Starting a catering business in South Africa is very profitable. The food sector has been growing due to the growth of the tourism sector and an increase in income.  As a result, more people have been eating out in addition to the various events held by companies and individuals.  There are a number of reasons for this, including events, festivals and gatherings that are held yearly. Educational institutions, private companies and other tourist organizations are always in need of catering services.   Thus, becoming a caterer is a lucrative business that one can explore. Keep in mind that many South Africans are becoming health conscious when it comes to the food they consume. More people now demand nutritious ingredients that are procured in a sustainable and ethical manner. There has been an increase in the demand for local produce and ethically-sourced indigenous ingredients, traditional meals, and healthier food options. Also, the food services market in South Africa is very competitive and it has its own identity that matches South African consumers’ needs. This article will outline how to start a catering business in South Africa, and the catering business plan – PDF, Word, and Excel.

Market Research

A catering business is a lucrative business that has been providing income for many entrepreneurs, but there are some essential factors you need to consider before you venture into this kind of business. Some of these factors include the size of your facilities; location, the various packages you will offer, your menus, and the food you intend to provide, plus your target market. These factors will be affected by the amount of capital you have. Thus, you should carry out a feasibility study, market research and have a good catering business plan before you venture into this business.

Location & Premises

The location of your business is an important decision to make before you start a catering business in South Africa. It’s important that you locate your catering facilities and offices close to your target market. Consider the amount of road traffic and find an easily accessible location where people can stop and quickly get service. There are several possible locations, including shopping centers, malls, and the CBD. Opening a catering services business close to places that typically have potential for traffic is ideal. The cost of leasing the premises should be included in the catering business plan.

Equipment For Catering

You need various kinds equipment for your catering business and the type of equipment you may require will depend on the size of your catering facility plus the kind of packages and food you will serve your clients. Some essential equipment for caterers includes stoves, ovens, refrigerators, cooking utensils, and cutlery among other things. You may need to buy vehicles, delivery vans, and bikes depending on your services and if you plan on transporting meals for deliveries. It is important to include all of these costs into your catering services business plan.

Products

Your target niche will determine the kind of packages, menus, and products to sell. There are various caterers that offer catering for weddings, corporates, and for private parties, among others. It is advisable to create attractive packages that will help you bring customers to your business. It is very important for a catering company to source food ingredients from the right suppliers. Consider developing relationships with suppliers who can provide affordable and quality ingredients consistently. These factors in addition to other important matters should be clearly written in your catering services business plan.

Staff & Management

As a customer-centric catering business, it’s important that you hire employees that are friendly and efficient. Your employees should be passionate about serving your clients. If you want to hit the ground running it’s better to hire a team of people who have experience in this business. Your cooks and chefs should be able to prepare good and attractive meals, and your waiters and other staff members should be able to serve customers efficiently on a regular basis.  Inexperienced staff members need to go through extensive training before they can be given intricate tasks. Keep in mind that the equipment and machinery used for catering can cause serious injury. Ensure that you take the necessary precautions when operating your facilities.

Depending on the size of your business, the actual number of your staff will vary however, you will need a reasonable number of chefs, cooks, waiters, cleaners, security as well as management. Your catering business plan should cater for the salaries and day to day expenses and operations of your business.

Some of the day-to-day operations of this business involve:

  • Food preparation (cooking/baking)
  • Serving Customers and doing deliveries
  • Liaising with /suppliers
  • Sales and communicating with customers
  • Preparing and organising for events
  • Managing Staff
  • Marketing and advertising

It is essential to take great care when you handle food products and beverages. Food contamination can cause health issues. There is need for you to adhere to all industry related health and safety measures in place. These safety measures cover the cleanliness of your environment; how your staff members dress plus how and where food is prepared and stored among other issues. Businesses related to the preparation and serving of food can be a great risk, that is why adhering to health and regulations is important.

Is A Catering Business in South Africa A Good Investment?

There is a reasonable number of caterers with a large market share in South Africa. Even though the industry is highly competitive it is still possible for you to open your own catering company and make money. Starting your own catering business is not expensive, especially if you start small. It is the kind of business you can run with little equipment at first and grow the business overtime. However, building your own catering services business from scratch can be challenging but rewarding if done well. Investing in a catering services business can be a profitable venture, but obviously, this will depend on many factors such as your target market. The input costs of running a catering business varies depending on how you start, it is cheaper if you start small. Whichever way you start, with a catering services business you can make reasonable profit margins. Apart from the obvious advantages of becoming financially independent and becoming your own boss, operating a catering business can be a profitable way of uplifting your community.

Market

Given that the South African market is one of the leading emerging economies on the African continent there is potential for high growth, especially when it comes to the food and beverages sector. This sector has been growing steadily for the past 10 years, thus becoming a caterer can be a good investment. Whether you are a young entrepreneur, a professional seeking to start your own business or someone who needs a retirement plan, investing in a catering services business is something worth considering. Large institutions both public and private such as universities, hospitals and companies outsource catering services to feed their staff members, students, and clients. There is always a demand for catering services in the country due to sporting events, food and wine fairs, weddings, funerals, festivals, and corporate events that take place all year round, so becoming a caterer can be rewarding financially. One thing that can set you apart before investing in any venture is developing a business plan. A well thought out catering business plan will help you in both the short term and long term when it comes to any investment. There are various risks associated with running a food services business, like any other venture, your catering services business plan should clearly outline these risks and ways to minimise them.

PRE-WRITTEN CATERING BUSINESS PLAN (PDF, WORD AND EXCEL): COMPREHENSIVE VERSION, SHORT FUNDING/BANK LOAN VERSION AND AUTOMATED FINANCIAL STATEMENTS

For an in-depth analysis of the catering business in South Africa, purchase our catering business plan. We decided to introduce the business plans after noting that many South Africans were venturing into the catering business without a full understanding of the industry, market, how to run the business, the risks involved, profitability of the business and the costs involved, leading to a high failure rate of their businesses.

Our business plan will make it easier for you to launch and run a catering business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as the catering business plan will lay out all the costs involved in setting up and running the catering services business. The business plan is designed specifically for the South African market.

USES OF THE CATERING SERVICES BUSINESS PLAN (PDF, WORD AND EXCEL)

The catering business plan can be used for many purposes including:

  • Raising capital from investors/friends/relatives
  • Applying for a bank loan
  • Start-up guide to launch your catering business
  • As a catering business project proposal
  • Assessing profitability of the catering services business
  • Finding a business partner
  • Assessing the initial start-up costs so that you know how much to save
  • Manual for current business owners to help in business and strategy formulation

CONTENTS OF THE CATERING BUSINESS PLAN (PDF, WORD AND EXCEL)

The business plan includes, but not limited to:

  • Market Analysis
  • Industry Analysis
  • 5 Year Automated Financial Statements [ Income statements, cash flow statements, balance sheets, monthly cash flow projections (3 years monthly cash flow projections, the remaining two years annually),break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortisation]
  • Marketing Strategy
  • Risk Analysis
  • SWOT & PEST Analysis
  • Operational Requirements
  • Operational Strategy
  • Why some South Africans in the catering business fail, so that you can avoid their mistakes
  • Ways to raise capital to start your catering business in South Africa

 

The Catering Business Plan package consist of 4 files

  1. Catering Business Plan – PDF file (Comprehensive – 92 pages)
  2. Catering Business Plan – Editable Word File (Comprehensive – 92 pages)
  3. Catering Business Plan Funding Version – Editable Word File (Short version for applying for a loan – 46 pages)
  4. Catering Business Plan Automated Financial Statements – (Editable Excel file)

The financial statements are automated. This implies that you can change eg the markup, salaries etc, and all the other financial statements will automatically adjust to reflect the change. 

GET THE CATERING BUSINESS PLAN (PDF, WORD AND EXCEL) - R400 Only.

We decided to make the business plan affordable to anyone who would want to start the business, and the price for the pre-written business plan is only 400 Rand.

We have several payment methods which you can use.

Payment Method 1 (Visa card, Mastercard, Credit card, Debit Card)

Click Buy Now below to purchase. After you have purchased, you will instantly see the download link for the business plan package on the screen. We will also email you the download link. Get instant access to the business plan now!

If you want to purchase multiple business plans at once using Visa Card/MasterCard then  click here: Business Plans Store

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on sales@bizbolts.co.za and we will assist you.

Payment Method 2 (Instant EFT - FNB, Absa, Standard Bank, Nedbank, CapitecBank, Investec, TymeBank and African Bank. )

Click Buy Now below to purchase. After you have purchased, you will instantly see the download link for the business plan package on the screen. We will also email you the download link. Get instant access to the business plan now!

If you want to purchase multiple business plans at once using Instant EFT then  click here: Business Plans Store

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on sales@bizbolts.co.za and we will assist you.

Other Payment Methods

  1. Cash deposit into our FNB Company Bank Account
  2. EFT Transfer to our FNB Company Bank Account

Call/Whatsapp us on +27606334830 for the other payment methods. (Whatsapp us by clicking the link https://wa.me/27606334830). Email: sales@bizbolts.co.za .