Essential Steps to Get Your Catering Business Off the Ground

Getting a catering company off the ground can be incredibly exciting. If you love to cook and enjoy working with people, then there can be no other joy than owning your own business. However, before you hit the ground running, you’ll want to have a plan. This guide will advise how to spend your money wisely, expand your brand, and do it all while complying with current guidelines. 

Like any business, the first step you need to take is to create a comprehensive catering business plan. In it, you’ll want to put all of the proposed details of how your company will work and what you plan to do down the line. Start by creating your company overview, which you’re all about. Then, write your goals for the next month, year, and beyond.

You’ll want to consider details like how many people you’ll need to add to your company as it expands. Also, consider where you plan to do most of your business and research the market in that area to ensure that the location isn’t so oversaturated that you won’t be able to make an impression. This is also a chance to create a sample menu so you can learn what you’ll need to prepare the food, including how much it will cost and how many employees you’ll need to make it happen.

While you’re making your business plan, you’ll also need to think about how you’ll achieve sustainable growth as time goes on. One way you can do that is by keeping an eye on trends. Over time, people crave different menus, such as those with plant-based foods and superfoods. You’ll want to learn how to get ahead of those trends. Also, you can gain a lot of ground by networking with fellow caterers, potential clients who may need catering, and other folks in the food industry.

Understanding the legalities of the catering industry and the licenses you’ll need is paramount because you don’t want to start gaining steam just to learn that you’re breaking the rules. There are various forms of paperwork you’ll need to get started. First, you’ll need your general business license to begin your operations. Along with that will be your Employee Identification Number so you can pay your taxes properly.

Next, you’ll need to get your catering permit. Then, whether you work out of a food truck or a new building, you’ll need to get your health permit. That will show everyone that your business meets sanitation requirements. Other licenses you may need include a food handler permit, a permit to sell alcohol, and a “Doing Business As” license. Research online to see what you need for your particular operation.

Finally, your new catering business needs insurance. By being insured, you’ll help protect your company if an employee or customer is hurt. Insurance will also help to reimburse you if there’s damage to your property or the building where you work. There is also business interruption insurance, which can help to replace some of the income you could lose if you had to shut down temporarily.

Finally, it’s essential that you’re smart with your money when your business is first getting started, especially if you’re not starting with much. The first step in this regard may be to look at financing. 

Suppose you don’t want to deal with the stress of a traditional bank loan. In that case, there are alternative financial options you can consider. For instance, if you think that your idea will attract attention, consider crowdsourcing with websites like Kickstarter, where regular people fund your project in exchange for rewards. Another idea is to find other existing catering companies and try peer-to-peer lending to cut out the financial intermediaries. Of course, there’s also the option to borrow from friends and family.

Though your funds may be short, you still want to find the best equipment you can so you can cook to perfection and make the best impression. Be smart about your purchases because you’ll need a lot to get started, including:

That’s just the basics. Look for deals at discount restaurant supply stores or buy items from other chefs. Another idea is to start small by operating out of a cart or stand until you start making more money.

The idea of starting a catering business can be very exciting, and you’ll be tempted to get out there and delight the world with your delectable dishes. However, you need to take things one step at a time. Follow the guidance here, and you will reach your catering dreams.