grants to grow their business.
Click here to learn more about Moe’s background and how he can help your business.
