Starting a Microgreens Business: What the Numbers Really Look Like
Every few months, another YouTube video or blog post goes viral showing someone earning $1,000 a week growing microgreens in their spare bedroom. The math always looks clean: grow 50 trays, sell each for $20, pocket $1,000. Easy. What those posts rarely mention is seed costs, failed batches, the hours spent on delivery, the reality of finding and keeping customers, insurance, permits, the weeks when your walk-in cooler breaks and you lose half your inventory, and the fact that labor — your labor — is the biggest expense that never shows up on the spreadsheet.
I started Wholly Water Farms as a small operation and grew it deliberately. Here is what the numbers actually look like, based on real experience in the Florida market.
How Much Does It Cost to Start a Microgreens Business?
Startup costs scale dramatically depending on your ambitions and starting point. There are roughly three tiers, and being honest about which tier you belong in prevents the most common mistakes.
Home-based startup ($500-$1,000): A wire shelving rack, four LED shop lights, trays, seeds, growing medium, a spray bottle, and a small fan. This gets you producing 10 to 20 trays per week from a spare room or garage. You are selling at a single farmers market or to a handful of direct customers. This is the learning phase, and it should be the learning phase — do not skip it.
Small commercial ($5,000-$15,000): Multiple racks or a dedicated growing room, better lighting, a small commercial refrigerator or walk-in cooler, packaging equipment, a reliable delivery vehicle, business licensing, insurance, and food safety certification. Production of 50 to 100 trays per week serving several restaurants, a couple of farmers markets, and direct-to-consumer sales.
Full commercial ($25,000-$100,000): A dedicated facility (leased or built), commercial HVAC, professional LED systems, automated watering, walk-in cooler, commercial packaging, delivery vehicle, employees, comprehensive insurance, and marketing. Production of 200 or more trays per week with wholesale accounts, retail store placement, and a diversified customer base.
What Is the Realistic Revenue from Selling Microgreens?
Revenue depends on your market, your mix of wholesale versus retail, and the varieties you grow. Here are realistic numbers based on the Florida market:
- Direct-to-consumer (farmers markets, online orders): $15-$25 per standard tray or $3-$5 per 2-ounce clamshell. Higher margin but requires your time for selling and delivery.
- Restaurant wholesale: $10-$18 per tray depending on variety and relationship. Lower margin but consistent volume and predictable orders.
- Retail store placement: $2-$4 wholesale per clamshell, which retails for $4-$7. Lowest margin per unit but potentially highest volume.
A grower producing 50 trays per week at an average selling price of $15 to $25 per tray generates $750 to $1,250 in weekly gross revenue, or roughly $39,000 to $65,000 annually. That is gross revenue, not profit, and the distinction matters enormously.
What Are the Hidden Costs of a Microgreens Business?
This is where most business plans fall apart, because the hidden costs are substantial and they come in every week whether you have a good sales week or not.
Seeds (25-30% of revenue): This is your single largest material cost. Sunflower, pea, and radish seeds run $3 to $8 per pound, and a standard 10x20 tray uses 1 to 4 ounces depending on variety. Specialty seeds like basil, cilantro, and amaranth cost significantly more. Seed costs scale linearly with production — there is no volume discount that changes the math significantly until you are buying pallets.
Supplies (10-15% of revenue): Growing medium (soil, coco coir, or hemp mats), trays, humidity domes, clamshell containers, labels, and packaging materials. These costs are predictable but add up relentlessly. A single clamshell container costs $0.15 to $0.30, and you go through thousands of them.
Labor: The biggest hidden cost, and the one most aspiring growers completely ignore because they do not pay themselves. At 50 trays per week, expect to spend 15 to 25 hours on seeding, watering, harvesting, packaging, delivery, market selling, customer communication, bookkeeping, and cleaning. If you value your time at even $15 per hour, that is $225 to $375 per week in labor cost — potentially half your gross revenue. When you hire employees, labor cost becomes the line item that determines whether the business survives.
Delivery and transportation: Gas, vehicle maintenance, cooler bags, ice packs, and the time spent driving. Restaurant delivery routes in a metro area can eat 8 to 12 hours per week. At current gas prices and wear on your vehicle, budget $100 to $200 per month minimum.
Facility costs: Rent if you have a dedicated space, or the opportunity cost of using your home. Electricity for lights, climate control, and refrigeration. Water. Internet. These are fixed costs that do not scale with production but eat into every dollar.
What Is the Realistic Profit Margin for Microgreens?
An established microgreens operation with efficient processes, reliable customers, and smart cost management can achieve a net margin of 30 to 50 percent. That means from $1,000 in gross revenue, you keep $300 to $500 after all expenses including a reasonable wage for your labor. In year one, expect lower margins — 15 to 25 percent is realistic as you work through learning curves, wasted batches, and the cost of building a customer base.
For our 50-tray-per-week scenario generating $39,000 to $65,000 in annual gross revenue, net income after all expenses (including paying yourself a wage for the hours worked) might be $12,000 to $25,000 in a mature operation. That is solid supplemental income. It is not, for most people, a full-time living — at least not at 50 trays per week.
What Permits and Licenses Do You Need in Florida?
Florida's regulatory landscape for microgreens is more complicated than many new growers expect. Here is what you need to know:
- Cottage food exemption does not apply. Florida's cottage food laws cover baked goods, jams, and certain other processed items. Raw produce, including microgreens, is not covered under cottage food. You need proper licensing.
- FDACS produce license: If you are selling microgreens wholesale to restaurants or retail stores, you need a food establishment permit from the Florida Department of Agriculture and Consumer Services. If you are selling directly to consumers in their natural, unprocessed form (whole trays or cut greens in clamshells), the requirements differ — direct-to-consumer sales of unprocessed produce may not require a food establishment permit, but check current FDACS guidance, as rules have been updated in recent years.
- Local business license: Your county and city will require a business tax receipt, and zoning regulations may restrict commercial food production in residential areas.
- Liability insurance: $500 to $1,500 per year for a basic general liability policy. Not legally required in all situations but practically essential. One foodborne illness claim without insurance could end your business and personal finances.
- Food safety certification: Good Agricultural Practices (GAP) certification or equivalent demonstrates food safety competence to buyers, especially larger restaurants and retail chains. Some buyers require it. The training and audit process costs $200 to $500.
When Should You Quit Your Day Job for Microgreens?
This is the question I get asked most, and my answer is always the same: later than you think. Do not quit your day job until your microgreens business has been consistently profitable — not occasionally, not on paper, consistently — for at least six months. You should have a customer base diversified enough that losing one account does not put you in crisis. You should have three to six months of business operating expenses saved. And you should be producing at a volume where the math works for a full-time income after all expenses, including health insurance, retirement savings, and the loss of employer benefits.
For most growers, that means scaling to 100 to 200 trays per week with a mix of wholesale and retail accounts generating $80,000 to $150,000 in annual gross revenue before making the leap. Some markets support this faster than others. Florida's year-round growing season and large population of health-conscious consumers in coastal metros make it a better market than most, but it is still competitive.
The Path from Hobby to Business
Here is the progression I recommend, and it is roughly the path I followed:
- Months 1-3: Grow for yourself and friends. Learn to produce consistent, high-quality trays of 4 to 6 varieties. Master your growing process. Invest $500 or less.
- Months 4-6: Sell at one farmers market. Build your first 10 to 20 direct customers. Track every expense meticulously. Learn what sells and what does not in your specific market.
- Months 7-12: Approach 2 to 3 local restaurants. Develop a delivery schedule. Get your business licensing and insurance in order. Increase production to 30 to 50 trays per week.
- Year 2: Optimize processes, reduce waste, diversify varieties and customers. Consider a dedicated growing space if you have outgrown your home. Scale to 75 to 150 trays per week.
- Year 3 and beyond: Evaluate whether full-time transition makes financial sense based on actual, documented numbers — not projections.
The microgreens business is real and viable. But it is a business, with all the unglamorous work that entails. The growers who succeed long-term are the ones who treat it that way from the start. For more on the production side of things, check out our microgreens guides and our full growing library.
Frequently Asked Questions
Can you really make money selling microgreens?
Yes, but the margins are tighter than social media suggests. A well-run operation producing 50 or more trays per week can generate $39,000 to $65,000 in annual gross revenue with net margins of 30 to 50 percent once established. Year one margins will be lower as you invest in equipment and work through learning curves. The key is treating it as a real business with accurate cost tracking from day one.
Do you need a license to sell microgreens in Florida?
It depends on how you sell them. Direct-to-consumer sales of unprocessed microgreens may not require a food establishment permit from FDACS, but wholesale sales to restaurants or retail stores generally do. You will also need a local business tax receipt, and your zoning must allow commercial food production. Cottage food exemptions do not cover microgreens. Check current FDACS guidance, as regulations are periodically updated.
How many trays per week do you need to make a full-time income?
Most growers need to produce 100 to 200 trays per week at an average price of $15 to $20 per tray to generate enough gross revenue for a full-time income after expenses. This translates to roughly $80,000 to $150,000 in annual gross revenue, yielding $30,000 to $60,000 in net income at mature margins. Your specific market, cost structure, and sales mix will determine the exact number.
What are the best-selling microgreens varieties?
Sunflower and pea shoots are consistently the highest-volume sellers at farmers markets and to restaurants due to their size, flavor, and versatility. Radish microgreens (including daikon and red rambo) sell well for their peppery flavor and color. Broccoli microgreens have gained popularity for their sulforaphane content. Specialty mixes and unusual varieties like amaranth, shiso, and cilantro command premium prices but have smaller markets.
How much space do you need for a microgreens business?
A home-based startup producing 20 to 30 trays per week can operate in as little as 40 to 60 square feet — a walk-in closet or corner of a garage. A small commercial operation producing 50 to 100 trays per week needs roughly 100 to 200 square feet of dedicated growing space plus storage and prep areas. Full commercial operations typically require 500 to 2,000 square feet depending on production volume and layout.