How to Start a Catering Business in India (Steps, Plan and Investment)

Starting a catering business in India is one of profitable business ideas that is currently on the trend. If you are thinking of starting catering business then this guide may help you in the process.

One of the food businesses liked by entrepreneurs is the catering business. In addition to the considerable benefits, people also do it as a hobby.

In every business, of course there are always challenges, both small and big.

So, you should analyse the market and demand for the business in the county or a division in which you want start catering business.

How to Start a Catering Business in India

Here is the complete guide on how you can start a catering business in India:

Determine the Type of Catering

Before starting a business, of course you must know what type of catering business you should start.

Given the many types of catering businesses, initially, you should focus on one type first.

What types of catering businesses can you choose?

Party Catering

As the name implies, this party catering business means that you serve special food orders for party events.

Examples are weddings, birthday parties, and others.

This type of business requires careful planning and management. It’s no longer small-scale catering, you have to prepare large quantities of food for buffet.

Corporate/Office Catering

The target of this business is a company with a large number of employees.

Usually companies require catering in the form of a buffet to be served in the office or in factories.

There are also several offices that require catering with large portions for the needs of meetings and gatherings.

Catering for Schools

The challenge in running a catering business for school children is the type of food served.

School children definitely need good nutrition of course you as a catering provider must also prepare nutritious food.

But the advantage, you don’t have to bother is hiring employees.

Why? Because usually the food is sent in the form of a box and the school is in charge of preparing it.

Home Catering

Have a desire to market catering in the form of rice boxes to homes for certain events?

You can start a home catering business. The capital spent will not be too large.

However, this type of catering is usually ‘seasonal’, so it is possible that the turnover obtained will also not be too large.

Of all the types of catering, you can adjust it to the needs of your customers.

Determine the Brand Name

Of course, in every business, you definitely need a brand name, and the catering business you are in is no exception. Determine the brand name after you are sure to choose which type of catering to work on.

Choose a brand name that is easy to remember, relates to catering, and has a good meaning. Make no mistake!

Don’t forget to prepare a logo too! With a brand name and logo, your business will look more professional.

As much as possible logos or brands that have been made are printed and used as food labels.

Looking for Cheap and Quality Suppliers

The price of food raw materials in one store may not be much different.

But, if you intend to start a catering business, you automatically have to prepare raw materials in large quantities, right?

Because the small difference will reduce your capital to be less.

Choose a store that provides the cheapest supplier. Not only that, also choose a quality one. Do not let the supplier sell raw materials that are not fresh or even rotten.

Instead, you go directly to the ‘wholesale’ of raw materials, do not buy it in the market or grocery store. That way, you will definitely get a pretty low price.

Preparing Business Capital

Because you have prepared this catering business quite maturely, now is the time to prepare business capital.

The business capital of course follows the type of catering business that you have chosen. The more capital you spend, of course, the more profits you will get.

Adjust your capital and abilities, don’t force it. If indeed the scale of your catering business is still on the scale of a home-based business, it is better to use a capital that is not too large.

You can gradually develop your business and your capital.

But remember, you also have to be right in considering the capital used and also the benefits obtained.

License/Permission

To build a professional catering business, you should pay attention to this section. Later it can also be a bond of trust for buyers to be more confident in using your services.

However, if you want to start directly, you don’t need all permits.

Location of Business

You can outsmart it by cooking in your own kitchen, but will it continue like that? Remember, it depends upon your catering business whether big or large. If you are still a small business, cooking in the kitchen still sounds possible.

You have to monitor this business pattern, nowadays the place can also be done at home as long as you can cover every catering need well for consumer orders.

Equipment

The money you spend on equipment varies widely. To cover the capital or save, you can actually just rent it.

You can buy used goods that are still good, for example, buying used stoves, used gas cylinders, for food storage, you can use a used freezer or used refrigerator to make maximum use of it.

No need to buy new cooking equipment. That way you will save a lot.

Employee

Unless you want to open your own business, cook yourself, pack it yourself, deliver food to customers yourself, then it’s free.

If you have started a lot of orders, try to find someone who can help you to speed up the work, for example with neighbors, friends who are hired when the orders start to get a lot.

Transportation

This could be a used food truck, a Van, or maybe a motor vehicle?

Transportation costs in a catering business may consume your capital for the first year.

Because the expenses will probably be very much. It should never make you down to start this business. You can use your own motorbike to deliver food orders, or you can use an online motorcycle taxi service that is already available through the application on your cellphone.

Even if it is necessary to deliver or a vehicle such as a truck, the stand must be at the wedding catering event. You can rent the vehicle daily, the price is still very affordable

Promotion and Advertising

One of the most important tips for starting a catering business is promoting.

How are people going to order your catering services if they don’t even know about the menus on offer?

Start doing promotions according to the target market that has been planned from the start. If you choose the type of catering for the company, do promotions in the company.

If you choose the type of home catering, you can start promoting it to the neighbors of the house complex.

Unlike in the past, where promotions only relied on word of mouth, now you can market it on the internet with a digital marketing approach.

You can start marketing through websites, social media, and digital advertising. The farther the reach of the promotion, the greater your chances of getting consumers.

Also remember, if you are promoting online, make your merchandise as attractive as possible, whether from photos, packaging, the point is to make the content interesting.

Pay attention to the taste of food

Surely you want this catering business to continue, right?

Especially if there are subscriptions from clients who have previously ordered in advance. Not only increasing turnover, but you will also get a fairly broad business connection.

To make this happen, of course you have to pay attention to the quality of the food being marketed.

At a minimum, the taste of the food served must be delicious, nutritious, and in accordance with the price offered.

Even better, the taste of the catering food marketed should have a distinctive taste. Where this can be unique for the catering business that you are engaged in.

Providing Optimal Service

Do not only maximize your business products, but you as an entrepreneur must always provide optimal service.

If you hire employees, provide training first. Do not let the employees who are recruited do not provide good service to consumers.

Bad service such as unfriendly employees, wrong food orders, catering arriving not on time, will certainly make consumers think again and again about using your services again.

Don’t let that happen!

Bookkeeping

After your catering business is running, don’t forget to do periodic bookkeeping. This is very important. By doing bookkeeping, you can find out the pros and cons of the business.

Every transaction made can also be recorded properly, making it easier for you to audit the company.

Don’t be surprised, nowadays there are so many young entrepreneurs who often ignore the bookkeeping, the end result is that financial records are not recorded properly, it can destroy the business that is being occupied.

Again, in this digital era, you do not need to do manual bookkeeping.

Bookkeeping can be practically and quickly done through the softwares.