Starting Your own Catering Service Part 2

Starting up a Catering Business?

When you are hired as a caterer your job is pretty intensive.  You are hired to perform a variety of jobs, from cooking to serving, mixing drinks, and whipping up delicious desserts. 
In the United States alone, the catering business is estimated to be worth $5 billion a year.   Be prepared to cater functions that range from dinner parties that serve a handful of guests to enormous events that serve thousands of guests.
As a caterer it is wise to define your niche, meaning as a caterer you will choose what type of functions to specialize in as well as your job description. For example, you may offer the best fondue table for up to 100 guests, perhaps you would rather prepare meals for business catering parties that are held within banker’s hours. There really are no limits in regards to your catering styles.

When you have decided that you will be a caterer and to what type of events you will target, the next stage is starting your catering business. Be careful when you detail how the catering business will be operated, managed and capitalized.

 Our checklist can help you organize your ideas into the beginning of a business catering plan:

    * What services will your catering business offer? Will you run a full service catering business, corporate catering service, custom event catering service, or a scheduled events catering business?
    * Research necessary permits and requirements your local government imposes on a catering business.
    * Determine your start up costs of your catering business. Remember to include everything-permit fees, catering equipment, marketing, uniforms, catering supplies etc.
    * Construct a budget, forecast and projection.
    * How will you finance the start up of your catering business?
    * Research liability insurance needed to protect your catering business.
    * Where will you house your catering business office and how will you manage your business? Prepare to think about cancellations, payment policies, consultations, menu-planning as well as samples, contracts and the transportation of food.
    * What food suppliers do you intend to work with?
    * Will your catering service rent equipment for special requests?
    * What will you name your catering business?

Owning a catering service not only includes cooking but also be prepared to wear many hats such as: accountant, manager, marketer, sales representative, and bill collector.

Additional questions to consider when constructing your catering business plan:

    * Is my business idea practical and is it in demand?
    * What is my competition?
    * What is my advantage over existing services?
    * Can I deliver a better quality service?
    * Can I create a demand for my business?
    * What will be my legal structure?
    * How will I compensate myself?

Your answers to these questions will help you create a focused, well-researched catering business plan that can serve as a blueprint for your new catering service. Whatever you choose to specialize in, running a catering business offers creativity, flexibility, and growing opportunities.