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How to Start Your Own
Highly Profitable Catering Service

There is no question that the catering business is one of the most lucrative and profitable home businesses along with a high potential for expansion and growth.

It is both financially rewarding and fun.

Each catered event, whether birthday parties for children, breakfast in bed, and intimate candlelight dinners for two, company dinner parties for 50 and wedding receptions involving a hundred or more guests is a new experience and challenge with a new group of people.

Whether you plan on catering events on a full-time or part-time basis, the opportunities are exceptional.

On the other hand, catering is a demanding work, requiring stamina, ability to work under pressure, and excellent interpersonal skills.

Your success will greatly depend on your reputation, and to build a good reputation in the business, you should be willing to work hard and the ability to work under pressure.

This kind of entrepreneurial business is definitely growing and becoming more popular with people of all income levels.

The Demand for Catering

The call for catering has increased enormously through the years. According to the National Restaurant Association's Restaurant Industry Forecast, social caterers are one of the fastest-growing segments of the restaurant industry.

Driven by the rising number of higher income households and a strong economy, catering sales are expected to continue to soar as more companies, corporations, charities, civic groups, event organizers and individuals call on caterers to host on and off-premises events.

Businesses of all sizes are using catered lunches, cocktail parties and dinner meetings to build their images and increase company sales. It is a matter of keeping up with the competition in promoting a company and/or it's product.

Present-day lifestyles have also given way to an increased demand for more and more catered food services.

Instead of laboring for hours, even days, in the kitchen preparing for parties or events, many homemakers now call on a caterer to provide sumptuous and unforgettable feasts for their guests.

Also, an increasing number of working mothers are paying to have catered birthday and graduation parties, as well as wedding receptions handled by caterers. The reasons are simple: if she is working outside the home, today's mother just does not have the time or the energy to do all the planning and staging of a memorable party.

Even the concept of eating out is slowly being changed by the business of catering: instead of going out to a restaurant to partake of a good meal, families can call on a caterer for that same great food.

One attraction is that catering offers an opportunity for starting a food service business with a lower initial investment than opening a traditional restaurant.

In the catering business, you can start as small or as big as your wallet will allow. The start-up costs for a catering business will depend on what you put in your kitchen and can range from $1,000, if you work from your own kitchen, to $80,000 where you equip a professional kitchen.

Most caterers do the cooking on-site, either using their own facilities or equipment provided by the clients. However, you would still need to do some prep-work in your own kitchen facilities, for instance pre-cutting vegetables, etc.

To keep your initial costs down, you can choose to start your catering business by renting items. You may rent the use of kitchen facilities, china, utensils, tables, tablecloths and linens, serving equipment and other staples.

Naturally, you can start buying your own equipment, but only when you have steady and reliable revenues.

By renting equipment, facilities and supplies, you can use your first few months to build your reputation, develop some capital for investment and expansion and evaluate how much time and money you want to invest.

Then too, you can also look at the start-up period as a time for revealing the impact that this business on your family.