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The Ultimate Business by Yisroel Goodman (part 2)

What You Need

1. a commercial cotton candy machine
2. a supply of cones and bags
3. labels for your bags which advertise your business
4. a supply of sugar and flavoring
5. plastic tupperware type containers in several sizes
6. some connections at local schools, synagogues, churches

the Machine

I did a lot of research for the most essential part of the business. Before I purchased the machine, I needed to learn how cotton candy was made. A floss machine follows this concept:

A hollow head holds several ounces of sugar. The head spins at high speed. Heating coils within the head liquify the sugar. The spinning motion throws the liquid sugar against the side of the head. The side is actually a screen. The force of the spinning pushes the liquid out through the holes of the screen. The liquid cools back to a solid state and has now formed threads. These threads collect in the bowl where they can be wrapped around a cone or gathered in a bag as a sweet treat.

The biggest name in floss machines is Gold Medal in Cincinnatti. They have many different models. Originally, I was going to buy their smallest model with the plastic bowl for my little sideline. But I was told that the low end models did need occasional servicing and the plastic bowls get scratched and scuffed. I was advised to purchase one with a stainless steel bowl and a more powerful engine. I asked what kind of servicing these typically needed and what spare parts I should keep on hand. I was told that these machines ran on rubber belts which did eventually wear out, so I should keep a spare belt kit around. These cost about $30. After finding the best price, (a bit over $600) I was about to place my order when I noticed that the vendor also carried machines from a different manufacturer, Cretors.

I inquired about the Cretors machine and discovered that they used a different method. Their machines did not run on belts but were direct-drive. I asked the vendor about his experiences with both manufacturers and he admitted that the Gold Medal machines needed more repairs. When the liquid sugar leaks on to the belt and then hardens, the belt becomes stiff. Usually only the belt needs replacement, but sometimes running this way can cause other damage. The vendor recommended that the Gold Medal machine be turned off whenever sugar was poured into the head. Since the head only holds 5-7 ounces, this would be a lot of turning the machine on and off. The Cretors machine did not require this extra attention.

Gold Medal did design one machine without belts, similar to the Cretors. I found very few sites advertising it and none that had it in stock. The vendor who sold both told me that Gold Medal had to withdraw the machine because of a possible patent infringement lawsuit from Cretors. Despite the fact that the Cretors machine was about $150 more than the Gold Medal ($752 + delivery), I was ready to pay extra for a better, more reliable machine. Then I came across yet a third manufacturer, Paragon.

It appears that Paragon only makes one model machine and the basic design has not changed since 1911. Like the Cretors, it is direct-drive and does not use belts. But Paragon took their design a step further. The floss head can be disassembled without tools. Four thumbscrews hold it in place. Once removed, the top and screen can be washed in water and even the heating coils can be vacuumed out. This will reduce carbon build-up and should prolong the life of the machine. Paragon backs up their machine with a three year warranty. I was ready to go for the Paragon even before I discovered that it was about $75 less than the Cretors ($672 + $20 delivery).

Cones and Bags

If you plan on going into business, you will need these. The best price I found for cones was $73.95 for 4,000 Gold Medal cones delivered and a few dollars less for another brand. I went with the Gold Medal because it was a known item and I didn't want to experiment to save about $2. If you can't find cones, you can roll plain white paper and make your own. You can also use shish-kebab skewers, but you run the risk of someone getting poked with the sharp end. Stiff plastic drinking straws also serve in a pinch but tend to bend and don't always hold up well. For removing the floss for the machine for bagging, skewers actually work better than cones. However, make sure you hold the pointed end in your hand. You don't want to poke holes in your bags or in your assistants. If you don't need 4,000 cones, email me. I will sell cones in lots as small as 50 for $2. Because these cones are long and somewhat delicate, the best shipping method is in a long priority box. This means it will cost $4 to ship 50 to 100. For larger shipments, I will package it in a reguar box and ship parcel post of UPS.

You can use food storage bags, the kind you find in a supermarket. The self-locking kind typically costs 8 to 10 cents each, so the bag will cost you more than the candy it contains. Supermarket bags are also smaller than the standard cotton candy bags and not as durable. They also don't open as easily and this really becomes a problem when the machine is running, your hands are covered with sticky sugar threads and you can't open the bag. I quickly realized that I should order the bags manufactured for cotton candy. I bought the standard 18 X 12 size for about $35 per 1,000 and a sample size which is 12 X 4 X 2 for about $24 per 1,000. I estimate the large bags hold 2-3 ounces. 1 large bags fills three small bags. So I sell the large bags of cotton candy for $1 and the small bags for 50 cents.

Labels

You want people to recognize your brand name. At the moment, I am printing my own labels on a laser printer but will soon be ordering a supply from a place such as Office Max. The label should contain the name of your company, your phone number and something that tells people your product is unique. My label states that our product is fresh, all-natural and kosher. I am using the labels that come 14 on a sheet and cost about $32 for 1,400 delivered.

Sugar and flavoring

All you really need for cotton candy is pure sugar. Make sure it is 100% pure and contains no additives, particularly corn starch (which can clog the machine). Since folks are used to seeing flavored and colored cotton candy, you will want to have those as well, but the plain sugar version is safe and all-natural. I have met children who are allergic to just about every coloring and additive known and were very happy to find a product they could eat. I also do a few runs of plain sugar between each flavor to clean out the residue. I mark these bags with the name of the previous flavor (if someone is allergic to chocolate, the first run or two after chocolate may still contain some residue, so I will err on the side of caution and mark it chocolate very light.) I use 7 ounce plastic cups to add the sugar to the machine. I fill the cups to approximately the 5 ounce mark and then slowly pour it into the head.

You can buy Floss Sugar which is ready to be poured into the machine or you can save money by buying the flavoring and mixing it with your own sugar. The real drawback to Floss Sugar is that you pay for shipping sugar. A pound of Flossine (the flavoring manufactured by Gold Medal) costs about $6 and is enough to flavor about 300 pounds of sugar. It can be shipped for about $2 a can. You can also buy the Floss Sugar already flavored in containers of about 3 pounds for the same $6 and it will cost about $3 a container to ship. When you do the math, ready-made floss sugar will cost many times more than adding Flossine to your own sugar. You can buy 25-lb sacks of sugar for about $10.

Flossine $ 6 300 lbs of Floss Sugar $600

Shipping $ 2 shipping $300

300 lbs sugar $120

total $128 total $900

Since my product must be strictly kosher, I had a hard time locating a flavoring which would be acceptable to all standards. Gold Medal Flossine is kosher but the certification is from an organization that is not widely accepted. (To clarify: this is not to imply that there is a problem with the organization, only that it is not as widely recognized and therefore some synagogues will not accept their certification.) I experimented and came up with a method of making my own. I quickly discovered that with cotton candy less is more. It takes a tiny amount of flavoring.

Chocolate: a teaspoon of 100% pure cocoa powder in 3 lbs of sugar

Cinnamon: a teaspoon of 100% ground cinnamon in 3 lbs of sugar

Apple: add an ounce of apple juice to a cup of sugar and mix well. Allow it to dry. Crush the results into powder and mix with 2-3 lbs of sugar. An alternative method: Use a dropper and put a few drops into the machine after each 5 ounces of sugar is added. The problem with using juice is that liquid tends to cause the sugar to coagulate and the machine needs to be shut down and cleaned, so I make this flavor the last one I do in a run.

Lemon: add a few drops of lemon juice to 2 lbs of sugar and shake very well.

Fruit Flavor: a packet of unsweetened KoolAid to 5 lbs of sugar

Plastic tupperware containers in several sizes

You will need containers capable of holding 5 pounds of sugar so you can mix flavors in advance. I found a set that also have a pour spout, which makes them easier to handle. You will also want something that can hold finished cones, so you can make a few in advance. Gold Medal and others make a special cone holder which sells for $25 to $40, but who needs it? Most $1 stores and liquidators will have some plastic device that will serve just as well. It can be a disk rack turned upside down. Anything that is a few inches high and has a grid with holes will work. I found a plastic shelf that is designed to hold cups and spices that does just fine.

connections at local schools, synagogues, churches

Now you are thinking: Don't I have to spend money advertising? How can I book parties? I discovered that this product advertises itself. I printed up labels on my laser printer advertising the business. These labels were stuck on the cotton candy bags. I used smaller sample bags. Then my children gave these out to their classmates. I called several synagogues and schools and offered to bring the machine in to their special events. I also offered them 25% for any sale or rental booked through them. So the schools and synagogues now had an incentive to spread the word. Of course this means that on parties booked through the organization, I only take home $65 for doing nothing instead of $90, but it spreads the word quickly and the $25 is going to a good cause (not to mention tax deductible).

Flossine	$ 6	300 lbs of Floss Sugar	$600
Shipping	$ 2	shipping	$300
300 lbs sugar	$120
total	$128	total	$900