Narelle Plapp started Food for Health twenty years ago making recipes
for patients who couldn't find allergy-friendly food on any shelf. She
loaded her first Woolworths order by hand - 14 pallets that showed up
via fax and had to be paid on delivery, funded by $13,000 from her
parents. One SKU eventually did over $2 million in a single retailer.
Then she did something most brand founders never attempt: she borrowed
$8 million, bought a paddock, and built her own factory. Nine years
later, Grain and Bake is a $35 million business - targeting $45 million
this year - manufacturing for some of Australia's biggest food brands,
running 24 hours a day, five days a week.
In this interview, Narelle breaks down what it actually costs to
manufacture an allergy-friendly bar, the brutal reality of retailer
margins most founders don't see until it's too late, and how she
convinced the bank to back a factory before she had a single confirmed
customer.
What you'll learn in this interview:
• How she got her first Woolworths ranging by making sure friends and
family bought out every trial store
• Why she borrowed $8M to build a factory on a paddock - and the soft
commitments from brands that got the bank across the line
• What it actually costs to manufacture an allergy-friendly bar - the
hidden 10-hour cleans, swabs, and 8-person cleaning crews most founders
never budget for
• The $0.40 per bar reality - and how to work backwards from RRP to know
if your margins will survive retail
• Why retailer category margins have jumped from 35% to 55% minimum over
20 years - and what that means for your P&L before you pitch Coles
or Woolies
• The 13-week clock: how long you have to prove velocity on shelf before
you get cut
• How a $4M investment in automated cartoning increased her line output
by 30% - and why she passed the savings to her brand clients
• Why she trawled Europe to find the right oven - and what it takes to
commission a factory when you've never built one before
• The Grain and Bake client model: why manufacturing for other brands
makes her a partner in their success, not just a supplier
• What she'd tell every CPG founder before they pitch a retailer - the
whiteboard session that changed one AFL footballer's entire business
plan
If you're building a CPG brand, trying to understand the real cost of
manufacturing and retail at scale, or just want an unfiltered view of
what Australian food manufacturing actually looks like from the inside,
this conversation will fundamentally change how you think about supply
chain, margins, and what it takes to build something that lasts 20
SAVE 50% ON OMNISEND FOR 3 MONTHS
Get 50% off your first 3 months of email and SMS marketing with Omnisend with the code FOUNDR50. Just head to https://your.omnisend.com/foundr to get started.
WANT TO GROW YOUR BRAND WITH META ADS?
Join the Foundr Operators Waitlist → https://foundr.com/operators
HOW WE CAN HELP YOU SCALE YOUR BUSINESS FASTER
Learn directly from 7, 8 & 9-figure founders inside Foundr+
Start your $1 trial → https://www.foundr.com/startdollartrial
PREFER A CUSTOM ROADMAP AND 1-ON-1 COACHING?
→ Starting from scratch? Apply here →
https://foundr.com/pages/coaching-start-application
→ Already have a store? Apply here →
https://foundr.com/pages/coaching-growth-application
CONNECT WITH NATHAN CHAN
Instagram → https://www.instagram.com/nathanchan
LinkedIn → https://www.linkedin.com/in/nathanhchan/
CONNECT WITH NARELLE PLAP
Instagram → https://www.instagram.com/narelleplapp/
LinkedIn → https://www.linkedin.com/in/narelle-plapp-27b3771a/
Website → https://grainandbakeco.com.au/
FOLLOW FOUNDR FOR MORE BUSINESS GROWTH STRATEGIES
YouTube → https://bit.ly/2uyvzdt
Website → https://www.foundr.com
Instagram → https://www.instagram.com/foundr/
Facebook → https://www.facebook.com/foundr
Twitter → https://www.twitter.com/foundr
LinkedIn → https://www.linkedin.com/company/foundr/
Podcast → https://www.foundr.com/podcast