This factsheet is one of a "Food Entrepreneurship in Florida" series that assists beginning and established food entrepreneurs by providing them with information on topics highly relevant to starting and running a food business—regulations, safety, labeling, processing, and marketing. This series serves as a useful guide to help make a business plan and determine the feasibility of starting a food business.
Background
Shared-use commercial kitchen facilities are becoming more common in Florida and across the United States. These facilities allow food entrepreneurs to start or grow their food businesses without the high initial cost of investment and the need to build their own facilities. However, the different names or definitions used for these kitchen facilities can sometimes be confusing. This factsheet intends to explain the main types of shared-use commercial kitchens and provide useful information for those looking to use these facilities in Florida.
What is a shared-use commercial kitchen?
A commercial kitchen refers to a facility designed and built to meet current healthy and safety codes. These kitchens have running water, proper plumbing, and surfaces that are suitable for food production. They must also meet minimum construction standards in all food preparation areas so that food business operators can comply with state or federal regulations. Shared-use commercial kitchens function like co-working spaces, where multiple individuals or businesses can use the same facility. These kitchens typically offer multiple food preparation areas, cold and dry storage, professional-grade equipment, and a sanitation program, allowing several businesses to operate simultaneously. Users can rent the space by the hour, day, or month to operate their food businesses (Meader McCausland et al. 2018).
There are various terms used to describe shared-use commercial kitchens, such as incubators, accelerators, community kitchens, food hubs, or food innovation centers. While these terms are similar, they may point to slight differences in kitchen model or purpose. Table 1 provides definitions for these types of shared-use kitchens.
Food Regulations and Permits
Regardless of the type of shared-use kitchen, the main goal is to ensure businesses comply with food safety regulations. In Florida, food business owners must register with either the Florida Department of Business and Professional Regulation (DBPR) or Florida Department of Agriculture and Consumer Services (FDACS). These businesses are subject to initial and ongoing inspections. The DBPR regulates restaurants, caterers, and temporary event vendors, while the FDACS oversees retail and wholesale food processors.
Depending on the type of food, method of sale, and annual sales, business must follow specific regulations, such as the the FDA Food Code or Current Good Manufacturing Practices (cGMPs) found in 21 CFR 117. Shared-use kitchens often host multiple businesses simultaneously, which means various regulations and inspections from both DBPR and FDACS may apply within the same facility. While shared-use kitchen owners can offer guidance, it is the responsibility of each business owner to obtain the necessary permit to operate within the facility.
Additional Services in Shared-Use Commercial Kitchens
Shared-use commercial kitchen owners or employees often provide additional services to help members start and grow their food businesses. These services can include food-safety trainings, business classes, marketing and distribution opportunities, legal and financial advising, and packaging partnered with universities, making it possible for experts to offer these trainings or services (for example, Extension education). Privately owned facilities might provide these services themselves or use outside consultants. The level of guidance and services offered by each facility depends on the needs of the clients and the resources available.
The range of services offered varies between facilities. This variation is a key factor in distinguishing different types of facilities, as listed in Table 1. However, the term "accelerator" in a facility’s name does not always mean it follows the model described in the definition. Some facilities only offer the basic commissary model, which provides commercial kitchen space for business owners. This model is suitable for established businesses that only need commercial kitchen space. On the other hand, entrepreneurs in the beginning stages might rely on the additional services provided by an incubator, accelerator, or food hub.
When searching for a facility, entrepreneurs should determine their needs, communicate with facility owners or directors, and ensure their goals align with the resources the facility offers. They should also consider whether the kitchen rental rates fit their budget. Facilities may rent kitchen space by the hour, day, or month, so entrepreneurs should select a facility that matches their expected usage. Many shared-use commercial kitchens in Florida and across the United States offer options for food entrepreneurs. A list of current shared-use commercial kitchen facilities in Florida is found in Table 2.
Benefits of Using a Shared-Use Commercial Kitchen
When starting a business, food entrepreneurs face several start-up costs, such as purchasing or building a facility, furnishing the facility with commercial equipment, supplying tools/utensils, and making down payments on utilities. The costs to build out a commercial kitchen in an existing space can run up to $100–$300 per square foot (Meader McCausland et al. 2018), which may be unworkable for clientele with limited financial means. Shared-use commercial kitchens can help reduce this financial burden for small food businesses.
Ultimately, shared-use facilities provide adequate commercial kitchen space, with minimal capital investment, so local food entrepreneurs may try out new products in the market and limit the effect of potential product failure. Furthermore, the resources, services, and networking opportunities these facilities may provide will ease the process of launching a new food business and may catalyze the growth of the business.
Additional Resources
Florida Department of Agriculture and Consumer Services (FDACS)
Food Establishment Minimum Construction Standards: https://www.fdacs.gov/content/download/64038/file/Food_Establishment_Minimum_Construction_Standards.pdf
Mobile Food Establishments: https://www.fdacs.gov/Business-Services/Food/Food-Establishments/Mobile-Food-Establishments
Retail Food Establishment Permit: https://www.fdacs.gov/Business-Services/Food-Establishments/Retail-Food-Establishment-Permit
Wholesale/Manufactured Food Establishment Permit: https://www.fdacs.gov/Business-Services/Food-Establishments/Wholesale-Manufactured-Food-Establishment-Permit
Florida Department of Business and Professional Regulation (DBPR)
Food Service Permit Information: https://www.myfloridalicense.com/intentions2.asp?chBoard=true&boardid=200&SID=
References
Association of Food and Drug Officials (AFDO). 2017. "Guidelines for Incubator Kitchens." https://www.afdo.org/wp-content/uploads/2020/11/Guidelines_for_Incubator_Kitchens_acc_updated_2017.pdf. Accessed 20 Oct 2024.
Meader McCausland, D., R. Miller, A. Colpaart, and M. King. 2018. Shared Kitchen Toolkit:A Practical Guide to Planning, Launching and Managing a Shared-Use Commercial Kitchen. The Food Corridor. https://www.thefoodcorridor.com/resources/. Accessed 26 Mar 2020.
Topaloff, A. 2014. "The Shared-Use Kitchen Planning Toolkit." Leopold Center for Sustainable Agriculture. https://dr.lib.iastate.edu/entities/publication/f3d3307a-20b2-42c4-b885-8c966dfc83ae. Accessed 20 Oct 2024.
Table 1. Shared-Use Commercial Kitchen Type Definitions
Table 2. Shared-Use Commercial Kitchens in Florida*