What Do I Need to Start a Catering Business?
If you have ever been to a wedding that offered a sit-down meal, there is a good chance that the food you ate was furnished by a catering service. On average, the caterer makes $10 to $20 per person. Of course, that amount can vary based on the menu and location. But imagine a wedding that will have 200 guests. If each person ate at the wedding and you charged $20 per plate, you are looking at a $4,000 payday! Needless to say, a catering business is a very profitable venture. To get started, there are three things you must have before booking your first event.
Business License
A business license is something that is issued by your local government and permits you to operate a business within a certain district or county. To obtain a business license, you must go to the local courthouse or town hall to which the catering business will operate from and ask for an application. Complete the application and pay the designated fee to the clerk. She will then issue you a business license that allows you to legal operate the catering business, or any business, within the area. The fee for the license varies with every district, so be sure to call to get the specific fee amount for your area.
Tax Identification Numbers
A tax identification number is issued by local, state and also federal governments and is used to track income and expenses for tax purposes. Just like a social security number legally identifies an individual as a tax-paying resident of the United States, a tax identification number identifies a business as a tax-paying company within the issuing government – such as the state of Florida as well as within the United States.
To obtain a tax identification number, contact the IRS by visiting their website or calling their toll-free number. The application for a federal tax identification number takes approximately 20 minutes and is automatically assigned online. Once you have obtained the federal number, ask the IRS how to either obtain a tax identification number for state taxes or if you can link your federal number to your state tax account.
Food Permit
If you were opening any other business that didn’t deal with food, you would practically be done with the legal stuff. However, because you will be serving the public with food products that you cooked, you will need to obtain a food permit. A food permit certifies that you have met all of the regulations set forth by the state that you live in and are considered a safe vendor to offer food to the public. Without a food permit, you cannot legally sell food.
To obtain a food permit, you will need to contact your local health department and speak with one of the inspectors that issue the permits. Explain to the inspector what you plan to do with your business and ask for a copy of the guidelines for your state. Once you have made sure your catering business meets the regulations, complete the application and submit the fee for the food permit. The inspector will come to your business and check that all regulations have been met before issuing the permit. Once you have obtained the permit, you can legally cook and sell food to the public.
Are you looking for more information regarding catering business? Visit http://www.cateringbusinessguide.com/ today!
Are you looking for more information regarding catering business? Visit http://www.cateringbusinessguide.com/ today!
Author Bio: Are you looking for more information regarding catering business? Visit http://www.cateringbusinessguide.com/ today!
Category: Business
Keywords: catering business,food permit,identification number,tax identification,tax identification number