Catering is as an evergreen business proposition. Most catering
businesses start because a person's cooking hobby has won praises from
family and friends, but the majority get shut within a few months due to
lack of proper business planning. Catering is not just cooking and
serving, it involves many factors related to business operations. This
article discusses the important ones necessary to succeed with your own
catering enterprise.
Top Tips for Catering Business
While maintaining quality, taste, hygiene and freshness in the food
is of paramount importance to any catering, it is equally important to
look at other aspects of the business.
1. Get Prior Hands-on Experience: Before starting
on your own, it is always better to get a hands-on experience with
reputable caterers. Such direct work offers real exposure to small
details,risks,challenges, bottlenecks and grey areas of the catering business,
without you making a large financial investment on your own. This
experience will not only help you learn the tricks of the trade, but
will also serve as an opportunity for a realistic self-assessment about
your preparedness and temperament for catering
2. Monetary Assessment: How will you attract
clients to get orders (advertising and marketing)? Where will the
staples and other food ingredients be sourced from? Which localities
will you serve (markets)? Where will the food be prepared (your
in-house location/client location)? How will food be transported to
maintain freshness? How many helpers and vendors would you need
(staffing)? All need to be considered, while keeping in mind your
available budget and a realistic business assessment.
3. Infrastructure Requirements: Depending upon
the local laws, you may (or may not) be allowed to start catering from
your home-based kitchen. You may need to rent out a dedicated commercial
kitchen space, or take orders on the condition that clients arrange for
the location of preparation (like, at a wedding venue). Beyond the food
items and ingredients, you may need to arrange for necessary cookware,
bakeware, serving cutlery, and even transportation. Instead of buying
upfront, renting such equipment on an as-needed basis is a good option,
especially when you are just starting and are tight on budget.
4. Pricing and Cost Consideration: Basic food
staples may not show wide price swings, but other mandatory add-on
ingredients (like chocolate, or exotic fruits) may show high volatility
in prices. The further out an occasion is when a caterer takes the
order, the more risk she runs on price uncertainty. It is best to keep
pricing on an ad-hoc basis, and provide quotes considering any adverse
price moves.
5. Get on Approved Caterer Lists: Most ceremonial
venues maintain a list of approved caterers, and getting on that list
assists in getting more business. While startup caterers may not be able
to get into that list immediately, you should keep trying after having
arranged for a few successful local catering gigs.
6. Network and Promote: Online social networks can
help spread the word about your newly started catering business, but
there are other mediums to consider. Joining an organization like
National Association for Catering and Events of your country
can help you network with established businesses. Through their
conferences and meetings, you can learn the industry best practices to
run your business more efficiently. Serving your unique food items
through a food-stall during a local community event can also assist in
getting you the much needed marketing.
7. Keep the Backup Ready: Beyond your ideal
preparations, there are a few things that could go wrong despite your
best efforts. For example, what would you serve if the kiwi fudge you
put on the menu cannot be prepared because kiwis are not available at
any nearby market? Who would be the backup if your main cook calls in
sick? What are the terms in case of a last-minute event cancelation?
Having a backup plan ready, and getting the client buy-in to those in
advance, always helps.
Written by Suobita seth
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