What Do I Need To Start A Catering Business – Can I start a catering business from home? Benefits of a Home Catering Business Catering Catering Home Catering Business Catering Marketing Food Business Start a Catering Business June 30, 2021
It sounds like you have almost everything to build a successful food business: exceptional culinary skills, attention to detail, innovative recipes, people who support your passion. All that’s left to do is make it happen. But you have no idea how to start. So start your research with this vital question: Can I start a catering business from home?
What Do I Need To Start A Catering Business
To give you the short answer: YES. However, you should prepare yourself for a roller coaster because it is a little more complex than you think. Starting a home catering business is rewarding but challenging. But don’t worry, I’m here to break it all down for you.
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Despite our current industrial situation, catering is one of the many food businesses that continue to thrive. The reason is simple: people cannot live without food. As humans we crave interactions and good food. And that’s it for the restoration!
In fact, catering is a great business that you should consider because it offers many benefits such as:
Working at your own pace and time is one of the most obvious benefits of being a hotelier. Unlike a typical work day where you work from 9 to 5, catering allows you to manage your schedule freely. You don’t have to follow specific work hours because guess what, you are your own boss! You can take a day off if needed and then work on it all week.
Running a catering business offers you a lifetime of learning. In time, you will be amazed at your cooking skill and creativity. Because you’re always on your feet, preparing and serving food, organizing great events, supervising large groups, traveling from place to place, you’re constantly learning. As a result, you will gather creative ideas, cooking techniques and catering tricks that will significantly help you grow as an entrepreneur.
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Since you’re not confined to a specific room and you’re constantly on the move, you make A LOT of connections. You’ll likely meet acquaintances and make new friends with each booking. Whether a customer, a vendor, an employee, a competitor, a food companion; there is always another person to add to your network.
According to IBISWorld, the market size of the restaurant industry is likely to increase by 2% this year. This data shows that behind a restaurant business there is growth and profit; it’s no wonder why we have so many aspiring restaurateurs across the country.
But you must remember that it is still your responsibility to maintain the profitability of your restaurant business. That said, you need to constantly review your numbers to make sure your income isn’t slipping away. Learn about the different ways to improve your profitability, such as reducing your costs, redesigning your menu, empowering your sales team, and more.
As I mentioned earlier, it is possible to run a catering business from the comfort of your home. It might be a bit difficult, but it is very doable. Just keep the following legal considerations in mind:
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First, you need to decide on a specific business structure to register your business with the state. The following permits and licenses you will need to obtain in the future will be greatly influenced by the structure of your business. So choose wisely. In the United States, there are four main business structures that you can choose from. This includes:
A sole proprietorship is the business structure that is automatically assigned to you when you do business but do not register as any type of business. It’s easy to train and gives you full control over your business. This type of business is perfect for those hoteliers who are still testing the waters before moving on to a larger, more formal business.
This business structure is ideal for businesses with multiple owners. So if you are setting up your catering business with someone else, perhaps a friend or family member, then a partnership is the way to go.
LLC is the most common and recommended business structure for small and medium restaurant businesses. Because of? Because LLCs allow you to take advantage of the benefits of partnership and corporation structures. An LLC gives you the legal protections you need because it primarily protects yours
How To Start A Catering Business
The cost of forming a corporation is much higher than other business structures. So, if you are still entering the restaurant industry and are on a tight budget, I would advise you to pass on this type of business for now.
Regulations for food handling and preparation vary from state to state. Therefore, your best bet is to contact your local health department and secretary of state to learn more about the paperwork you need to do before starting your home catering business. But in most cases, food businesses must have a general business license, a zoning permit, and health permits.
Many states restrict the use of residential kitchens as catering facilities. And unfortunately, even if your state allows you to use your home kitchen to run your catering business, there’s still a lot of work to be done. Because you now have to spend much of your financial resources on kitchen renovations and new catering equipment to meet your local health department’s regulatory standards.
But on a positive note, upgrading your space, tools and equipment is a big boost to the overall quality of your business. to the right? After all, a well-organized kitchen will lead to a better cooking experience and top-quality food.
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Now that you’ve mostly answered your initial question, “Can I start a home catering business?” There’s another thing you need to think about: marketing your catering business. Because the reality is that you have the most advanced kitchen equipment and a wide range of dishes, but your business will never grow if you do not receive customer reservations. Therefore, your marketing strategy is as important as your niche market and your final menu. Effective marketing generates leads AND sales.
Here are some marketing ideas that can help you get ahead of the competition and get more bookings:
Word of mouth, or WOM, is a timeless form of advertising that restaurant novices and experts alike swear by. It’s easy and mostly free because people promote your products/services at will. But of course, first you have to do some things that people are interested in. In other words, you need to create a buzz. For example, you can post a creative and eye-catching photo of your catering setup from your last booking, or you can also share an impressive customer review on your website. The goal is to create an amazing impression on your audience.
Finally, you can reward people who refer other people to your business. By doing so, you can get more qualified leads and develop meaningful customer relationships.
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I truly believe that every food business should create a website. Because today where most transactions are done online, not having a website is a HUGE missed opportunity.
Having a website with impeccable search engine optimization (SEO) allows you to reach a wider audience, better online visibility and ultimately a higher return on investment (ROI). So don’t forget to invest in SEO. It will definitely help your business grow in the long run.
This is something I personally did when I was still running my own restaurant and catering business. I let people try some of our best selling menu items for FREE and come back after a few days. And believe me when I tell you it works! every time I was able to capture many of our bookings with this marketing strategy.
So if you trust the quality of the food you put on the table, never hesitate to organize a free tasting! Let your exceptional food speak for your brand.
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Food businesses of all sizes use today’s top SM platforms like Facebook, Instagram, Twitter, LinkedIn, YouTube and Pinterest to promote their services. And you should too! These social networks can give you fast progress when used.
To create a strong social media presence, you need to know the benefits of each SM site. Facebook is where you will find most of your potential customers. And not to mention that it offers some of the most accurate guidance when it comes to paid advertising. Without a doubt, Oberlo calls it The King of Social Media. On the other hand, IG is the ideal platform to showcase your delicious dishes and gain more customers. Exploring the SM world is the key to expanding your brand to a more diverse market.
Networking is one of the best ways to build valuable relationships with local suppliers and business colleagues while gaining new opportunities. In fact, it’s like hitting two birds with one stone. Making the right connections can open countless doors of opportunity
