How to Start a Catering Business in the UK?
- Oct 7, 2022
- By Rajeev Nar
Estimated reading time: 6 minutes, 43 seconds
Starting a catering company might be a very inexpensive startup if you are passionate about food and customer service. There may be a lot of competition and inconsistent employment, and you can quickly establish a reputation and a reliable clientele with effective marketing. You should know the food standards agency to get everything right.
How to start a catering business in the UK?
It’s critical to carve out a niche in a market this congested. The secret to the success of the catering
business is standing out from the competitors with a distinctive and alluring offer, whether it’s a
cuisine and the type of cuisine you provide may both influence your choice of branding and marketing strategies. It is
essential to know about food hygiene and maintain it. In general, catering is either personal or
professional:
- Birthdays, weddings, anniversaries, and funerals should be private.
- Corporate – catering for business events such as cocktail parties,
award ceremonies, other nighttime
gatherings, and big meetings.
Catering businesses should start with local authority confirmation. It is a smart investment because
they have fewer startup costs than operating a restaurant and have nearly unlimited possibilities for
expansion. Of course, you provide more than simple meals when you offer a comprehensive service, such as an occasion,
event, or experience. People need a justification for food premises approval to pick your company
over competing services, so you must supply one.
A significant supplier might provide discounts if you purchase frequently or agree to exhibit their logo at
events. If you have events near home, buying from local farms and stores supports the community economy and
ensures freshness; many customers will likely like they’re supporting local vendors. Your diet will also
influence your cost structure. In a catering business, there are various charging models. While tier pricing
denotes a fee that changes depending on the number of visitors, a fixed price implies a fixed cost per
person or each plate. The pricing tends to decrease with the number of guests.
What do you need to start a catering business in the UK?
Let’s first look at some of the advantages of beginning a catering
industry. Don’t let the lack of a business
degree or extensive retail experience deter you from succeeding. You can gain from it if you are passionate
about feeding others good cuisine. Any new business requires time, work, and energy to get off the ground.
To start, you might have to put in all the hours possible. However, this will be under your control. Nobody
else will be directing your activities or dictating your work schedule, making it essential to know about
food safety. Once established, you’ll be free to choose the jobs and the hours you wish to work. The
demand for mobile catering has increased over time.
1. Plan your business.
You can get carried away with the enthusiasm of launching the company you’ve always wanted to create, but try
to remain composed. Having a well-thought-out company plan at the outset can help to guarantee your success.
2. Food business licensing
The government needs you to apply for a license if you engage in any “food operations,” which can include
selling, cooking, storing, preparing, and distributing food. A minimum of 28 days should pass before
registering to operate a catering business. Remember that you must register all the locations you use if
your business works out of your house and a van or stall. You might also need to register with your local
municipality to operate with animal products.
3. Business insurance for caterers
Given this, it’s essential to consider the insurance your catering company will require. Public liability
insurance can shield you from financial loss if someone is hurt or their property is harmed. Knowing how
to start a catering business from home in the UK is essential. Employers’ liability insurance is
probably necessary if you have employees, even if you only hire workers to cover catering events. This insurance is
required by law and can pay for any claims from workers who have been hurt or become critically ill due to
working for your company.
4. Sign up your company with HMRC
No matter your business, you must register with HMRC to pay the correct taxes and avoid penalties for either
non-registration or non-payment. Your choice of business structure will likely be influenced by how much you
anticipate your turnover.
5. Determine who your target market
After completing your market research, the following stage is to map and identify your target clients. There
are many distinct kinds of customers in the catering industry. They have various requirements of the
catering industry and diverse needs. It would be best to comprehend their needs to ascertain who you can
best serve and satiate. It’s normal that not everyone will be your customer and that you won’t be able to
satisfy everyone’s needs. Finding your target clients can help you focus your company plan on them.
6. Environmental and health assessment
To schedule an inspection, speak with your neighborhood environmental health officer. This will guarantee
that your kitchens meet the hygiene requirements for producing food for consumption by the general public.
Reading the advice on the Food Standards Agency website is an excellent way to brush up on general food law.
7. Speak with the environmental health officials in your area
It’s crucial to get in touch with your neighborhood environmental health officials and request that they
inspect your kitchen to ensure you comply with food safety regulations. They will advise you on any
improvements you should make to your property to meet food safety regulations. They’ll normally inspect your
walls and counters to ensure they’re clean and in good shape and judge your abilities to keep your kitchen
hygienic.
8. Equipment for food service
Finally, to succeed in business, you’ll need the correct tools. If you’re beginning a catering business from
your house, you likely already have most of the kitchenware required to make food for smaller occasions.
However, when your company expands, you might need to consider buying commercial catering equipment or two
sets of common kitchen appliances if you’re cooking the same food in multiple batches. Once you have
obtained all essential registrations and certificates, starting your catering service should be very simple.
After that, you must select how much your new business wants to expand.
9. Name of your company
The next step is to give a good name to your catering company. A company needs a name so that people can
recognize it. The most critical component in developing a brand is the name, as people will be familiar with
your company and refer to it by name. Regardless of whether you plan to run your catering business from
home, it needs a name. In addition to being vital for branding, it also helps you comply with the law.
Therefore, pick a lovely and appropriate name for your company. The food preparation should be done
with
precaution.
Start by considering the connections you already have. Building a reputation as a wedding caterer might be a
good idea if you have a lot of friends and acquaintances who are getting married soon. Still, if you know
the proprietor of a nearby hotel, you might be better off concentrating on conferences. It is essential to
know about analytical cookies. If you don’t already have any connections you can use, think about
your
background and passions. If you’ve been to many business conferences throughout your career, you already
know what to anticipate from the caterer. Your knowledge of this market area makes your chances of success
higher. In the same vein, it’s probably not a smart idea to attend your first wedding if you’ve never done
so. The food preparation which you do should be done in a very hygienic condition.
Is the catering business profitable in the UK?
There are many positives of owning a catering business from home. Before we go any further, look at
these ten
reasons why this field is so fantastic and start getting fired up about entering it.
1. It is a relatively low-risk industry
We always suggest that new mobile catering companies begin operations on the weekends and in the evenings. As
a result, you are not required to quit your day job unless you are certain you are doing something you
enjoy. Additionally, there is a ready market for nice used devices (like in our Buy & Sell section), so you
would not be out too much money if you decide it’s not for you. The demand for a commercial kitchen
has increased over time.
2. The startup costs are typically relatively little
Many people are worried from starting their own business since it necessitates a significant cash outlay.
Many people don’t have access to that sum of money. However, you may begin running your catering
company with as little as a few thousand pounds. You won’t need a fancy big motorized trailer, but you may still
operate frequently and get a nice profit.
3. It is not necessary to have so much expertise.
Although it would be helpful, neither a college degree nor ten years of prior experience are prerequisites
for
starting a mobile catering business. The essential qualities are business knowledge, solid people skills, a
hard working mindset, and lots of “get up and go” to keep you moving forward on the occasional chilly or
rainy morning.
4. You can work for yourself.
The desire to be their boss is common. It’s the idea that you won’t have to answer to anyone or deal with
micromanaging bosses when you know best. You make the decisions for your own business. You can do that by
operating your mobile catering service.
The food sector has a subcategory called catering that offers meal services at outlying locations. It
provides various services, including everything from sandwich lunches to full-service occasions, including
weddings, conferences, and banquets. It differs from the restaurant business. Successful catering companies
plan their food purchases according to the number of scheduled events and recruit staff like waiters on an
event-by-event basis. Their profit margins are often better than those of a restaurant because they do not
have fixed premises or employee overheads.
Understanding costs is the first step in calculating profits. The two main cost categories in the
hospitality and catering industry are food and labor. Some catering companies have more expenses than
others. A full-service wedding caterer might anticipate increased food expenditures if they apply a theme to
the menu, offer menu variations, or provide special meal options like halal, vegetarian/vegan, gluten-free,
or organic vegetables. This will reduce the profit margin unless other areas, such as labor costs, can be
cut or the cost to the consumer is raised.
Final Thought
Starting a new business can be exciting, and it can be tempting to buy more equipment than you’ll genuinely
need. On the other hand, you might require a little bit more than you do. Finding the ideal balance between
getting the required equipment and running out of supplies is essential. Choosing the type of services you
wish to provide will be essential while performing your market research. You might need to provide the
cutlery for some gatherings, while others will bring their own.
Don’t undervalue the significance of your name or the impact it can have on how people see you. A term like
“Low-cost catering” can appeal to some potential clients while frightening others, whereas “Fine dining
catering” or a phrase to that effect will have the opposite effect. Social media presents a wealth of
opportunities for businesses. You can take advantage of it as a free marketing tool. You may contact your
target audience by creating accounts on multiple networks, including Facebook, Instagram, Twitter, and
TikTok. Sharing updates and uploading pictures can encourage customers to invest in your enterprise. Visit
local establishments and introduce yourself. Perhaps your neighborhood florist is willing to put together a
package sale that includes both of your items, or maybe the local events company is looking to collaborate
with a caterer.
If you want to start your catering business now then contact RVS Media for help